Through this agreement, the Chilean state-owned company and the subsidiary of the French company EDF will begin studies to evaluate the use of Enap's facilities, with the goal of enabling the export of up to 400,000 tons of green ammonia annually, along with other derivative products associated with the projects EDF is developing in the Magallanes region.
Enap and EDF signed a collaboration agreement to initiate studies that will allow the use of the Cabo Negro industrial complex in Magallanes, facilitating EDF’s potential export of around 400,000 tons of ammonia annually, among other derivative products linked to EDF’s ongoing project.
Cabo Negro is located 28 kilometers from Punta Arenas, in the commune of Río Verde, and features port facilities, pipelines, and essential equipment for fuel treatment and distribution within the country. Currently, Enap is promoting a portfolio of projects to enhance the industrial complex's capacities and facilitate the import of equipment related to the green fuel industry.
The region’s strong winds—ideal for wind energy projects—and Cabo Negro’s strategic position for global maritime trade offer unique advantages for developing the green hydrogen industry (H2V) and its derivatives, such as green ammonia. EDF is developing a project for H2V production in Magallanes and is evaluating the use of external ports for the movement of equipment and products.
“We firmly believe that public-private collaboration is the most realistic and feasible path to fostering the development of a sustainable industry in the Magallanes region, and in that process, Enap has a natural key role,” said Gloria Maldonado, Chairwoman of Enap’s Board of Directors. “We have material assets, infrastructure, investment, and human capabilities in place that provide a significant and competitive advantage when thinking about an ecosystem of opportunities and challenges to position our country globally, all while safeguarding and respecting the environment in such a vital region.”
Maldonado further added, “Our Board has been a promoter of the company’s role in the energy transition and the national strategy for green hydrogen development, and we value the administration’s efforts in these areas.”
On the other hand, EDF Chile's CEO, Joan Leal, stated: “At EDF, we are proud of the signing of this MOU with Enap, a clear example of how public-private collaboration promotes the advancement and development of green hydrogen and its derivatives in Magallanes and Chile. This strategic alliance, based on the use of shared infrastructure, is crucial for building a sustainable and competitive industry in the sector. Both Enap and EDF, as a French state-owned company, share the commitment to transforming the potential of Magallanes into a driving force for the country’s and the world’s energy transition.”
In turn, Enap's CEO, Julio Friedmann, said, “Enap is a key company for fuel supply in the country, and we have the duty to adapt to present and future challenges of Chile and the world to accelerate the energy transition and develop cleaner industrial processes. We have the installed technical capacity and the knowledge of our teams to meet the decarbonization goals set by the country, while simultaneously addressing the economic and socio-environmental responsibilities to build a more sustainable Enap. It is in this context that we promote partnerships like the one we are formalizing today with EDF.”