Phelan Green Energy to invest $2.4 billion in Peru for a solar-powered green ammonia plant.
Phelan Green Energy Announces Major Investment in Green Ammonia
Phelan Green Energy has unveiled a significant investment of over $2 billion in Peru to develop a large-scale green ammonia production facility.
This $2.4 billion commitment was finalized during a dedicated two-hour meeting with Peruvian Prime Minister Gustavo Adrianzén and his cabinet at the Presidencia del Consejo de Ministros del Peru in Lima
The Peruvian government has approved a 4,000-hectare concession in the Arequipa region, a strategic location for harnessing low-cost solar energy essential for green hydrogen and ammonia production. Despite various challenges within its borders, the country is actively working to secure and develop its energy system through diverse projects.
Project Rollout and Streamlining
An additional 50-hectare concession has been granted for the construction of a processing plant in the coastal port of Matarani. This project, classified as a ‘Necesidad Publica’ by the Regional Council of the State of Peru, will receive specific priorities to expedite its implementation.
Phelan Green Energy has also announced the consolidation of its green hydrogen projects, focusing on Arequipa, Peru, and Saldanha, South Africa, while discontinuing projects in Chile, Egypt, and Spain to maximize production capabilities in these two regions.
Production Capacity and Target Markets
The facilities are projected to produce 440,000 tons of green ammonia annually, with plans to increase this output to 1 million tons in each location. This investment aims to meet the growing demand for green ammonia in the European Union, Japan, and Peruvian markets.
Statements and Outlook
Phelan Green Energy has stated that this project is a major step towards becoming a leading global provider of low-cost green energy. Paschal Phelan, the company’s chairman, emphasized the project’s importance in ensuring a sustainable and economically viable supply of green energy. This investment marks a significant advancement in Peru’s renewable energy sector, bolstering the country’s position in the global green hydrogen and ammonia market.