The Saudi power group ACWA Power has awarded a FEED contract to a consortium of Tecnicas Reunidas and Sinopec Guangzhou Engineering for the development of a large green hydrogen and ammonia project in Yanbu (Saudi Arabia). The project would include 4 GW of electrolysis capacity, aimed to produce 400 kt/year of green hydrogen, which could be converted to green ammonia. It would also include auxiliary systems, such as a seawater desalination plant and an export terminal, and solar and wind capacity (not included in the FEED). The contract will be executed within 10 months and the project is expected to enter commercial operations in 2030.
The Ministry of Energy of Saudi Arabia is promoting the development of a decarbonised hydrogen production industry for the developed countries market. Several projects are under development, including a 1.2 Mt/year ammonia plant project using 4 GW of solar, wind, and storage worth US$5bn led by NEOM Green Hydrogen Company (NGHC), an equal joint venture created by ACWA Power, Air Products, and NEOM.