Eletrobras and Suzano Forge Partnership to Pioneer Green Hydrogen and Synthetic Fuels Market

Eletrobras, Latin America's leading electricity company, has entered into a partnership with Suzano, the world's largest cellulose producer, to develop sustainable solutions using biogenic CO2 from Suzano's production facilities. This agreement focuses on renewable raw materials, with plans to jointly explore the production of renewable hydrogen and synthetic fuels to replace fossil fuels in various transportation modes.

Initiated in the second half of 2023, discussions between Eletrobras and Suzano led to the signing of a Memorandum of Understanding (MoU). The collaboration aims to assess the technical and economic viability of establishing a synthetic fuel production unit.

The agreement between Eletrobras and Suzano lays the groundwork for strategic collaboration focused on producing sustainable fuels, particularly to meet rising global and domestic demands for low-carbon hydrogen and its derivatives. Ítalo Freitas, Vice President of Commercialization and Eletrobras Energy Solutions, highlights the initiative's aim to cater to the increasing market interest in eco-friendly energy solutions, underscoring a commitment to advancing sustainable practices in the energy sector.

Suzano's Energy Director, Paulo Squariz, emphasizes plans to collaborate with Eletrobras on advancing studies to enhance Brazil's position in the global bioeconomy. They aim to develop e-methanol, derived from renewable sources like biogenic CO2 and low-carbon hydrogen. This sustainable fuel shows promise for replacing fossil fuels in sectors such as maritime transport, supporting global efforts towards energy transition and decarbonization.

The process involves capturing biogenic CO2—produced from biomass combustion and black liquor in Suzano's pulp production—and combining it with renewable hydrogen, derived from water electrolysis. This combination can create clean synthetic fuel, notably e-methanol, which has high demand and scalability potential.

By formalizing this partnership, Eletrobras underscores its strategic commitment to advancing energy transition, sustainable development, and fostering innovation and operational excellence. This MoU with Suzano aligns with Eletrobras' broader strategy of forging alliances with various stakeholders, including other companies and state governments in Brazil. These collaborations aim to drive the production of renewable hydrogen, positioning Eletrobras at the forefront of sustainable energy solutions, while catalyzing economic growth and environmental stewardship in the region and beyond.

Suzano, a leader in the green energy market and global bioproducts, produces pulp, paper, packaging, and consumer goods from eucalyptus. Beyond these, Suzano manufactures lignin, microfibrillated cellulose (MFC), and other materials for textile, rubber, and chemical industries. The company is also a major biomass energy producer in Brazil, with an installed power generation capacity of 1.3 gigawatts, expected to rise to 1.7 gigawatts with the upcoming Cerrado Project in Ribas do Rio Pardo (MS).