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HIF Global green hydrogen project dispute

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2026-09-15 15:53 UTC → 2026-09-30 03:50 UTC · added ~~removed~~

The HIF Global green hydrogen and synthetic fuels project, valued at over $5 billion, has faced significant diplomatic and legal challenges due to its proximity to the Argentine border. Initially, tensions arose because the proposed site in the department of Paysandú was located only 3 kilometers from the coast of Colón, Argentina. Authorities in Entre Ríos and the municipality of Colón requested a relocation to prevent ‘visual pollution’ on the shared riverbank. Additionally, Argentine legislators filed a civil lawsuit alleging the project was proceeding without proper intervention from the Uruguay River Administrative Commission (CARU). In response to these pressures, President Yamandú Orsi ordered the relocation of the plant to an Ancap site. While some legal demands regarding visual pollution were addressed through this move, judicial action led by Argentine prosecutor Josefina Minatta remains active. Despite these complexities, the project is intended to continue, with UTE and HIF Global reportedly reaching closer agreements on pricing. Foreign Minister Mario Lubetkin has communicated the relocation decision to Argentine counterpart Pablo Quirno. The project, which aims to produce up to 876,000 tons of methanol annually, may be moved to industrial areas within Paysandú, such as land owned by the state oil company ANCAP, to mitigate impacts on the shared river landscape. Recently, the National Congress of Ediles approved a declaration supporting the installation of the HIF Global plant in Paysandú, describing it as a ‘strategic opportunity’ for the western region that promises infrastructure development and job creation. During the vote, the Frente Amplio party abstained, noting that the government remains in active negotiations with the company. In broader regional developments, Uruguay has advanced its green hydrogen research through the inauguration of a pilot plant in Durazno by the Technological University (UTEC) and the University of the Republic (Udelar).

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