Saudi Arabia to see world’s largest green hydrogen facility in NEOM

NEOM, THE SUSTAINABLE regional development in northwest Saudi Arabia, has outlined a clear path towards the at­scale production of green hydrogen in NEOM for the global market, playing a key role to meet Crown Prince Mohammed bin Salman, Prime Minister and chairman of the NEOM Company Board of Directors’ vision to diversify the economy and pave the way for the kingdom’s plan to reach net zero emissions by 2060.

The NEOM Green Hydrogen Company (NGHC) facility being built in Oxagon is set to be the world’s largest commercial­scale green hydrogen production facility. Once operational in 2026, it will produce an initial 600 tonnes of green hydrogen per day, which will be available for global export, saving as much as 5 mn tonnes of CO2 emissions per year.

During the announcement of its recent financial close, NGHC – an equal joint venture between NEOM, ACWA Power and Air Products –highlighted the support of 23 financial institutions, including Saudi Industrial Development Fund (SIDF), National Infrastructure Fund (NIF), as well as local and international banks. This funding is not only a critical milestone on the way towards delivering NGHC’s global ambitions, but a vote of confidence from partners and financiers in NEOM as an incubator for renewable energy solutions and a hub for carbon­conscious investment.

NEOM’s attainment of several key enabling milestones recently, falls in line with Energy Minister HRH Prince Abdulaziz bin Salman’s goal for Saudi Arabia to be a leading exporter of hydrogen to the world.

Nadhmi Al­Nasr, CEO, NEOM and chairman, NEOM Green Hydrogen Company, said, “NEOM is committed to addressing global challenges, which includes minimising carbon emissions through the advancement of clean energy solutions such as Green Hydrogen. Along with our partners Air Products and ACWA Power, NEOM is investing in technology and industry innovations that will support a global transition to clean and sustainable energy. Through this work, we will create jobs, attract and develop local and international talent, as well as help drive economic diversification in the kingdom.”

Oxagon, the home of advanced and clean industries in NEOM, was selected as the location for NGHC due to its natural resources, strategic coastal location and the opportunity for industrial efficiency as a result of proximity to supporting cutting ­ edge facilities and future tenants based there.

With NGHC as the renewable energy flagship tenant within the manufacturing eco­system being developed at Oxagon, immediate downstream and upstream localisation opportunities are already emerging.