ACWA Power, Korea Electric form hydrogen pact
SUMMARY
The companies will develop green hydrogen/ammonia projects in the Middle East and other agreed geographies to decarbonise Kepco’s operations in South Korea.
By Shardul SharmaSaudi Arabia’s ACWA Power and Korea Electric Power Corporation (Kepco) have signed a memorandum of understanding (MoU) to develop green hydrogen/ammonia projects, the Saudi company said on October 11.
The companies are looking to forge a potential partnership in the development of green hydrogen/ammonia projects in the Middle East and other agreed geographies to decarbonise Kepco’s operations in South Korea.
This is the first agreement of its kind between ACWA Power and Kepco, though both companies have been joint investors in projects like Rabigh 1 independent power plant in Saudi Arabia for nearly a decade.
The agreement underscores the commitment of both organisations in decarbonising their operations. While ACWA Power has a net zero emissions target for 2050, Kepco is set to rely increasingly on green ammonia produced by green hydrogen for power generation purposes and targets the utilisation of 5-10 million tonnes of green ammonia by 2030.
The NEOM Green Hydrogen Company, a joint venture with ACWA Power, NEOM and Air Products, is developing the world’s largest green hydrogen project in Saudi Arabia. When commissioned in 2026, it will produce up to 650 metric tons/day of green hydrogen.
In addition, ACWA Power, as part of a joint venture, also recently signed a joint development agreement towards a green hydrogen-based ammonia production facility powered by renewable energy in Oman; as well as an MoU with South Korea’s Posco Holdings for the joint development of green hydrogen to decarbonise the group’s power generation and steel manufacturing processes.
