Shell Brasil, an affiliate of global oil and gas major Royal Dutch Shell plc (Shell) and Porto do Açu, have signed a Memorandum of Understanding (MoU) for the joint development of a green hydrogen pilot plant at the port facilities in the northern region of the state of Rio de Janeiro.
An error occurred
On your profile you can see what subscriptions you have access to and more information.
Is some of the information wrong – please contact our customer service.
Please reload the page
Do you want to read the whole article?
- Six editions per year
- Full access to all digital content
- The E-magazine Bioenergy international
- And more ...
Porto do Açu is a multi-business platform, developed by Prumo Logística, and controlled by EIG Energy Partners, a leading institutional investor in the global energy and infrastructure market.
The pilot plant, which should be ready in 2025, will have an initial capacity of 10 MW and may reach 100 MW, in line with the unit’s expansion plan.
Pioneering project
The project is a pioneer in Brazil and will work as a research laboratory to develop learning, carry out decarbonization tests, and boost this industry in the country.
Initially, electricity from the national grid will be connected to the electrolysis plant. The port enterprise already has projects in green hydrogen, solar PV, and offshore wind energy.
Part of the hydrogen produced will be destined for storage and subsequent shipment to potential consumers. The remaining hydrogen is destined for a planned renewable ammonia plant.
This is a project of immense importance not only for Shell and its partners but also for Brazil. With this pilot, we aim to promote the entire development of the value chain of renewable hydrogen generation, from the technology suppliers, through the domain of plant operation to the training of specialized labor. In addition, we intend to enable a series of proofs of concept regarding the decarbonization of sectors. It will be a true laboratory for generating knowledge and value for both Shell and the country, declared André Araujo, President of Shell Brasil.
The pilot plant is another step by Shell Brasil towards reducing the carbon dioxide (CO2) footprint of its businesses, in line with the goals of the Paris Agreement and with the Driving Progress strategy, released in February 2021.
The signing of this agreement is a milestone in the development of the green hydrogen market in Brazil. Porto do Açu’s world-class infrastructure is an essential component for accelerating the development of low-carbon projects and for the decarbonization of the industry. We are very happy to join forces with Shell and contribute to the transition efforts towards a low carbon economy, said José Firmo, CEO of Porto do Açu.
Mandatory RD&I investment
The resources for the construction of the unit come from the Research, Development & Innovation (RD&I) clause of the National Agency of Petroleum, Natural Gas and Biofuels (ANP), which determines the mandatory application of a percentage of the gross production revenue, in projects that stimulate research and the adoption of new technologies in the energy sector.
Shell Brasil is expected to invest between US$60 million and US$120 million in RD&I in 2022.
