INERATEC Advances PtL Project in Chile

(INERATEC) INERATEC has begun collaborating with a consortium comprising ARAUCO, Abastible, Copec and its corporate venture capital arm, Copec Wind Ventures, that is advancing in the evaluation of a potential e-Fuel value chain at the Biobío region. The initiative aims to explore the viability of using CO₂ from industrial processes and green hydrogen to produce sustainable fuels. INERATEC contributes as a potential technology provider and has delivered the basic engineering study to support the project’s realization. This development phase builds on the initial concepts explored during the Energy Challenge 2023 and subsequent evaluations under the H2Uppp framework.

A new chapter for Chile’s PtX transformation

The planned PtL (Power to Liquids) plant would be located at ARAUCO’s Biobío industrial complex, one of Latin America’s most significant forestry hubs. The collaboration aims to demonstrate how industrial emitters and emerging hydrogen producers can work together to accelerate the deployment of sustainable e-Fuels in Chile. Within the current development framework, the project envisions utilizing biogenic CO₂ captured from ARAUCO’s operations, alongside locally produced green hydrogen installed by Abastible. For this phase, INERATEC is contributing their specific expertise on highly efficient plants for the two-step process of syngas formation and fuel synthesis within a PtL plant to the technical design. Meanwhile, Copec is providing its expertise in fuel logistics and potential downstream applications. Together, these companies are conducting the necessary engineering studies to assess the feasibility of linking existing industrial infrastructure with Power-to-X technology. The partners are shaping one of Chile’s most advanced PtL initiatives, linking existing industrial infrastructure with cutting-edge Power-to-X technology.

From innovation challenge to project development

The collaboration between INERATEC and its Chilean partners has grown steadily since the Energy Challenge 2023, where initial concepts for e-Fuel production in the Biobío region were explored. The collaboration with INERATEC has been supported by a strategic investment from Copec Wind Ventures, Copec’s corporate venture capital arm, which has enabled the joint evaluation of e-Fuel opportunities in Chile. Then a detailed feasibility study under the H2Uppp framework identified suitable locations and outlined the potential role of regional industrial actors. The engineering progress at the Biobío site now marks a tangible step toward realizing Chile’s first integrated PtL plant. By converting captured CO2 and renewable hydrogen into sustainable hydrocarbons, the planned facility will enable low-carbon fuels for mobility, chemicals, and specialty applications — laying the foundation for a scalable e-Fuel industry in one of the world’s most promising hydrogen markets.

Strong government support

This project is partially funded by CORFO, a Chilean Government agency that provides financial support to different industries. The costs of the basic engineering have been fully covered by the awarded grant.

Local partnership for a climate-neutral future

With ARAUCO’s industrial footprint, Abastible’s renewable hydrogen capabilities, COPEC’s downstream expertise, and INERATEC’s proven PtL technology, the project unites four influential players shaping Chile’s energy transition. Their cooperation reflects a shared ambition to accelerate climate-neutral industrial production and position the Biobío region as a cornerstone of the emerging e-Fuel economy.

Arauco is a Chilean forestry company specializing in the production of pulp, renewable energy, timber, and panel products, with operations spanning the Americas, Europe, and Africa. The company sustainably manages more than 1.7 million hectares of forestland, of which nearly 30% corresponds to Conservation and Protection Areas, and has an annual production capacity of 4.5 million tons of pulp and nearly 8 million cubic meters of panels and wood. Committed to sustainability and renewable resource management, Arauco is actively pursuing forest-based solutions to support economic decarbonization through its R&D center, Bioforest, which is currently leading the P-t-X project.

Copec is a Chilean energy company with 90 years of experience serving its customers. Historically a leader in the storage, marketing, and distribution of fuels, the company is now evolving into a multiservices organization, driven by its passion for service, innovation, and sustainability. Its comprehensive value proposition spans energy, convenience, and mobility solutions, operating the country’s largest network of service stations and convenience stores. With a unique nationwide footprint, Copec seeks to be a key player in Chile, fostering the development and mobility of people, businesses, and the country as a whole.

Abastible is one of Chile’s leading energy companies, a global leader in the liquid gas market, driving energy innovation and transition, with operations in South America and Europe. A subsidiary of Empresas Copec, Abastible has supplied liquid gas as a clean, safe, and reliable energy solution since 1956, maintaining high standards of quality and service. Currently, Abastible ranks among the top 10 liquid gas companies worldwide, positioning it as an international benchmark in the energy sector. READ MORE