Aramco and Air Products Qudra Collaborate for Lower-Carbon Hydrogen Production Venture in Saudi Arabia
Key Ideas
- Aramco signs agreements to acquire equity in Blue Hydrogen Industrial Gases Company, a subsidiary of Air Products Qudra, aiming to develop a lower-carbon hydrogen network in Saudi Arabia's Eastern Province.
- The collaboration between Aramco and APQ is expected to support the growth of Aramco's New Energies portfolio, focusing on hydrogen production with lower emissions and the establishment of a vibrant marketplace for lower-carbon hydrogen.
- BHIG, the company in focus, is designed to produce lower-carbon hydrogen while incorporating carbon capture and storage (CCS) technologies, aligning with the companies' commitment to sustainability and future energy systems.
- Both parties express excitement about the partnership, highlighting the potential for commercial opportunities in hydrogen with lower emissions, and the creation of the largest hydrogen network in the Middle East to serve various industries' requirements.
Aramco and Air Products Qudra have entered into definitive agreements to collaborate on developing a lower-carbon hydrogen production business in Saudi Arabia, with a focus on the Eastern Province. Aramco's investment in the Blue Hydrogen Industrial Gases Company (BHIG) aims to facilitate the establishment of a hydrogen network to serve domestic and regional customers. The joint ownership between Aramco and APQ is set to accelerate the hydrogen economy in the region, catering to industries like refining and petrochemicals. BHIG's operational model includes CO2 capture and storage, aligning with the companies' sustainable energy goals.
Aramco's Executive Vice President highlighted the company's commitment to expanding its New Energies portfolio and leveraging carbon capture and storage technologies for the production of lower-carbon hydrogen. The partnership with APQ is seen as a strategic move towards creating a robust marketplace for sustainable hydrogen. Similarly, Air Products Qudra's Chairman emphasized the importance of supporting Aramco's hydrogen supply needs while driving the growth of the hydrogen network.
The collaboration between Aramco and APQ underscores a mutual excitement for the potential commercial prospects in the hydrogen sector with reduced emissions. Both entities are enthusiastic about the opportunity to contribute to the energy transition and sustainability goals through the development of innovative hydrogen solutions and infrastructure. The partnership is expected to play a significant role in shaping the future energy landscape in the Middle East.
Topics
Asia
Sustainability
Investment
Energy Transition
Market Expansion
Partnership
Carbon Capture
Technology Transfer
Pipeline Operations
Latest News