Ancap will launch a natural hydrogen bid round in Uruguay by the end of this year, say executives

Ancap, the state-run energy company in Uruguay, plans to start a bid round by the end this year for the exploration and development of natural hydrogen. The first offers are expected in 2026.

Ancap also plans to launch a bid round for investment in carbon capture, which could be in 2027. This was revealed by the company's representatives at a Houston conference.

Geologists consider Uruguay a promising area for the exploration of natural hydrogen due to its significant presence in the rocks.

The government of Uruguay has given priority to green hydrogen production in its push for renewable energy, but it also recognizes the power of natural hydrogen produced by geological processes deep within the earth's crust.

Santiago Ferro, the Ancap energy transition manager, stated that Ancap was "most like" to receive bids for green hydrogen and natural hydrogen by 2026.

Ferro said that the contract details for green hydrogen offshore development announced in 2024 need to be clarified. (Reporting from Marianna Pararaga in Houston, Writing by Lucinda Elliot; Editing by Kylie Madry).

(source: Reuters)