WHY IT'S IMPORTANT
Brazil has been looking to develop a green hydrogen industry as part of efforts to unlock new sectors to power its energy transition, with government dubbing it a "real possibility" for the country to expand its footprint in renewables.
Green hydrogen can be obtained by the electrolysis of water using renewable power and has emerged as an important way to lower emissions from sectors that are hard to decarbonize, such as transport and steel-making.
EXPORT GOAL
Under the deal, Eletrobras would provide long-term renewable energy supply to GEP's 10.8 gigawatt green hydrogen project in Brazil's northeastern state of Piaui.
GEP expects to export future production from the plant to a hub in Krk, Croatia, as well as ports in Britain, the Middle East and East Asia in order to supply industrial consumers.
KEY QUOTES
"With this important partnership, we are aligned with the strategy of contributing to the decarbonization of the economy and energy security," Eletrobras CEO Ivan Monteiro said.
"Renewable electricity is the cornerstone of our green hydrogen production process, and we are delighted to have it secured from Eletrobras," GEP's CEO Bart Biebuyck said.
