Acwa Power, OQ, and Air Products to build hydrogen-based ammonia plant in Oman

ACWA Power, OQ and Air Products 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 project partners would equally own the green hydrogen-based ammonia production facility.

Seifi Ghasemi, CEO of Air Products Chairman, said, “We are delighted and honoured 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.”

OQ Chairman Mulham Al Jarf, said, “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.”

Mohammad Abunayyan,  ACWA Power Chairman, said, “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.”