Powered by Renewable Energy, Facility Would Produce Green
Energy Products
ALLENTOWN, Pa. and MUSCAT, Oman and RIYADH, Saudi Arabia, May 26, 2022
/PRNewswire/ -- Air Products (NYSE: APD), OQ, Oman's leading integrated energy group, and
ACWA Power (TADAWUL: 2082) today signed a joint development
agreement (JDA) toward a multibillion-dollar investment in a
world-scale green hydrogen-based ammonia production facility
powered by renewable energy in Oman.
The JDA signing follows a memorandum of understanding signed in
December 2021.
Envisioned for Oman's Salalah
Free Zone, the joint venture project would be based on proven,
world-class technology and include: the innovative integration of
renewable power from solar, wind and storage; production of
hydrogen by electrolysis; production of nitrogen by air separation;
and production of green ammonia.
It is anticipated that the green hydrogen-based ammonia
production facility would be equally owned by the project
partners.
Air Products Chairman, President and Chief Executive Officer
Seifi Ghasemi, said, "We are
delighted and honored to work with the government of Oman to develop this multibillion-dollar
project, which would be similar to the world-scale green hydrogen
project we are implementing with our partners in NEOM in the
Kingdom of Saudi Arabia. We look
forward to applying our know-how, technology and more than 60 years
of experience in hydrogen to help move this project forward and
take another significant step in decarbonizing the world."
Commenting on this venture, OQ Chairman Mulham Al Jarf said, "We are proud of our
partnership with ACWA Power and Air Products. This project
positions OQ as an energy transition enabler, while playing on our
strengths and leveraging our expertise in the downstream chemicals
business, particularly in Salalah where we have extensive
operations, and our demonstrated ability to off-take products and
competitively deliver them to global customers. The project fits
well with the Sultanates' renewable energy strategy and fosters
investments in alternative energy resources, both of which
contribute to Oman Vision 2040."
ACWA Power Chairman Mohammad A. Abunayyan said, "As
a company that is driving the transition towards a greener future
through utilizing cutting-edge technologies and innovative
solutions, we are extremely proud to support the Government of
Oman's ambition to pursue
decarbonization and advance the development of green hydrogen,
considered to be the fuel of the future. Our investment in
developing and building water desalination and power production
plants in Oman started in 2011,
and we continue to expand our robust portfolio in the Sultanate.
Utilizing our global expertise, we were successfully able to launch
Oman's first utility-scale
renewable energy project. Oman
continues to be a key market for ACWA Power for its potential,
resources and location, making it a tremendous enabler for the
production of green hydrogen. The signing of the joint development
agreement is another milestone and signifies the continued trust
being placed in ACWA Power by all our partners in bringing this
ambitious project to life."
"We aim to leverage our proven track record, knowledge and
expertise in developing sustainable global scale green projects
including NEOM – a pioneering at-scale green hydrogen and ammonia
facility, and we are confident of leading green hydrogen
development globally through partnership and collaboration,"
Abunayyan added.
About Air Products
Air Products (NYSE: APD) is a world-leading industrial gases
company in operation for over 80 years. Focused on serving energy,
environment and emerging markets, the Company provides essential
industrial gases, related equipment and applications expertise to
customers in dozens of industries, including refining, chemicals,
metals, electronics, manufacturing, and food and beverage. Air
Products is also the global leader in the supply of liquefied
natural gas process technology and equipment. The Company develops,
engineers, builds, owns and operates some of the world's largest
industrial gas projects, including: gasification projects that
sustainably convert abundant natural resources into syngas for the
production of high-value power, fuels and chemicals; carbon capture
projects; and world-scale low- and zero-carbon hydrogen projects
supporting global transportation and the energy transition.
The Company had fiscal 2021 sales of $10.3 billion from operations in over 50
countries and has a current market capitalization of about
$55 billion. More than 20,000
passionate, talented and committed employees from diverse
backgrounds are driven by Air Products' higher purpose to create
innovative solutions that benefit the environment, enhance
sustainability and address the challenges facing customers,
communities, and the world. For more information, visit
www.airproducts.com or follow us on LinkedIn, Twitter, Facebook or
Instagram.
Air Products' Cautionary Note Regarding Forward-Looking
Statements: This release contains "forward-looking statements"
within the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. These forward-looking statements are
based on management's expectations and assumptions as of the date
of this release and are not guarantees of future performance. While
forward-looking statements are made in good faith and based on
assumptions, expectations and projections that management believes
are reasonable based on currently available information, actual
performance and financial results may differ materially from
projections and estimates expressed in the forward-looking
statements because of many factors, including risk factors
described in our Annual Report on Form 10-K for the fiscal year
ended September 30, 2021. Except as
required by law, we disclaim any obligation or undertaking to
update or revise any forward-looking statements contained herein to
reflect any change in the assumptions, beliefs or expectations or
any change in events, conditions or circumstances upon which any
such forward-looking statements are based.
About OQ
OQ is wholly owned by the Government of Oman through the Oman Investment Authority
(OIA) and is Oman's leading
integrated energy group with businesses operating across the energy
value chain. OQ was established in 1996 to pursue investment
opportunities in the energy sector both inside and outside
Oman.
In June 2020, the Group announced
the formation of its new Alternative Energy (AE) business unit.
This new business unit is intended to leverage the Group's broad
asset base, its integration capabilities and provide resilience and
organic growth to OQ's business as well as reduce its carbon
footprint. The AE operating model is organized around three
pillars: energy excellence, clean energy and low carbon
molecules.
About ACWA Power
ACWA Power (TADAWUL: 2082) is a developer, investor and operator
of power generation, desalinated water and green hydrogen
production plants. Registered and established in 2004 in
Riyadh, Saudi Arabia; ACWA Power
employs about 3,500 people and is currently present in 12 countries
in the Middle East, Africa, Central
Asia and Southeast Asia.
ACWA Power's portfolio comprises 65 assets in operation, advanced
development, or construction with an investment value of
SAR 253.5 billion (USD 67.6), with capacity to generate 43.4 GW of
power and produce 6.4 million m3/day of desalinated water per day,
delivered on a bulk basis to address the needs of state utilities
and industries on long term, off-taker contracts under utility
services outsourcing and Public-Private-Partnership models.
ACWA Power's mission is to deliver electricity and desalinated
water reliably and responsibly at a low cost, thereby contributing
effectively to the sustainable, social and economic development of
communities.
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SOURCE Air Products; OQ; ACWA Power