U.S. corporation Air Products and Chemicals signed an accord with Saudi-based ACWA Power International and the kingdom’s planned futuristic city of NEOM to develop a $5 billion hydrogen-based ammonia plant powered by renewable energy, according to reports.
The renewable-energy powered plant will produce ammonia for export, and is scheduled to begin operating in 2025. The project will integrate more than four gigawatts of renewable power, including solar and wind-generated electricity, to produce 1.2 million tons per year of ammonia, according to a statement.
The future site of NEOM, displayed in a brochure produced by city planners.
When completed, it will be the world’s largest green hydrogen project and will supply 650 tons per day of carbon-free hydrogen for transportation globally, and save the world three million tons per year of CO2, the company said.
The joint venture project “is the first partnership for NEOM with leading international and national partners in the renewable energy field and it will be a cornerstone for its strategy to become a major player in the global hydrogen market,” Air Products and Chemicals said. Air Products will be the exclusive off-taker of the green ammonia and intends to transport it around the world to be dissociated to produce green hydrogen for the transportation market.
NEOM is Saudi Arabia’s futuristic new city being developed in the northwest corner of the Kingdom. The city’s motto is “an accelerator of human progress.”
Air Products and Chemicals, Inc. is headquartered in Allentown, Pennsylvania.
“We are honored and proud to partner with ACWA Power and NEOM and use proven technologies to make the world’s dream of 100 percent green energy a reality,” said Seifi Ghasemi, Chairman, President and Chief Executive Officer for 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 tons of CO2 emissions annually and eliminate smog-forming emissions and other pollutants from the equivalent of over 700,000 cars.”
NEOM is Saudi Arabia’s futuristic new city being developed in the northwest corner of the Kingdom. The city’s motto is “an accelerator of human progress.”
“This partnership reflects our deep commitment to developing a carbon positive society which will be a beacon for sustainable living and a solution to many of the environmental challenges facing the world. This demonstrates the ability of NEOM to generate significant partnership opportunities for international and national investors. 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,” NEOM’s CEO Nadhmi Al Nasr said.
