Peru’s Minister of Energy and Mines, Rómulo Mucho, revealed that companies are considering investments exceeding $12.5 billion for green hydrogen initiatives.
This development is part of a broader strategy that involves various stakeholders, including United H2 Limited (UHL), which has a substantial interest in Latin America’s hydrogen market.
The $12.5 billion investment figure signals a strong commitment to green hydrogen, positioning Peru as a potential leader in Latin America’s renewable energy landscape. However, this ambition should be measured against industry benchmarks and the feasibility of such large-scale investments.
For context, similar hydrogen projects globally have required significant upfront capital and long-term investment horizons. For instance, Australia’s green hydrogen project in the Pilbara region, aiming to produce 10 GW of renewable energy, has seen investment projections of around $36 billion. Compared to this, Peru’s planned investment appears modest but significant within the regional context.
United H2 Limited (UHL) plays a crucial role in this burgeoning sector. With $45 million in order interest for its subsidiary Alpha H2’s hydrogen injection systems, UHL demonstrates a strategic focus on building a diverse portfolio of revenue-generating companies. This aligns with UHL’s broader goal of achieving over $100 million in revenue by 2026 across its group.
UHL’s approach involves creating a hydrogen ecosystem with interests spanning multiple continents, including North and South America, Asia, Europe, Australia, and the UK. This global strategy not only diversifies risk but also positions UHL to leverage different regional strengths in hydrogen production and consumption. The planned listing of UHL further underscores its ambition to solidify its market position and attract substantial investment.
