Neom Green Hydrogen Company’s ‘mega’ green hydrogen production facility secures US$8.4bn in investments

DUBBED the world’s largest by its founding partners, a “mega” green hydrogen production facility run by NEOM Green Hydrogen Company (NGHC) is closer to development after receiving a total investment of US$8.4bn from 23 banks and investment firms across the globe.  

NGHC is an equal joint venture created by ACWA Power, Air Products and NEOM, a planned smart city in Tabuk Province in northwestern Saudi Arabia. 

The plant will be built at Oxagon, a 6.9 km-wide floating industrial hub of NEOM, and is expected to be operational by 2026. Once it is up and running, 4 GW of solar and wind energy will produce up to 600 t/d of carbon-free hydrogen, that will then be transformed into green-ammonia for easier transportation. The hydrogen will be produced via water electrolysis technology that is being supplied by thyssenkrupp.  

Under the contract, thyssenkrupp will engineer, procure, and fabricate a large-scale 20 MW alkaline water electrolysis module for the facility. NGHC will operate the plant once commissioned.  

Up to 1.2m t/y of green ammonia will be produced at the facility using  Haldor Topsoe technology, which uses nitrogen produced by Air Products’ air separation technology. Air Products will be the exclusive offtaker of the green products, and the ammonia will be transported globally via tanker ships. 

In January 2023, Saudi Arabia’s Ministry of Industry and Mineral Resources awarded its first industrial operating license to NGHC, paving the way for the Kingdom to become a leading player in hydrogen production. 

Commenting on the received investment, Nadhmi Al-Nasr, Chairman of NGHC said: “This substantial financial backing from the investment community shows the unmatched potential of NGHC’s green hydrogen project. At scale, this project is the first-of-its-kind internationally, leading the world in the hydrogen revolution. Harnessing the energy of NEOM’s abundant natural resources, NGHC’s project will pave the way for the large-scale adoption of green hydrogen, while driving Saudi Vision 2030’s sustainable development goals.”