Suape Hub Project for Energy Transition Selected by Ministry of Mines and Energy

The Ministry of Mines and Energy (MME) has announced the results of its selection process for low-carbon hydrogen hub programs aimed at decarbonizing Brazil’s industry. Out of 70 proposals submitted, 12 were selected, including the Suape Hub for Energy Transition project. The public call evaluated commercial-scale hub proposals that produce and utilize low-carbon hydrogen while fostering technological development and national production infrastructure in an integrated and sustainable way. The selected projects will be included in the federal government’s submission for Stage 1 of the Climate Investment Funds – Industry Decarbonization (CIF) competition.

The Suape TE Hub aims to transform the Pernambuco port into a strategic center for producing, storing, and distributing hydrogen and its derivatives, such as e-methanol. The initiative seeks financial support to implement Pier 7, Brazil’s first pier dedicated to sustainable fuel distribution. In its initial phase, the hub will focus on producing green hydrogen, with an estimated annual capacity of 76,000 tons, and creating and distributing e-methanol, estimated at 400,000 tons annually.

These fuels will serve domestic and international markets, meeting local industry and maritime demand while allocating 40% of production for export. In the future, the hub plans to produce and distribute SAF (Sustainable Aviation Fuel) to supply the aviation sector, in line with the targets outlined in the Future Fuel Law (Law No. 14,993, of October 8, 2024).

One of the distinguishing features of the Suape project is its integration with the local sugar-energy industry. This enables the use of biogenic CO₂ captured for e-methanol synthesis. This method adheres to best sustainability practices, adding value to Pernambuco’s fuel production chain and the sugar-energy sector.

“The Suape Hub will promote a just transition by fostering regional economic development and creating green jobs. Partnerships with institutions will enable training programs to equip local workers with the skills to operate and develop hydrogen and renewable energy technologies. This initiative contributes to the socioeconomic development of Pernambuco and enhances the resilience of the local workforce,” explains Suape’s CEO, Marcio Guiot.

The Suape Energy Transition Hub has strong support from the industrial supply chain for producing, storing, and distributing low-carbon hydrogen and sustainable fuels. The proposal submitted to the MME was endorsed by strategic partners such as Cink Group Ltda, Eletrobras-Chesf, Federation of Industries of the State of Pernambuco (Fiepe), Cucaú Sugar and Ethanol S/A, EE Methanol do Brasil Ltda, Goverde Green Hydrogen Holding I Ltda, Advanced Institute of Technology and Innovation (IATI), Solatio, White Martins Industrial Gases of the Northeast Ltda, APM Terminals, Arhyze, PRF S/A, Sindaçúcar-PE, Ultracargo Logística S/A, among others.

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