Aramco Invests in Lower-Carbon Hydrogen with BHIG Acquisition
Key Ideas
  • Aramco has signed agreements to acquire an equity interest in Blue Hydrogen Industrial Gases Company in Jubail, focusing on developing a lower-carbon hydrogen network in Saudi Arabia.
  • The investment aims to expand Aramco's new energies portfolio and grow its lower-carbon hydrogen business, with a 50% stake in BHIG alongside Air Products Qudra.
  • BHIG is set to produce lower-carbon hydrogen while capturing CO2, aligning with Aramco's carbon capture and storage activities to support a future energy system.
  • The partnership between Aramco and APQ seeks to drive the creation of the largest hydrogen network in the Middle East, catering to the refining, chemical, and petrochemical industries.
Aramco, a prominent energy and chemicals company, has finalized agreements to acquire a stake in Blue Hydrogen Industrial Gases Company (BHIG) based in Jubail, Saudi Arabia. This move is in line with Aramco's commitment to developing a lower-carbon hydrogen network in the Kingdom's Eastern Province. The investment includes options for Aramco to access hydrogen and nitrogen from BHIG, aiming to bolster its alternative energy solutions. With a 50% ownership alongside Air Products Qudra, Aramco aims to expand its lower-carbon hydrogen business and strengthen its position in the emerging hydrogen economy. BHIG's operations are designed to produce lower-carbon hydrogen while actively capturing and storing CO2, aligning with Aramco's expertise in carbon capture and storage (CCS). The collaboration between Aramco and APQ is envisioned to establish a significant hydrogen network in the Middle East, with a focus on serving various industries including refining, chemical, and petrochemical. This strategic move not only emphasizes the companies' dedication to sustainable energy solutions but also highlights the potential for growth and innovation in the hydrogen sector within the region.
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