A federal court in Brazil has ordered the immediate suspension of Solatio’s massive green hydrogen and ammonia project, located in the state of Piauí. The ruling, which halts the installation license previously granted by state authorities, comes after federal prosecutors raised concerns regarding the project's environmental impact assessments. The preliminary injunction stops all construction activities at the site—where initial clearing began in mid-2025—under penalty of a daily fine, signaling a significant regulatory setback for one of Latin America's largest planned renewable energy investments.
The court's decision centers on critical infrastructure and resource permitting. The judge cited the project's immense water requirements—estimated at over 91 million liters per day from the Parnaíba River—noting that the developers had not yet secured the necessary federal water usage rights (outorga) from the National Water Agency (ANA). Additionally, the court highlighted a lack of technical evidence guaranteeing the project's access to the National Interconnected System (SIN) for its substantial electricity needs. The facility, valued at R$ 27 billion, was designed to produce 400,000 tons of green hydrogen and 2.2 million tons of green ammonia annually, primarily for export to the European market.
For more information on energy projects in Brazil, please visit EICDataStream.