Brooge Energy, an infrastructure provider currently engaged in clean petroleum products, biofuels, crude oil storage and related services, has intended to focus on renewable energy infrastructure.
Going ahead with the plan, the company has announced that it will conduct its business and operations through its subsidiary Brooge Petroleum and Gas Investment Company FZE (BPGIC). BPGIC is strategically located outside the Strait of Hormuz at the Port of Fujairah in the Emirate of Fujairah in the UAE.
It established Brooge Renewable Energy Ltd (BRE), a wholly-owned subsidiary of Brooge Energy to focus on green energy-related infrastructure activities. The new subsidiary will focus on ventures that are intended to accommodate the necessary energy transfer from fossil fuels into energy produced from renewable resources as the private sector and regulators are increasingly focusing on combatting the harmful effects of climate change.
Brooge Energy plans green hydrogen and green ammonia plant in Abu Dhabi’s KIZAD
As the first step, BRE has planned a green hydrogen and green ammonia plant in the Khalifa Industrial Zone Abu Dhabi (Kizad), Abu Dhabi that is targeted to produce up to 300,000 MT green ammonia per annum once fully completed. BRE has signed a preliminary land lease agreement for a 150,000 sqm. plot with KIZAD that will host this plant on a plot of land with sufficient access to the sea allowing for the export of the produced products to its off-takers.
Commenting on this new business, Nicolaas Paardenkooper, CEO of Brooge Energy, stated: “Global demand for clean energy sources has been strong and is expected to accelerate in the coming years. A decade ago, the Company undertook the initiative to become more environmentally friendly.”
“As a result, Brooge Energy is at the forefront of the clean energy movement having already built one of the most environmentally friendly storage facility in the world, including being among the lowest waste producers in its industry from its terminal as well as being fully compliant with local and international guidelines in respect to emissions. Its facilities are also equipped with solar panels and are reliant on clean power for its energy sources. This latest initiative has us well-positioned to continue to build value for shareholders.”
Paardenkooper added: “This new facility is a significant milestone for the company’s clean energy strategy. We are entering into this market segment that has excellent growth potential. Shifting power generation to renewable sources is a key pillar of global efforts to reach carbon neutrality and we believe green hydrogen, which has significantly lower carbon emissions than grey hydrogen, is a key part of this process.”
“We are proud to be one of the first companies in the UAE that has announced that it will be constructing and operating this type of infrastructure that will be solely powered by renewable resources. Our teams and their advisors have worked diligently on this project, and we look forward to its successful completion,” he concluded.
