cepsa and Danish shipping giant MaerskThey are partnering to build Europe’s largest green methanol plant (a low-carbon fuel produced with renewable energy) in Huelva, with a joint investment of 1,000 million euros. Both groups announced the new project within the framework of the Dubai climate summit (COP28) in the presence of Head of Government Pedro Sánchez and Vice President and Minister of Ecological Transition Teresa Ribera.
The estimated initial capacity of the future ‘megaplant’ to be built in the port of Huelva will be 300,000 tonnes of green methanol per year, which can be expanded to 380,000 tonnes. Green methanol is produced from green hydrogen and non-fossil carbon captured from the atmosphere or derived from agricultural and forestry waste and can replace traditional methanol, allowing the reduction of CO2 emissions from maritime transport, long-haul or other sectors. industries such as chemicals and plastics manufacturing.
Regulatory Notice
Cepsa and C2X, the new methanol subsidiary of Maersk’s parent company, will not make a final decision on the construction of the plant and the necessary investments until 2025. And in the process, they will issue a notice to seafarers in the presence of the Head of Government and the Deputy President: For the project to progress and expand, a regulation supporting it needs to be made.
“We will work with the Spanish Government to develop the regulatory framework necessary for the success and expansion of this project,” Cepsa CEO Maarten Wetselaar said in a statement before Sánchez and Ribera. “Although this project has solid foundations, it will need its own framework to be able to offer its customers a competitive source of green methanol. We look forward to working with Cepsa and the Spanish Government to realize this project,” insisted C2X CEO Brian Davis.
The warning comes in principle after Repsol, Spain’s largest oil company and Cepsa’s direct rival, threatened to cripple $1.5 billion in green hydrogen-related investments in Spain if the Executive pursues its intention to extend a tax on major energy companies. It was designed to be valid for only two years, but the PSOE-Sumar government agreement provides for its continuation beyond this period.
Support for hydrogen ‘mega project’ in Andalusia
In his statement, Cepsa emphasized that “If approved, this project could directly and indirectly create employment for 2,500 people.” The methanol plant will also serve to promote the Andalusian Green Hydrogen Valley, which Cepsa and its partners are developing with the aim of reaching a green hydrogen production capacity of 2 gigawatt GW by 2030. Some of this green hydrogen will be used to fuel new green methanol. herb.
“Not only will this project mean a significant reduction in CO2 emissions, but green methanol will also allow us to improve the sustainability of sectors that are difficult to decarbonise, such as shipping or the chemical industry. This is therefore an important step towards a future free of fossil fuels,” he emphasized President Pedro Sánchez: “This investment is fully compatible with Spain’s reindustrialization and energy transition strategy. “We want 81% of our energy production to come from renewable sources by 2030. Green hydrogen will play a very important role and thanks to projects like this, Spain is positioned as a global reference point.”
Source: Informacion
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