ExxonMobil has signed an agreement with Abu Dhabi National Oil Company (ADNOC) for a low-carbon hydrogen and ammonia production facility in Baytown, Texas. ADNOC will acquire a 35% stake in the project, which aims to boost low-carbon fuel production and reduce greenhouse gas emissions. The facility is designed to capture and store emissions underground, contributing to both companies' net-zero targets. However, there has been a one-year delay in the project's initiation. The project, one of the largest globally, plans to produce 1 billion cubic feet of low-carbon hydrogen per day with 98% of carbon emissions expected to be removed. It also includes 1 million tons of low-carbon ammonia annually. Ammonia serves as a carrier for hydrogen in the liquid state. The final investment decision is set for 2025, with operations expected to start in 2029. ExxonMobil's project hinges on government support and necessary tax incentives, with potential risks if tax credits are restricted. The project utilizes natural gas for hydrogen production, with carbon capture technology to mitigate emissions. ADNOC's investment aligns with its global growth strategy, expanding its range of lower-carbon energy sources and supporting decarbonization initiatives. The article also includes insights on other energy companies' stock picks and rankings in the industry.