INERATEC and GIZ enter into cooperation to scale e-fuel production in Chile

The German company INERATEC, a market leader in power-to-X, has entered into a public-private cooperation with the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH to scale up the production of e-fuels in Chile. The project is part of the International Hydrogen Ramp-Up (H2Uppp) program and is funded by the German Federal Ministry of Economics and Climate Protection (BMWK).

Karlsruhe, Germany - INERATEC and GIZ have agreed to collaborate to advance the production of e-fuels in Chile. The project aims to demonstrate the use of power-to-liquid (PtL) plants with modular synthesis units. The partnership is part of the BMWK-funded H2Uppp program, which supports international hydrogen development.

This collaboration demonstrates how the German government supports the decarbonization process and the promotion of sustainable fuels.

Javier Ortiz, Head of GIZ's H2Uppp Program.

E-fuels are synthetic fuels that can directly replace fossil fuels in different transportation sectors such as ships, planes, trucks, and cars. The production of these e-fuels from green hydrogen in Chile supports the country's national hydrogen strategy and the expansion of renewable energy. This reduces dependence on imported fossil fuels and mitigates risks posed by fluctuations in oil prices and disruptions in supply. At the same time, it increases the competitiveness of Chilean industry.

Chile is one of the sweet spots

The collaboration will assess the potential of e-fuel production facilities in Chile. Potential customers and suppliers as well as different regions will be analyzed in order to make plant designs efficient according to local requirements. By working with industry, academia and local communities, the partners aim to build a sustainable value chain for e-fuels in the country.

Philipp Engelkamp, CCO of INERATEC, emphasizes Chile's immense potential as a location for e-fuels production due to the availability of renewable electricity. INERATEC plans to build an e-fuel plant that will recycle tons of CO2 every hour. The company's modular approach allows it to scale production capacity in parallel with the expansion of renewable energy and the availability of CO2 sources. Together with their local partner Ferrostaal Chile, they aim to forge strong links and drive projects to provide large volumes of e-fuels and create a more sustainable future.

E-fuels are a promising option to make sectors such as mining, shipping, aviation and heavy transport independent of fossil fuels and reduce CO2 emissions. In December 2022, we reported on Startbase about the funding for Ineratec of EUR 6 million.