Investment Interest Announced
On 12 September 2025, Peru’s Minister of Energy and Mines, Romulo Mucho, revealed that the country has attracted expressions of interest totaling more than US$12.5 billion for the development of green hydrogen plants. These commitments come from a mix of international energy companies and investment funds exploring Peru as a potential hub for hydrogen production linked to renewable power. According to the ministry, proposals range from
large-scale industrial projects on the southern coast to pilot plants in high-potential renewable zones.
Strategic Rationale
Peru’s appeal lies in its abundant renewable resources—particularly solar in the southern desert regions and hydro in the Andes—that can power hydrogen electrolysis with low costs and high reliability. Green hydrogen is being positioned as a future export commodity, particularly to Asia and Europe, where demand is growing for clean fuels to decarbonize heavy industry and transport. Officials noted that the hydrogen push is also aligned with Peru’s broader goals of diversifying its energy matrix and capturing more value from global decarbonization trends beyond its traditional role as a minerals exporter.
Challenges & Opportunities
While the announced interest is significant, moving from proposals to actual projects will require clear regulation, infrastructure investments (pipelines, storage, ports), and long-term offtake agreements. Peru also faces competition from countries like Chile, which has already advanced pilot hydrogen projects and regulatory frameworks. Still, if Peru succeeds in securing a portion of the US$12.5 billion pipeline, it could position itself as a regional leader in green hydrogen and diversify its energy exports beyond copper and LNG. For now, the signal is clear: global investors see Peru as a credible candidate for the hydrogen economy.