Plans to construct a $5bn world-scale green hydrogen-based ammonia production facility powered by renewable energy in Saudi Arabia have been unveiled today.
Air Products said it has signed an agreement with ACWA Power and NEOM for the plant, which will be equally owned by the three partners, and supply 650 tonnes per day of green hydrogen, via electrolysis using thyssenkrupp technology, for transportation globally.
Scheduled to be onstream in 2025, Air Products said it will be the exclusive offtaker of the green ammonia and intends to transport it around the world to be dissociated to produce green hydrogen for the transportation market.
“We are honoured and proud to partner with ACWA Power and NEOM and use proven technologies to make the world’s dream of 100% green energy a reality,” said Seifi Ghasemi, Chairman, President and CEO of Air Products.
“Harnessing the unique profile of NEOM’s sun and wind to convert water to hydrogen, this project will yield a totally clean source of energy on a massive scale and will save the world over three million tonnes of CO2 emissions annually and eliminate smog-forming emissions and other pollutants from the equivalent of over 700,000 cars.”
Mohammad A. Abunayyan, ACWA Power Chairman, commented, “ACWA Power has a proven track record of leveraging pioneering renewable technologies to deliver carbon-free power at the lowest cost.”
“With our global experience, we are confident that our collaboration with an industry-leading company like Air Products will create significant opportunities in the production of green hydrogen, and further us in our goal to help countries meet their clean energy targets and unlock significant socio-economic benefits.”
“Based in NEOM’s Industrial Cluster, and enabled by its unique mandate, this investment will integrate and localise cutting-edge technologies that will harness solar and wind power to produce sustainable and globally accessible green energy.”
NEOM CEO Nadhmi Al Nasr added, “This is a pivotal moment for the development of NEOM and a key element in Saudi Vision 2030 contributing to the Kingdom’s clean energy and circular carbon economy strategy.”
“As the world’s largest renewable hydrogen project, NEOM’s Board of Directors, headed by HRH Crown Prince Mohammed bin Salman, and the company’s executive team are delighted to announce this significant milestone for NEOM in becoming a global leader in green hydrogen production and green fuels.”