The first industrial license was granted to NEOM Green Hydrogen Co. at OXAGON by the Saudi Arabian Ministry of Industry and Mineral Resources, according to the Saudi Press Agency.
The joint venture is a 50/50 partnership between NEOM, ACWA Power, and Air Products.
It is a part of the Kingdom’s initiatives to lead the world in hydrogen production while retaining its position as a significant participant in the energy industry.
In 2026, the NEOM Green Hydrogen facility is anticipated to start producing green hydrogen using only renewable energy. Up to 1.2 million tons of green ammonia or 600 tons of green hydrogen per day might be produced. In order to aid in the decarbonization of the heavy transportation sector, green ammonia will be marketed to international markets.
The facility is anticipated to produce up to 5 million tons of CO2 yearly. An exclusive long-term deal with US-based Air Products Co. would allow 100% of the green hydrogen to be exported to international markets in the form of green ammonia when the plant at OXAGON starts operating in 2026.
Utilizing electrolysis 2.2GW technology, the facility will generate green hydrogen using around 4 GW of wind and solar energy.