- Brazil’s Bahia has signed a letter of intent with GoVerde Energia for a $1.6 billion green hydrogen industrial park.
- The project aims to export green methanol for maritime and aviation decarbonisation, with German technology support and the potential for major output expansion in future phases.
Brazil’s northeastern state of Bahia has secured a major early-stage agreement with GoVerde Energia to construct a green hydrogen-driven industrial park.
Bahia’s Secretariat for Economic Development (SDE) and GoVerde CEO Ricardo Junqueira signed the letter of intent, paving the way for an estimated $1.6 billion (9 billion reais) investment in hydrogen, methanol, ammonia production, and solar power infrastructure.
The partners plan to build an industrial site valued at 5.4 billion reais ($950 million) alongside a solar park costing 3.6 billion reais ($633.5 million). The solar facilities will span Juazeiro, Bom Jesus da Lapa, Pindaí, Brumado, and Irecê, with a projected generation capacity of up to 1.5GW annually.
“Clean energy production is the way of the future,” said GoVerde Energia CEO Ricardo Junqueira. “We believe that Bahia has the best conditions in the country to make a project of this magnitude viable.”
Initially, the plant will produce 300 tonnes of green methanol and ammonia daily, along with 155 tonnes of oxygen. Furthermore, each new phase will add 200 tonnes daily, significantly expanding the facility’s output. German suppliers will provide the technology, strengthening the project’s international footprint.
Meanwhile, the project will primarily target export markets, aiming to support decarbonisation efforts in the maritime shipping and aviation sectors, which are urgently seeking scalable zero-emission solutions.
GoVerde Energia has shifted towards green chemicals after its earlier success in solar energy, including participation in the green hydrogen hub at Ceará’s Pecém Industrial and Port Complex, where the majority shareholder, Apollo Asset, made its first strategic moves in 2023.
Although the parties have yet to finalise a timeline for the investment decision or the completion of the first phase, Bahia’s government has highlighted the project as a key step in cementing the state’s leadership in Brazil’s emerging green fuels sector.
“Green methanol is entering the scene to decarbonise entire chains in the maritime and aviation sectors,” Junqueira added. “Bahia has led this green fuels movement, and we believe the state is now one of the best-positioned in the country to develop a project of this magnitude for export and related purposes.”