The companies said the Environmental Assessment Commission (COEVA) of Valparaíso “unanimously” approved the project which plans to supply industries in Bahía Quintero-Puchuncaví.
Having secured a $5.7m subsidy from the Chilean Corporation for the Promotion of Production (CORFO), the plant will be built on GNL Quintero’s existing premises in Quintero. It is expected to produce 1,600 tonnes of hydrogen per year.
In addition to the environmental permit, the companies have been advancing project engineering, electrolyser selection, and offtake discussions with prospective end-users.
“If the investment conditions are met, it is contemplated that the construction and technical tests will be developed during the next year,” a statement said.
GNL Quintero plans to source water from an existing network at the Quintero LNG Terminal facilities and will use a “certified renewable energy supply contract” through connection to the national grid.
With plans of hosting 4-5GW of green hydrogen production in 2025, and up to 25GW by 2030, Chile hopes to use its abundant renewables to produce some of the cheapest green hydrogen globally.