A leading Chilean-German consortium is optimizing the production of green hydrogen (GH2) and its key derivatives, methanol and dimethyl ether, to fast-track the transition away from fossil fuels in mining and other hard-to-electrify industries.
Launched in January 2024, the Power-to-MeDME project brings together experts from seven Fraunhofer-Gesellschaft institutes. Their mission is to increase efficiency and reduce costs throughout the large-scale production chain of methanol and dimethyl ether (DME) derived from green hydrogen.
These derivatives are game-changers: Methanol acts as a maritime fuel, a chemical feedstock, and a base for synthetic jet fuel and clean diesel. Dimethyl ether is an ideal substitute for liquefied petroleum gas (LPG) and diesel, perfect for high-temperature processes and as a platform for other sustainable fuels. Both are essential for decarbonizing sectors that cannot easily rely on electricity alone.
Born at Fraunhofer Chile, Power-to-MeDME has grown into a comprehensive consortium featuring RWTH Aachen University, research institutes RILLL and FiBS, the Chilean-German Chamber of Commerce and Industry (AHK Chile), and Universidad Adolfo Ibáñez.
With over 11 million euros in funding from the German Federal Ministry of Education and Research, the team is tackling the full value chain. This spans from electrolysis for hydrogen production and carbon capture for methanol synthesis, all the way to DME generation.
While Fraunhofer IEE leads the R&D efforts, Fraunhofer Chile is driving local integration with plans to establish an industrial pilot plant in northern Chile. The project goes beyond technology, analyzing the economic, logistical, and socio-economic factors of scaling up production, as well as preparing export routes to Germany.
In parallel, Fraunhofer Chile and Fraunhofer ISE are advancing the PACT DIALOG project. This complementary initiative assesses business opportunities for DME production and explores Power-to-X pathways to drive decarbonization in both Chile and Germany.