Future green hydrogen plant in Villeta guarantees the purchase of 100% of its production

Future green hydrogen plant in Villeta already has a guaranteed market.

With the financial plan finalized, details are being finalized for the US$500 million investment in the plant that will position Paraguay as a platform for sustainable production.

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Asuncion, IP Agency.- Atome Energy announced the signing of a long-term commercial agreement with Yara International ASA for the purchase of 100% of the production from the hydrogen plant project in the city of Villeta.

With this, the financial plan becomes viable and the company will move forward in seeking financing to begin the works before the end of the year, reported the representative of Atome Energy in Paraguay, James Spalding.

In a press conference with government authorities, Spalding said that for the Planned investment of US$ 500 million We will work with multilateral organizations, including IDB Invest, as part of the sustainable production projects that we seek to promote in Paraguay.

The hydrogen production plant will be located about 30 kilometres from the town centre of Villeta and will directly employ around 1,300 people, and, once operational, another 1,100.

Hydrogen-based fertilizer production is expected to begin in 2027. At the beginning of June, the completion of the technical study for the construction of the plant was announced; Atome Energy already has an agreement with ANDE for the supply of energy. “The plant will demand 4% of current consumption,” said Spalding.

Vision of a green Paraguay

Rediex Vice Minister Rodrigo Maluff stressed that the investment is an important step in the country’s positioning as a platform for sustainable production and is aligned with the Government’s vision of a Paraguay that leads investments in projects with low environmental impact.

The Deputy Minister of Mines and Energy, Mauricio Bejarano, said that the high investment will allow progress in plans to harness electric energy and diversify the country’s productive matrix.