Powered by renewable energy, the new facility will produce and export green hydrogen-based ammonia to global markets


The project will be sited in NEOM, Saudi Arabia. (Credit: FreeImages/ramzi hashisho)

Air Products, a producer of industrial gases has signed an agreement with ACWA Power and NEOM to build a $5bn green fuel production facility in Saudi Arabia.

The new facility will be powered by renewable energy to produce and export green hydrogen-based ammonia to global markets.

Equally owned by the three companies, the project will be sited in NEOM, a new model for sustainable living located in the north west corner of the Kingdom of Saudi Arabia.

Air Products chairman, president and CEO Seifi Ghasemi said: “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.

“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.”

The facility is planned to commence operations in 2025

The facility is said to be the first partnership project for NEOM with international and national partners in the renewable energy field.

It will have the capacity to produce 650 tonnes per day of hydrogen through electrolysis using thyssenkrupp technology, powered by more than four gigawatts of renewable energy from solar, wind, and storage.

The plant will also produce nitrogen by air separation using Air Products technology and produce 1.2 million tonnes per annum (Mtpa) of green ammonia using Haldor Topsoe technology.

Air Products will be the exclusive off-taker of the ammonia produced at the plant.

The company plans to ship the ammonia around the world to be dissociated to produce green hydrogen for the transportation market.

The facility is expected to commence operations in 2025.

Recently, Air Products and thyssenkrupp Uhde Chlorine Engineers have signed an exclusive strategic cooperation agreement for the production of green hydrogen.