NGHC to build $8.4 billion green hydrogen plant in futuristic Saudi city NEOM

NEOM Green Hydrogen Company (NGHC) has signed agreements with 23 banks and investment firms to back a new $8.4 billion green hydrogen and ammonia production plant it will build by 2026.

PHOTO: Illustration of the Oxagon port city planned to be powered entirely by renewable energy in the NEOM planned development project. NEOM

NGHC has also closed a financial agreement of $6.7 billion with US-based hydrogen producer Air Products, which will be the contractor and system integrator for the entire facility.

Air Products will receive green ammonia produced at the upcoming plant as a part of an exclusive 30-year off-take agreement with NGHC. A portion of the green ammonia will be used as bunker fuel for tankers.

The mega-plant will be use 4GW of solar and wind energy to produce up to 600 mt/day of carbon-free hydrogen, which will be combined with nitrogen to yield 1.2 million mt/year of green ammonia. The plant will be located in the upcoming futuristic city of NEOM, which is under construction in Saudi Arabia.

NGHC is a joint venture between NEOM, Air Products and Saudi Arabia’s largest private sector power generation company ACWA Power.

By Debarati Bhattacharjee

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