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OXAGON's masterplan
The Ministry of Industry and Mineral Resources issued today, Feb. 1, the first license at OXAGON to NEOM Green Hydrogen Co., Saudi Press Agency (SPA) reported.
This came as part of the Kingdom’s effort to deploy its low-cost hydrocarbons and its strategic location for low-cost renewables.
The NEOM Green Hydrogen plant is expected to begin green hydrogen production using 100% renewables in 2026. It will produce up to 1.2 million tons of green ammonia annually, or 600 tons of green hydrogen on a daily basis. Green ammonia will be exported to global markets, to support the decarbonization of the heavy transport sector, with the aim to reduce carbon emissions.
It is estimated that as a direct impact of the plant, up to 5 million tons of CO2 will be saved per year. When the plant commences operations at OXAGON in 2026, 100% of the green hydrogen will be exportable to global markets in the form of green ammonia, under an exclusive long-term agreement with US-based Air Products Co.
The multi-billion plant will feature almost four gigawatts (GW) of the unique wind and solar energy in the Kingdom. It will produce green hydrogen using the electrolysis 2.2 technology.
In July 2020, NEOM, ACWA Power and Air Products signed an agreement for a $5 billion world-scale green hydrogen-based ammonia production facility, to be powered by renewable energy, Argaam reported.
The project, equally owned by the three partners, will be located in NEOM.
Related News
NEOM signs JV with ACWA Power, Air Products for $5 bln green ammonia production facility |
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