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Nitrogen+Syngas 396 Jul-Aug 2025

Plans for biogenic methanol plant


Three European energy companies are planning to develop a green methanol plant in Spain that will capture around 380,000 t/a of biogenic carbon dioxide, which will be used to produce 200,000 t/a of methanol. Spanish renewable energy firm Magnon will oversee the carbon capture portion of the project, while partners Power2X and ErasmoPower2X will handle the hydrogen supply. Part of this will see ErasmoPower2X supplying green hydrogen from its facilities in nearby Saceruela. The project will be located at Magnon’s industrial complex in Puertollano, Ciudad Real, where the carbon capture technology will be fitted into its existing biomass plant.

“This initiative … will decarbonise various Spanish industries [such as] steel, automotive, refineries, and aviation,” said Niels van Buuren, EVP of Business Development at Power2X.

Spain has been scaling up its green hydrogen production capacity in recent years, positioning itself as a southern European hub for renewable hydrogen and its derivatives. The country has more than 20 low carbon methanol or power-to-liquid fuel projects at various stages of development, many of them clustered around industrial regions like Andalusia and Castilla-La Mancha. This momentum reflects broader European decarbonisation goals, including the latest Renewable Energy Directive (RED III), which sets binding targets for renewable fuels of non-biological origin in transport and industry. Additional frameworks such as the EU Hydrogen Strategy and the RePowerEU plan further incentivise member states to support synthetic fuel production as part of the bloc’s push to phase out fossil fuels.

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