Prumo Logística and Fuella have been able to secure their first area reservation contract, which is for a newly licensed low-carbon hydrogen and derivatives hub. The area which has been chosen is located in Brazil, specifically Rio de Janeiro.

The innovative new project is due to be based at the Port of Açu and it is planned that this hub will cover one million square metres. It was the initial agreement which secured a ‘significant area’ of this facility. Altogether, the aim is to create renewable and low-carbon hydrogen, which is connected to ammonia and methanol units. Within this method, the produced hydrogen will be exported or used at the port.

A Memorandum of Understanding (MoU) has been created between the two leading companies and this agreement will establish the development of the hub, which will go forward through phases and schedules. Both companies have confirmed that they expect to implement a 520MW ammonia plan, which will be based on electrolysis. This system will be designed to have the potential to produce 400,000 tonnes of hydrogen carrier on a yearly basis.

Port of Antwerp-Bruges International, which is a subsidiary of the second-largest port in Europe, helped through supporting the land contract and MOU completion. This company is a strategic partner of the Port of Açu.

A huge benefit of this project is that it will create a new export corridor for green ammonia, which will run from Brazil to Europe.

It was in June of 2024, that Eletrobras announced their plans to produce low-carbon hydrogen from the port. This plan will commence after the company secures a deal with Prumo, which is the port operator and infrastructure firm.

Finally, it has been stated that a final investment decision for the green ammonia plant is forecasted within the next four years. This means it will be ready before the start of production, which is due to begin in 2030.

Executive Director of Business Development at Prumo, Mauro Andrade, commented, “The development of this plant will contribute to global efforts in reducing carbon emissions and promoting sustainable energy. We have prepared ecosystem and competitive advantages for the production of green hydrogen and ammonia, both for export and for supply to the Brazilian domestic market.”

Managing Director Business and Corporate Development at Fuella, Dr Thomas Helms, claimed that, this is a landmark agreement for the Norwegian company, as it is expanding its portfolio internationally to “highly competitive and attractive regions.”

Dr Helm added, “We believe that Porto do Açu is a fantastic location and partner for us. The winning factors for us were not only the site and infrastructure in place, but also the dedication, competence and support of the team.”