Partnership between the Government of Pernambuco and European Energy to create Brazil's first e-methanol factory boosts the green economy and creates new jobs in the renewable fuels sector.
Pernambuco is about to take a leap forward in the renewable fuels sector with the construction of Brazil’s first e-methanol plant, located in the Suape Industrial and Port Complex. The project, the result of a partnership between the Government of Pernambuco and the Danish company European Energy, will position the state as a leader in the production of sustainable fuels for maritime transport, creating new jobs and strengthening the green economy.
Sugarcane and cutting-edge technology: the basis of e-methanol in Pernambuco
The production of e-methanol will be based on sugarcane, one of the most traditional products in the economy of Pernambuco. Using renewable sources such as solar and wind energy, green hydrogen will be combined with carbon dioxide of biogenic origin, resulting in “green methanol”, a clean and efficient fuel that will be used mainly by ships.
Expected to occupy an area of 10 hectares, the e-methanol plant will require an investment of R$2 billion and will be built on land near the Atlântico Sul Shipyard. This project is another step in Pernambuco's commitment to developing a clean economy, taking advantage of its potential for generating renewable energy.
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New e-methanol plant in Pernambuco promises to create 250 direct jobs and up to 15 indirect jobs
The construction of the new factory promises to boost the local economy by creating 250 direct jobs and up to 15 indirect jobs, consolidating Pernambuco as a hub for technological and sustainable innovation. When the factory begins operating in July 2028, around 40 permanent jobs will be created directly at the plant, but the impact on the local economy goes far beyond that. There will be a multiplier effect on supply chains, generating new jobs in several sectors.
During the signing of the contract at the Palácio do Campo das Princesas, Governor Raquel Lyra highlighted the importance of this initiative: “The arrival of European Energy reinforces Pernambuco’s role as a protagonist in the transition to a low-carbon economy, taking advantage of our privileged geographical position and our potential for renewable energy generation. "
Factory construction is scheduled for completion in 2028
Construction work on the plant will begin in October 2024 and is expected to be completed in 2028. The established schedule includes the presentation of the basic project by April 2025, followed by obtaining the necessary environmental permits. The start of construction, scheduled for October 2025, marks another crucial step in the implementation of the country's first e-methanol plant.
The project follows the model of the modern plant that is currently being commissioned in Denmark, one of the most sustainable countries in Europe. With this new plant, Pernambuco will process around 100 tons of e-methanol per year, placing the state in the national and international spotlight as one of the main producers of renewable fuels.
European Energy has already entered into partnerships with giant Maersk to supply e-methanol to the holding company's new vessels
The installation of the plant in Pernambuco is part of a global strategy by European Energy to expand the production of clean fuels. According to the company’s Deputy CEO, Jens-Peter Zink, “Brazil has all the necessary conditions to consolidate itself as a protagonist in the global energy transition. Danish expertise in decarbonization projects will be applied here to support this evolution.”
European Energy has already signed partnerships with the shipping giant AP Moller-Maersk, also Danish, to supply e-methanol to the holding company's new vessels. This includes the new container terminal that APM Terminals is building in Suape, which will be the first 100% electrified terminal in Latin America. With an investment of R$1,6 billion, the terminal is expected to begin operating in 2026, further strengthening the infrastructure of the Suape port complex.
Sustainability and growth for the future
With the installation of the first e-methanol factory in Brazil, Pernambuco takes an important step towards a more sustainable future. The project reflects the state and European Energy's commitment to clean technologies, which, in addition to contributing to environmental preservation, boost the local and national economy.
The Secretary of Economic Development of Pernambuco, Guilherme Cavalcanti, highlighted that this investment is part of a broader strategy to attract new businesses and consolidate the green hydrogen production chain. “We are focused on projects that are currently viable and have a real commitment, and the arrival of European Energy validates our energy transition strategy,” he stated.