Eletrobras, Latin America's largest energy company, and Suzano, the world's largest pulp producer, today announce a partnership to study the development of sustainable solutions such as green hydrogen and synthetic fuels. The research will focus on the technical and economic feasibility of utilising natural biogenic CO2 generated as part of Suzano's current production process to manufacture new forms of sustainable fuels.

"This strategic cooperation agreement establishes the basis for studying the feasibility of producing sustainable fuels, aiming to meet the growing demand for low-carbon hydrogen and its byproducts in the national and international market," said Ítalo Freitas, Vice President of Trading and Energy Solutions at Eletrobras.

Biogenic CO2 is generated from the burning of biomass and black liquor derived from the pulp production process at Suzano's mills. It can be captured at source and mixed with renewable hydrogen, generated from water electrolysis, to produce synthetic and clean fuel, especially e-methanol. The study will also assess the viability of constructing a synthetic fuel production unit.

"We believe this study, in partnership with Eletrobras, will strengthen Brazil's competitive edge in the global bioeconomy and could significantly contribute to the energy transition and decarbonization, particularly in transportation. The production of e-methanol, a fuel derived from renewable inputs such as biogenic CO2 and low-carbon hydrogen, is one of the most likely candidates to replace fossil fuels in the maritime industry," said Paulo Squariz, Energy Director at Suzano.

The partnership has been under discussion since the second half of 2023 and reaffirms Eletrobras' commitment to sustainable development, innovation and the energy transition. Eletrobras has also recently signed Memorandum of Understanding (MoU) with other companies and state governments for the production of renewable hydrogen in Brazil.

Suzano has a strong presence in the green energy market and is a global leader in the manufacture of bioproducts derived from eucalyptus. The company produces lignin, microfibrillated cellulose (MFC) and other materials used in the production of items such as textile yarns, rubber and chemical inputs. It is also a global leader in the production of pulp, paper, packaging and consumer goods.

Suzano stands out as one of Brazil's largest producers of green energy from biomass. Suzano's installed capacity for energy generation currently totals 1.3 gigawatts and will increase to approximately 1.7 gigawatts when the Cerrado Project, its new pulp mill under construction in the municipality of Ribas do Rio Pardo, in Mato Grosso do Sul state, operates at full capacity.