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Saudi oil giant Aramco has inked final agreements to acquire a 50% stake in Blue Hydrogen Industrial Gases Company (BHIG), a Jubail-based unit of Air Products Qudra (APQ), it said in a statement yesterday. No financial details on the transaction were provided, but the acquisition will see Aramco get the option to buy hydrogen and nitrogen from BHIG. APQ is a joint venture between US industrial gas supplier Air Products and local energy startup Qudra Energy.
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The rationale? Develop a lower-carbon hydrogen network locally: Aramco said it expects its investment in BHIG to help create a lower-carbon hydrogen network in the country’s Eastern Region that would serve local and regional customers in the refining, chemical and petrochemical industries.
What they said: “This investment highlights Aramco’s ambition to expand its new energies portfolio and grow its lower-carbon hydrogen business… We intend to leverage our growing capabilities in carbon capture and storage (CCS), as well as our technical expertise in hydrogen, with the ambition to support the establishment of a vibrant marketplace for lower-carbon hydrogen,” Aramco Executive Vice President of Strategy & Corporate Development Ashraf Al Ghazzawi said.
REMEMBER- Air Products is no stranger to Saudi: Neom Green Hydrogen Company, a joint venture between Neom, Acwa Power, and Air Products, is setting up a USD 8.5 bn utility-scale green hydrogen facility with a 1.2 mn ton annual green ammonia production capacity powered by nearly 4 GW of renewable power.
