Emirati companies Fertiglobe and Masdar, along with French firm ENGIE, are in discussions to establish a major green hydrogen plant in Abu Dhabi
The proposed plant would have a production capacity of 100 to 200 megawatts, reported Asharq Business.
The green hydrogen initiative is part of Fertiglobe’s ambitious agenda for the upcoming COP28 climate summit, scheduled to take place in the UAE later this year.
According to Fertiglobe CEO Ahmed El-Hoshy, the company is currently assessing additional projects aimed at green hydrogen and blue ammonia production in Abu Dhabi over the next few years.
Fertiglobe, the strategic partnership between ADNOC and OCI Global, is the largest nitrogen fertilizer producer in the Middle East and North Africa (MENA).
El-Hoshy also shared plans for expanding the company’s Ruwais plant in Abu Dhabi in collaboration with South Korean and Japanese firms, with the aim of increasing its current production capacity.
Fertiglobe recently entered into a comprehensive contracting agreement for the design, supply, and installation (EPC) of a low-carbon ammonia production project.
This collaboration involves ADQ, ADNOC, Mitsui, and GS Energy. The production is anticipated to commence within three years, with an annual capacity of up to one million tons.
This month, Fertiglobe reported Q1 2023 revenue of $694 million, adjusted EBITDA of $297 million, adjusted net profit of $135 million, and free cash flow of $271 million.
Following the commissioning of the first phase of Egypt Green Hydrogen in Ain Sokhna during COP27 in Q4 2022, Fertiglobe has announced the production of on-spec green ammonia at its facilities in Egypt.
The Company expects volumes to ramp up during 2023, targeting a Final Investment Decision on the full-scale 100MW electrolyzer plant this year.
The plant aims to produce up to 15,000 tons of green hydrogen as feedstock for producing up to 90,000 tons of green ammonia per year in Fertiglobe’s existing ammonia plants.