Environmental Licensing Underway for MP2X Renewable Hydrogen and Methanol Project in Sines
Key Ideas
  • The MadoquaPower2X (MP2X) project in Sines is undergoing environmental licensing for the production of renewable hydrogen and methanol, with a significant investment of €2.8 billion.
  • The project aims to produce renewable hydrogen and ammonia, with plans for a dedicated pipeline to the Port of Sines and an estimated start of production in 2029.
  • The initiative is classified as of Potential National Interest and is expected to contribute 10 to 15% of total hydrogen investments planned in Portugal, promoting sustainable economic growth.
  • While the project acknowledges potential impacts on the environment and heritage sites, mitigation measures and monitoring plans are being developed to address these concerns during the construction and operation phases.
The MadoquaPower2X (MP2X) project in Sines, Portugal, is currently undergoing environmental licensing for the production of renewable hydrogen and methanol, with a substantial investment of €2.8 billion. The public consultation process, managed by the Portuguese Environment Agency (APA) and the Alentejo Regional Coordination and Development Commission (CCDR), will continue until the end of July. The project aims to establish two industrial units in the Sines Industrial and Logistics Zone (ZILS) to produce renewable hydrogen and ammonia. The hydrogen plant will have 500 megawatts of electrolysis capacity to power an ammonia production unit, with the final products being transported via pipeline to the Port of Sines for export and marine fuel use. The construction phase is projected to occur between 2026 and 2027, with production scheduled to commence in 2029. The development is expected to promote economic growth with sustainable activities and contribute significantly to hydrogen investments in Portugal. While potential environmental impacts are acknowledged, mitigation and compensation measures are being planned to address concerns related to biodiversity, heritage sites, and sensitive areas.
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