All posts by mickeybarb@charter.net

Transportation

Illinois River, Market Watch, Mississippi RIver, Ohio River, Transportation, U.S. Gulf

US Gulf:

Calcasieu Lock, closed to daytime travel on weekdays since Jan. 30, saw waits up to 31 hours during the week. Work at the site is slated to run through March 3.

Bayou Boeuf Lock maintenance kicked off on Feb. 6, shutting the lock to daytime travel, Monday through Thursday, until Feb. 16. Sources expected the lock to pass waiting vessels intermittently during working hours, with delays potentially hitting the 12-hour mark.

Algiers Lock repairs are tentatively scheduled to begin in late February and last for about seven weeks, sources said. Daytime navigation will be unavailable for roughly 20 nonconsecutive days scattered throughout the project. Delays were counted at 15-32 hours during the week.

Belle Chasse Bridge replacement work will block travel through Mile 3.8 of the Algiers Canal between 6:30 a.m. and 7:00 p.m. on Feb. 20, 22, 24, 28, and March 2. Additional shutdowns are expected in late March and in April.

Colorado Lock repairs, restarted on Dec. 5, will limit travel from 7:00 a.m. to 7:00 p.m., through March 10. Delays topped out at 10 hours on Feb. 6.

Corps data showed Port Allen Lock wait times up to 18 hours, while boats transiting Industrial Lock waited up 56 hours to pass. Brazos Lock navigation required up to 21 hours. Fog delays tightened daily travel windows by 10-15 hours during the week.

Mississippi River:

Low water levels continued to impact commercial movements on the upper Mississippi River, triggering both draft limits and tow-size reductions. Barges traveling southbound were capped at 9.5 feet of draft between St. Louis and Cairo, down from 10 feet reported previously, while tows moving downriver were restricted to a maximum of 20 barges per tow.

The St. Louis river gauge returned a (-)0.24-foot reading on Feb. 8. Forecasts predicted an increase to 6.9 feet on Feb. 11-12, although some sources expected seasonal weather patterns to leave area water levels unpredictable through the end of March. On the lower river, the Memphis gauge was forecast to fall below the area’s 5.0-foot Low Stage in late February.

The primary chambers at Chain of Rocks Lock and Mel Price Lock are closed for repairs and maintenance through March 17 and March 31, respectively, limiting navigation to the sites’ secondary lock chambers. Delays were reported up to 53 hours at Starved Rock Lock, while waits stretched as high as 58 hours at Mel Price Lock.

Upper river locks are tentatively scheduled to begin reopening for spring navigation on Feb. 26, starting with Locks 24 and 25. All locks on the upper river were expected to reopen by April 1, weather permitting. Tows departing NOLA for Clinton, Iowa, and below were slated to begin releasing in the second or third weeks of February, while boats destined for locations above Clinton were expected to depart NOLA in the third or fourth weeks of the month.

Illinois River:

Ice floes continued to hinder navigation on the Illinois Waterway, although rising temperatures in the long-term forecast suggested improving conditions in the second half of February.

Sources reported mandatory ice coupling usage at Dresden Island Lock and below, while a mix of ice pack and congestion from the Ohio River triggered delays as high as 45 hours at LaGrange Lock, according to Corps data. General slowdowns were heard through the length of the waterway due to the poor travel conditions.

Waits ran in a 3-7 hour range at Dresden Island Lock. Delays topped out above 10 hours at Starved Rock Lock.

Ohio River:

A salvage operation was heard blocking traffic intermittently at Mile 606 on Feb. 2-6. The stoppages primarily affected vessels traveling in the southbound direction.

The Bellville Lock and Racine Lock secondary chambers are closed through Feb. 26 for maintenance. Racine is scheduled to undergo a primary chamber closure Feb. 26 through March 12.

Floating mooring repairs currently underway at JT Meyers Lock will force intermittent main chamber closures through Aug. 20, while the main chamber at Dashields Lock is set to close for 48 hours on Feb. 16-18. Hannibal is expected to shut its primary chamber Feb. 20 through April 7.

Main chamber work at Greenup Lock will run March 12 through April 12. The Melville Lock secondary chamber, slated to go offline for repairs and maintenance on April 17, will return to service on Aug. 4.

A series of four-hour shutdowns are scheduled for repairs at the Tennessee River’s Kentucky Lock over the Feb. 13-17 period. Kentucky Lock delays were counted up to 18 hours during the week. Tows transiting Wilson Lock waited up to 14 hours to pass.

CSBP Proposes New Ammonia Plant

Ammonia, Australia, News, News Briefs

Western Australia’s CSBP Ltd., Kwinana Beach, has filed a proposal with Western Australia’s Environmental Protection Agency to construct and operate a new ammonia plant within the CSBP Kwinana Industrial Complex in the Kwinana Industrial Area (KIA), located approximately 40 kilometers south of the Perth Central Business District.

The proposal will use natural gas sourced from the Dampier to Bunbury Natural Gas Pipeline (DBNGP), integrated with hydrogen production from a 10 megawatt electrolyzer to manufacture ammonia, which will then be used by CSBP for the manufacture of other chemical products or sold externally to customers.

The proposal will be a self-sustained facility with a production capacity of approximately 300,000 mt/y and will be integrated with a number of existing CSBP facilities located in the KIA. The expected life of the project is 35 years.

The proposed development would be on 27.52 hectares. One hectare of native vegetation would be cleared. The project is located within the 138 hectare CSBP Kwinana Industrial Complex.

The proposal has associated scope 1 greenhouse gas emissions of up to 539,003 m CO2 equivalent per annum during operations.

CSBP currently produces up to 255,000 mt/y of ammonia, and has the capacity to store 40,000 mt.

Ammonia

Ammonia, Black Sea, Brazil, California, Eastern Cornbelt, India, Market Watch, Middle East, Northwestern Europe, Pacific N.W., Tampa, U.S. Exports, U.S. Gulf, U.S. Imports, Western Canada, Western Cornbelt

US Gulf/Tampa:

Tampa prices for February continued at $790/mt CFR, down from January’s $975/mt CFR. Lower gas prices in Europe and the US are expected to continue to put pressure on ammonia prices.

US Imports:

Ammonia imports for December firmed 14.7% year-over-year, according to data released by the US Census Bureau, to 179,484 st from 156,534 st. Imports totaled 1.13 million st for July-December, however, off 10.9% from 1.27 million st in the year-ago period.

US Exports:

December ammonia exports moved 1,665.3% higher, to 134,264 st from 7,606 st in December 2021. July-December totals were up 285.4%, to 724,228 st from 187,937 st noted one year earlier.

Eastern Cornbelt:

The arrival of springlike weather in the Eastern Cornbelt was accompanied by a reset of spring ammonia prices. Postings from CF and Koch for March-June shipment reportedly dropped to $840-$850/st FOB terminals in Illinois and Indiana on Feb. 8, down sharply from the initial $1,100-$1,110/st FOB prepay offers in the Eastern Cornbelt.

The drop in ammonia had been expected amid falling urea and UAN prices and reports of lackluster spring ammonia prepay business.

“I have never seen a year that I can recall with this much softness in the markets heading into spring. Growers are just sitting on the sidelines, not making decisions or having many discussions,” remarked one source. “I really don’t think the markets are done with the softness yet, so I have been delaying some final purchases for spring also.”

Western Cornbelt:

A new round of spring ammonia prices at midweek dropped prepay levels to $840-$850/st FOB in the Western Cornbelt, well below the previous $1,050-$1,100/st FOB offers. Spot prepay prices for March-June shipment included $840/st FOB Fort Dodge and Garner, Iowa, and $850/st FOB Washington, Iowa, and Palmyra, Mo.

An ammonia reset occurred in the Northern Plains as well, with CF terminals in North Dakota and Minnesota falling to $840/st FOB and delivered prepay offers dropping to $850-$875/st in the region. Sources talked of new prepay ammonia prices in the Southern Plains dropping to the $650/st level FOB Oklahoma production points.

California:

Anhydrous ammonia postings in California remained at $1,250/st DEL. The aqua ammonia market was steady as well at $326-$336/st FOB, with the low at Stockton and the high at Sycamore.

Pacific Northwest:

New offers for ammonia were reported down to $850-$858/st DEL in the Pacific Northwest, well below the previous $970-$1,000/st DEL range. Offers out of Washington terminals slipped to $915/st FOB, down from $950-$980/st FOB. “It looks like ammonia prices have finally unwound in response to continued weakness in urea,” said one contact.

Aqua ammonia pricing slipped to $235/st FOB in the region, down from the previous $275/st FOB level.

Western Canada:

The last offers for spring ammonia continued to be reported at C$1,475-$1,640/mt DEL in Western Canada, depending on location and supplier, though there was no new business to test the market in early February.

Black Sea:     

Even as no material is flowing out of the Black Sea, buyers in Turkey, Bulgaria, and Romania are keeping an eye on the market for bargain-priced product to be shipped to their Black Sea ports. These ports are well clear of the war zone on the Black Sea’s northern shore.

Turkish buyers are reportedly looking at $700-$710/mt CFR for their purchases, with some reportedly eyeing sub-$700/mt CFR tonnage. For material to arrive in Turkey at that level, sources said that Arab Gulf ammonia would have to be sold around $620/mt FOB, a level far below what producers are willing to take.

Pressure from Russian producers and the United Nations to reopen the ammonia pipeline from the Russian border to Odessa has gone quiet, sources said. While most in the industry said that opening the pipeline made no sense while hostilities are still ongoing, UN representatives were active in December and January in attempting to restart ammonia exports from the region.

One trader suggested the lack of recent efforts to reopen the pipeline could be due to public reports that Russia is gearing up for a major spring offensive that could damage the pipeline.

India:     

Sources reported that recent arrivals into India all seem to be tied to contract tons. The softening ammonia market is leading buyers to push for ever-lower prices for spot deals, and for reducing contract prices into the $770s/mt CFR. So far there has been no confirmation of any spot deals – which would have to be in the low-$780s/mt CFR – nor of any public shift in the contracted price.

Indian buyers continued their talks with potential suppliers from China and Iran. Both companies have offered spot tons at prices close to contract values in the $780s/mt CFR. Arab Gulf suppliers seem unwilling to discuss spot cargoes at the levels Indian buyers want, but continue to service the contract deals.

Middle East: 

Producers are reportedly ready to talk about spot deals in the $680s/mt FOB, but are not finding any takers. Buyers are said to be looking at $620/mt FOB, which would fit with pricing ideas out of Turkey, although sources said no new spot deals have concluded that would allow for a price shift.

The pressure will continue to build. Even as Turkey and India push for prices in the $620s/mt FOB, sources said Taiwan buyers have cut deals with non-Arab Gulf suppliers at $750/mt CFR. At that price, the Arab Gulf-equivalent would be $650/mt FOB.

Sources said that industrial-use gas supplies in Iran are opening up as winter fades, and more ammonia tons are expected to be available going into the second quarter. Even with the anticipated production increase, sources said Iranian ammonia will not be a major factor in the market. One trader noted the procedures to pay for the ammonia and arrange shipping are complicated because of sanctions against Iran.

India and Turkey are most likely to remain the main buyers of Iranian product. Both countries have worked out arrangements with third countries to process payment and resolve shipping issues related to Iranian ammonia.

January exports from Iran totaled 21,000 mt, Trade Data Monitor reported, up 5% from 20,000 mt shipped in January 2022. India took 89% of the exports with 18,500 mt, followed by Turkey with 2,000 mt.

Northwest Europe:      

The pressure is on to lower prices. Sources said the lower price of natural gas now puts the cost of producing ammonia at $650/mt ex-plant. At this level, the last-done bit of business in the $780s/mt CFR indicates there is room for a decline in pricing.

No new deals were done this week. Sources said there was a lot of talk, but with limited demand in Europe combining with plentiful supplies, buyers are in no rush to accept current pricing levels.

Brazil:   

Sources said that Brazil is likely to remain a spot market supplier. Ammonia exports from Brazil totaled about 126,000 mt in 2022, representing an average shipment of 10,500 mt per month. Brazil exported 18,000 mt in January 2023, according to Trade Data Monitor, with all of the tonnage going to South Africa.

Brazil will most likely remain a supplier of convenience when vessel and tonnage availabilities line up with demand, sources said. Due to the erratic nature of monthly availability from Brazil, however, one trader said it is unlikely that anyone will sign a long-term contract for Brazilian ammonia.

January ammonia imports totaled 15,000 mt, 38% down from the year-ago 24,000 mt. All of the product came from Trinidad and Tobago.

Canada Invests C$100 M in BHP Project

Australia, Featured, News, Potash, Saskatchewan

Canada’s Minister of Innovation, Science, and Industry François-Philippe Champagne on Jan. 30 announced an investment of $100 million through the Strategic Innovation Fund to support BHP’s C$7.5 billion project to develop its world-leading low-emissions potash mine. The mine, located in Jansen, Sask., is expected to generate the lowest direct emissions of any potash mine in the world.

The Ministry said the mine will ensure that Canada remains a global leader in both potash production and sustainable mining. In addition to critical environmental benefits, it said it would provide long-term benefits for the people of Saskatchewan by creating and maintaining 600 highly-skilled jobs and over 100 co-op terms for students, supporting Indigenous communities through employment and economic opportunities, and cementing Canada’s leadership position in potash production. BHP has signed opportunities agreements with six First Nations.

“This investment shows that our government is committed to the hard-working people of Saskatchewan as well as to Canada’s mining and agricultural sectors,” said Minister Champagne. “Potash is a critical and strategic resource in the global agricultural industry, and we are pleased to partner with BHP on this project to bring strong economic benefits to Saskatchewan. This project will lead to the creation of hundreds of well-paying jobs for Canadians while also encouraging green initiatives in the mining industry.”

“The demand for potash will continue to grow due to a need to increase crop yields to feed a growing population,” said Ragnar Udd, President Minerals Americas, BHP. “Canada has some of the best potash deposits in the world, along with a great skill base and strength in resource development. We know that being successful is not just about what you mine, but also about how you mine, and we take this responsibility seriously.

“Jansen Stage 1 is setting a new standard for potash – not just for Canada, but around the globe. BHP is honored to partner with the government, Indigenous peoples, and the people of Saskatchewan to create a mine that will use the latest technology to deliver a productive, efficient, and sustainable operation that will bring widespread benefits to the region, the people of Saskatchewan, and BHP shareholders for decades to come,” he added.

BHP anticipates the mine to be operational by 2026, with an initial production capacity of 4.3-4.5 million mt/y, increasing Canada’s production by nearly 22% and making it one of the top producers in the world. Jansen has the potential for the addition of three subsequent expansion phases to take the mine to an envisioned eventual production capacity of between 16-17 million mt/y. BHP already has accelerated the Jansen Stage 2 study, which could add another 4 million mt/y (GM Oct. 21, 2022).

Fertiberia Joins Barents Blue Ammonia Project; Equinor and Vår Energi Exit

Blue Ammonia, News, News Briefs, Norway, Spain

Horisont Energi, Sandnes, Norway, on Feb. 1 announced a cooperation agreement with Spanish-based fertilizer producer Fertiberia, Madrid, to join the Barents Blue ammonia project (GM Sept. 17, 2021) located in Finnmark, in northern Norway.

The parties said Barents Blue will produce 1 million mt/y of blue ammonia and it will be the most energy efficient blue ammonia plant in the world, with a best-in-class carbon footprint and well aligned with the EU taxonomy.

“We are proud to announce the cooperation agreement with Fertiberia providing significant experience and competence in developing green ammonia projects on [an] industrial scale,” said Bjørgulf Haukelidsæter Eidesen, CEO of Horisont Energi.

“Fertiberia and Horisont Energi share the ambition of accelerating the transition to carbon neutrality through pioneering projects,” he added. “Equinor and Vår Energi have been instrumental in maturing the project in the development phase ending Jan. 31. We look forward to work with Fertiberia to realize the project, and hence contribute to the decarbonization of European industry and transportation.”

Horisont Energi and Fertiberia aim to conclude a full partnership agreement by April 1, 2023. Equinor and Vår Energi are discontinuing their participating interests in the project. However, the partnership change will take effect as of Jan. 31, and Fertiberia and Horisont Energi will hold 50% and 50%, respectively.

“Our integration in this project is highly synergetic: we bring our experience as a European leader in sustainable crop nutrition to Barents Blue, with more than five decades of cumulated knowhow in the design, maintenance and operation of ammonia plants and with valuable expertise in the management of ammonia supply chains,” said Javier Goñi, CEO of Grupo Fertiberia.

“Fertiberia was the first large company in the crop nutrition sector to manufacture CO2-free ammonia and crop nutrition solutions on an industrial scale in Europe. Being part of the Barents Blue project is a new opportunity for Fertiberia to accelerate our transformation and growth process in the production of clean ammonia, extend its uses to new areas such as transport and energy and become the first company in our sector to achieve carbon neutrality by 2035,” Goñi continued.

Barents Blue’s 3,000 mt/d blue ammonia project will use natural gas from the Barents Sea. Carbon will be captured and transported by ship to the Polaris reservoir for storage, with an estimated capacity in excess of 100 million mt below the seabed offshore Finnmark. Horizont said the amount is twice Norway’s annual greenhouse gas emissions. The carbon capture rate is expected to exceed 99%.

The Barents Blue project is supported by a grant of NOK 482 million under the EU IPCEI hydrogen program, which is not affected by the changes in the partner consortium. Equinor remains positive toward explore gas supply solutions to the Barents Blue project from Melkøya following the changes in the partner consortium. Horisont Energi will invite new partners into the Polaris CO2 storage license, including a qualified operator. A new license group will bring the project forward to a submission of plan for development.

Omnia, PNE Eye Green Ammonia for South Africa; New Solar Plant Launched

Germany, Green Ammonia, News, News Briefs, South Africa

South Africa’s Omnia Group Pty Ltd., Johannesburg, and WKN Windcurrent SA Pty, Cape Town, a unit of Germany’s PNE AG, Cuxhaven, on Feb. 1 announced they have signed a Memorandum of Understanding (MOU) to evaluate the onsite production of green hydrogen and ammonia in South Africa.

The objective is to produce competitively priced green ammonia in the range of up to 100,000 mt/y, which would result in a saving of 180,000 mt/y per annum of CO2 emissions. This production will be powered by renewable energy from hybrid sources. The PNE subsidiary is to develop the necessary equipment to combine energy generation from wind and solar with the production of the ammonia.

“As a diversified chemicals group that supplies chemicals and specialized solutions for the agriculture and mining industries, we are continually looking for ways to add value to our customers throughout our supply chain,” said Seelan Gobalsamy, Omnia CEO. “Being innovative and using green technology is at the heart of our approach. The fact is that onsite production of green ammonia will significantly reduce our CO2 emissions, embed sustainability into our products, and support the country’s green energy journey.”

In the meantime, Omnia announced on Jan. 30 that it has launched Phase 1 of its 5-Megawatt (MW) Sasolburg Solar Plant. At the same time, the company broke ground on Phase 2. Both phases of the solar project aim to augment the electricity supply at the Sasolburg plant and reduce the group’s dependency on coal-fired power sources and the national grid.

Omnia expects to generate close to 10 500 MWh a year from phase 1, saving at least R12 million per annum in energy costs. Together with Omnia’s ability to produce electricity from excess process steam from their nitric acid plants (co-generation), this will supplement between 25%-35% of the group’s electricity requirements at the Sasolburg operations.

Omnia said the management, procurement, and engineering of both Phase 1 and 2 projects have been carried out in-house. Some 90 externally contracted staff managed the installation process over a seven-month period for Phase 1 development, with a similar outlook expected for Phase 2.

Millennial Potash Corp. – Management Brief

Africa, Management Briefs, Potash, Vancouver

Millennial Potash Corp. (MLP), Vancouver, (formerly Black Mountain Gold USA Corp.) (GM Jan. 27, p. 26) on Jan. 31announced that it has engaged Jason Wilkinson as its new CEO to lead the company’s efforts at its newly acquired Banio Potash Project in Gabon, effective Feb. 1.

Current CEO Graham Harris will remain with MLP as Director and Senior Vice President-Capital Markets. Wilkinson has a M.Sc. in Mineral Exploration from the Royal School of Mines and over 25 years in mining and exploration.

“We are very pleased to have Jason Wilkinson join MLP as we focus on the exploration and development of our new potash project in Gabon,” said MLP Director Farhad Abasov. “Jason has been in the potash business for almost 15 years, most recently with South Harz Potash in their potash projects in Germany.

“From 2009-2015 Jason was the Project Manager and Chief Operating Officer (COO) of Allana Potash’s subsidiary in Ethiopia, guiding their project in the Danakhil Depression from exploration to completion of a Feasibility Study, pilot solution mining test work, and then acquisition by Israel Chemicals Ltd,” Abasov continued.

“Jason has done a superb job in all the positions he has held, and we are very happy to have [him] lead our potash operations at Millennial. With his track record of success in multiple jurisdictions and under difficult conditions, Jason will be instrumental in expediting Millennial’s development program in the next few months,” he added.

MLP said the engagement of Wilkinson marks the initiation of MLP’s pivot to the potash space and the establishment of a seasoned potash development team. Initially, Wilkinson will spend significant time at the project building the company’s local team to expedite the upcoming drilling program. The company said additional appointments to augment the corporate team with experienced potash professionals will be undertaken over the coming months.

In other news, MLP has entered into a one-year communications agreement with SRC Swiss Resource Capital AG, Herisau, Switzerland, to provide investor relations services.

Bion Environmental Technologies Inc. – Management Brief

Management Briefs, Specialty

Bion Environmental Technologies Inc., a developer of advanced livestock waste treatment technology and sustainable beef, announced on Jan. 30 that Bill Rupp will join Bion’s Board of Directors, effective Feb. 15.

The company said he brings 37 years of experience, including 18 years in senior leadership roles with Cargill and JBS, two of the world’s largest meat packers. Bion said Rupp will work directly with Bion CEO Bill O’Neill to build a team and strategy to commercialize Bion’s technology and product line.

Baker Hughes, Fortescue Collaborate on Green Hydrogen, Ammonia, Geothermal

Australia, Green Ammonia, Green Hydrogen, Houston, TX, News, News Briefs

Energy technology provider Baker Hughes, Houston, on Jan. 30 announced a Memorandum of Understanding (MOU) with Fortescue Future Industries (FFI), Perth, Australia, to jointly explore potential opportunities for the scale up and adoption of novel technology solutions for green hydrogen, green ammonia, and geothermal projects.

“FFI and Baker Hughes share ambitions for transforming and accelerating the energy transition,” said Lorenzo Simonelli, Chairman and CEO of Baker Hughes. “Our portfolio of technologies can help place both companies at the forefront of tackling climate change with practical and implementable solutions. We are excited to support FFI in its ambitions for a more sustainable future.”

“There is enormous demand for green hydrogen and green energy, and engineering solutions such as those pioneered by Baker Hughes are vital to increasing supply,” said Mark Hutchinson, FFI CEO. “We look forward to working with Baker Hughes on a variety of projects that will help to enable industries and the world to move beyond fossil fuels.”

They plan to leverage Baker Hughes’ technology related to liquefaction and compression, turboexpanders, and hydrogen-fueled turbines, as well as geothermal subsurface analysis, geothermal well services, emissions measurement, monitoring and carbon reinjection, digital solutions for asset performance management, and process optimization.

The companies aspire to bring early-stage technologies to commercial scale faster than what would otherwise be possible. They said these technologies will potentially benefit the reduction of greenhouse gas emissions in both energy production and hard-to-abate industrial sectors, including mining, steel, and cement.

Sumitomo, Colbún Study Chilean Green NH3

Chile, Green Ammonia, Green Hydrogen, Japan, News, News Briefs

Japan’s Sumitomo Corp. Group, Osaka, and the energy generation and solutions company Colbún, Santiago, on Jan. 30 announced the signing of a Memorandum of Understanding to form an alliance to study the feasibility of developing green hydrogen projects to produce green ammonia in the regions of Antofagasta and Magallanes.

In Antofagasta, for the production of green hydrogen, the parties will evaluate the feasibility of providing part of the renewable energy supply from Colbún’s Inti Pacha photovoltaic solar project (486 MW, María Elena commune), which has already received environmental approval. Inti Pacha, together with other photovoltaic initiatives by Colbún, would supply the energy for the project.

As for the export of green ammonia, the parties will look at the feasibility of using the logistics and port facilities of Interacid, Sumitomo’s port subsidiary located in Mejillones that currently is mainly dedicated to the import of sulfuric acid and fuels for mining.

In Magallanes, the agreement points to a 1 million mt/y green ammonia project and includes feasibility studies for port facilities, renewable energy generation, and the development of infrastructure to produce hydrogen and other products.

“We are honored to be able to jointly develop these large-scale green ammonia projects with Sumitomo,” said José Ignacio Escobar, Colbún CEO. “It is a tremendously important step, which will allow us to consolidate our growth strategy based on new technologies – among which green hydrogen is located, and its different forms of conversion – and in turn advance in transforming our country into a power of green hydrogen and its derivatives both for Chile and for the world.”

“Colbún is a company with a lot of experience in the development of green energy in Chile and has an important know-how in how to develop projects, even in extreme areas,” said Taizo Hayakawa, President, Sumitomo Corp. Chile. “Together with Colbún we can develop very competitive and feasible projects to supply green ammonia to Chile, Japan, and the whole world.”

“Our green hydrogen strategy has two focuses,” added Juan Pablo Fiedler, who heads up Colbún’s Green Hydrogen Management segment. “One, linked to the domestic market, where we see that it can be a relevant option for the decarbonization of our customers, or potential customers, in Chile or Peru. And the second focus aims to contribute to Chile positioning itself as a relevant player in this industry worldwide.”

Colbún hasnearly 1,000 workers and an installed capacity of close to 4,000 MW through 27 generation plants, with operations in Chile and Peru.