Aramco and Air Products Qudra Joint Venture to Produce Blue Hydrogen in Saudi Arabia
Key Ideas
- Aramco has acquired a 50% equity interest in BHIG, a company focused on producing blue hydrogen in Jubail, Saudi Arabia.
- The joint venture aims to develop a hydrogen network in the Eastern Province to provide lower-carbon hydrogen at scale.
- BHIG will produce blue hydrogen from natural gas with carbon capture and storage, aligning with Aramco's CCS activities.
- The partnership between Aramco and Air Products Qudra supports the Kingdom's Vision 2030 by offering energy solutions with lower carbon intensity.
Aramco, in collaboration with Air Products Qudra, has completed the acquisition of a 50% stake in the Blue Hydrogen Industrial Gases Company (BHIG) in Jubail, Saudi Arabia. BHIG, specializing in producing blue hydrogen, will utilize carbon capture and storage technology to ensure lower-carbon hydrogen production. This strategic partnership aims to establish a hydrogen network in the Eastern Province, providing industrial sectors with sustainable energy solutions. By aligning with Aramco's carbon capture and storage initiatives, BHIG is set to begin commercial operations to produce blue hydrogen. The venture not only supports the reduction of carbon emissions but also enables growth and diversification of the energy portfolio in line with Saudi Arabia's Vision 2030. Executives from both Aramco and Air Products Qudra expressed their commitment to advancing the development of a robust hydrogen network, catering to the refining, chemical, and petrochemical industries in the region. This collaboration signifies a significant step towards achieving energy sustainability and environmental goals in the Kingdom.