Abu Dhabi-based AL Fattan Holding Investment has announced a significant investment of $20 million in a green hydrogen and ammonia manufacturing business. The investment will be made in collaboration with LTechUVC, a Korean energy company, and aims to establish a 200 MW green hydrogen and ammonia production project in Abu Dhabi with a total project cost of $400 million.
The partnership between AL Fattan Holding Investment and LTechUVC marks a significant step towards realizing a global carbon-neutral hydrogen society. LTechUVC is a Korean company specializing in green energy, with a range of business areas including domestic hydrogen fuel cell-based eco-friendly convergence, fuel cell power generation, EV charging platforms, and global green hydrogen and ammonia manufacturing.
Lee Ji-young, CEO of LTechUVC, expressed the company’s commitment to strengthening the construction of hydrogen supply chains and establishing themselves as leaders in the green hydrogen and ammonia markets. This investment will further propel their efforts to realize a carbon-neutral future and promote the adoption of sustainable energy solutions.
AL Fattan Holding Investment, through its subsidiary AL Fattan Energy, will spearhead the project in Abu Dhabi. The subsidiary brings extensive experience in the nuclear, oil and gas, and renewable energy sectors, making it well-equipped to oversee the development and implementation of the green hydrogen and ammonia manufacturing project.
In March, the two companies took a significant step forward by establishing a special purpose corporation (SPC) called AL Fattan LTechUVC Green Energy LLC. This SPC will be responsible for the production, supply, and utilization of green hydrogen and ammonia, with a specific focus on supplying green ammonia for ammonia hybrid power generation.
The project’s goals are aligned with Abu Dhabi’s vision of diversifying its energy sources and transitioning to more sustainable alternatives. Green hydrogen and ammonia have emerged as promising solutions to decarbonize various industries and sectors, including transportation and power generation. By investing in the production of these clean energy carriers, AL Fattan Holding Investment and LTechUVC contribute to the development of a greener and more sustainable future.
However, the implementation of the green hydrogen and ammonia manufacturing project is not without its challenges. The production of green hydrogen and ammonia requires a reliable and abundant source of renewable energy, which may necessitate additional investments in renewable power infrastructure. Additionally, the scalability and cost-effectiveness of green hydrogen and ammonia production are areas that require continuous research and technological advancements.
Despite these challenges, the collaboration between AL Fattan Holding Investment and LTechUVC represents a significant stride towards establishing a robust green hydrogen and ammonia industry in Abu Dhabi. The project’s success will not only contribute to the region’s sustainability goals but also serve as a model for other countries and companies looking to embrace clean energy solutions.
