Chinese state company CGN plans to invest more than 3bn reais (US$530mn) in a renewable energy hub in Brazil’s Piauí state. 

Investments will be made in wind, PV solar and thermosolar generation and energy storage, creating more than 5,000 jobs in the construction stage, according to a Brazilian government statement released on Monday during the visit of President Luiz Inácio Lula da Silva to China. 

In April, CGN was among the Chinese firms that met with Brazil’s mines and energy (MME) minister Alexandre Silveira, alongside BYD and Huawei. 

During the Lula visit, MME signed a memorandum of understanding with China’s Windey Energy Technology Group and Brazil’s Senai Cimatec for the development of energy storage at a time when Brazil plans to hold its first battery tender. 

The partnership also calls for the creation of a research and development center in Brazil aimed at advancing solutions in wind energy and green hydrogen. 

And it includes joint initiatives to bring clean energy to remote agricultural areas, encouraging the installation of equipment plants in Brazil and mitigating curtailment of renewable generation connected to the electricity grid.

The project will operate in various regions of the country and will seek to develop energy solutions integrated with agriculture, promoting sustainable irrigation and regional development.

Biofuels and power transmission

On Tuesday, Silveira also signed an MOU with China’s National Energy Administration (NEA) to open up the Chinese market to Brazilian ethanol and increase exports. China is currently in the process of implementing E10 (10% ethanol) in its gasoline mix. 

The agreement also includes research, development and technological innovation of first and second generation ethanol and other advanced fuels and applications, such as the production of sustainable aviation fuel (SAF), its application as a substitute for marine or bunker fuel and as an input for the production of bioplastics. 

Another protocol inked between MME and NEA provides for technological development and investment in electricity transmission systems, nuclear energy, renewable generation, isolated systems and energy information with a focus on the energy transition.

Meanwhile, Raízen Energia and SAFPAC lay the foundations for discussions and a potential long-term agreement for the supply of bioethanol by Raízen to SAFPAC for the production of SAF in China.

Oil and gas

Also looking for Chinese partnerships is Brazil’s federal oil giant Petrobras, whose CEO Magda Chambriard met with local investors and government representatives last month. 

“We believe there are opportunities for Chinese companies to work in partnership with Brazilian shipyards, and we are confident that strengthening our cooperation will bring benefits to both our countries. We came to reinforce our cooperative ties and propose new business ventures,” she said.