Uruguay's Hydrogen Exploration: A New Frontier

Uruguay's state-owned energy company, Ancap, is poised to initiate a bidding round for natural hydrogen exploration and development by the end of this year, with the first offers anticipated in 2026.

The firm is also considering a 2027 bidding round for carbon capture investments, as discussed at a Houston conference. Uruguay's geological framework positions it as a promising candidate for natural hydrogen exploration.

The Uruguayan government is committed to prioritizing green hydrogen as part of its renewable energy agenda, yet it acknowledges the geological potential for natural hydrogen production. Ancap's Santiago Ferro noted the probability of receiving offers by 2026, with ongoing discussions on contract specifics for a 2024 offshore green hydrogen round.

(With inputs from agencies.)