How NEOM Green Hydrogen Company is championing Saudi Arabia’s clean energy transition

Special How NEOM Green Hydrogen Company is championing Saudi Arabia’s clean energy transition
Hydrogen production from renewable energy sources. (Shutterstock)
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Updated 01 October 2024
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How NEOM Green Hydrogen Company is championing Saudi Arabia’s clean energy transition

How NEOM Green Hydrogen Company is championing Saudi Arabia’s clean energy transition
  • NEOM is leading Saudi Arabia’s mission to become a top manufacturer and exporter of clean energy
  • The project aligns with Saudi Vision 2030, diversifying the Kingdom’s economy while cutting carbon emissions

RIYADH: As global efforts to combat climate change intensify, Saudi Arabia is making bold strides in green hydrogen production, positioning itself as a world leader in the manufacture and export of sustainable energy.

At the heart of this transformation is the NEOM Green Hydrogen Company, a key component of Vision 2030, the Kingdom’s blueprint for diversifying its economy away from oil and achieving sustainability.

Green hydrogen, produced by splitting water into hydrogen and oxygen using renewable energy sources like wind and solar power, has emerged as a critical solution in the fight against climate change.

Unlike gray or blue hydrogen, which are produced from natural gas and emit carbon dioxide or require carbon capture technologies, green hydrogen offers a zero-emissions alternative that can be used across various sectors, from transportation to manufacturing and energy storage.

As part of Saudi Arabia’s long-term energy strategy, NGHC is harnessing the country’s abundant wind and sunshine to produce green hydrogen on a massive scale.

The initiative will not only help Saudi Arabia reduce its domestic carbon footprint but also position the Kingdom as a major global supplier of green hydrogen, helping other countries reduce their emissions.




To ensure that its green hydrogen plant is carbon-free, NGHC produces hydrogen only from solar and wind, said CEO Wesam Al-Ghamdi. (Shutterstock photo)

In an exclusive interview with Arab News, Wesam Al-Ghamdi, CEO of NGHC, described how NGHC’s and the project’s focus on green hydrogen is aligned with the broader objectives of Vision 2030.

“We are proud to say that our vision is driven by Vision 2030,” he said. “Our product, our green ammonia, will be saving the world 5 million tonnes of carbon emissions.”

NGHC is set to be a cornerstone in Saudi Arabia’s green energy ambitions, producing up to 600 tonnes of green hydrogen daily using renewable energy from the vast solar and wind farms situated in NEOM — a futuristic city being built in northwest Saudi Arabia. 




Wesam Al-Ghamdi, CEO of NEOM Green Hydrogen Company. (Supplied)

Indeed, NEOM’s geographic position, with optimal sunlight and wind conditions, makes it an ideal hub for green hydrogen production.

At the core of NGHC is its cutting-edge technology. 

According to Al-Ghamdi, this will enable us to scale production at the plant to effectively support global decarbonization efforts, even within traditionally hard-to-abate sectors.




Late last year, NEOM started receiving wind turbines to power its green hydrogen plant in Oxagon, a floating industrial city under development on the coast of the Red Sea. (NEOM photo)

Additionally, ENOWA’s Hydrogen Innovation and Development Center (HIDC), located at Oxagon features a project by NGHC and will focus on R&D, training and development and will ensure the Kingdom stays ahead of evolving green energy technologies.

Al-Ghamdi stressed the entire development was designed with environmental considerations in mind. “Since we started the development and the design phase, we have been building the plant to be environmentally friendly,” he said.

While some critics argue that large-scale hydrogen production could inadvertently create environmental challenges, NGHC’s leadership emphasizes the sustainable nature of the operation

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The company aims to produce hydrogen entirely through renewable energy sources, ensuring minimal environmental disruption.

“We are building the plant to be carbon-free. We are only producing hydrogen from solar and wind,” said Al-Ghamdi.

He further highlighted that environmental policies and procedures would remain central to the project as it evolved.




NEOM Green Hydrogen Company leaders on field visit. (Supplied)

“For the future, the keyword is reinforcement,” he said. “We build our policy, procedures and framework around starting the operations and continuing the operations to be environmentally friendly.”

NGHC’s ambitions extend far beyond the borders of Saudi Arabia. The project aims to position the Kingdom as a global leader in hydrogen production, while also creating thousands of new jobs and stimulating local economies.

These efforts reflect a broader global shift toward sustainable energy, offering a glimpse into the future of the hydrogen economy.

DID YOUKNOW?

• Green hydrogen releases zero carbon dioxide and its only byproduct is water, making it the cleanest hydrogen fuel.

• By 2030, half of Saudi Arabia’s power will come from renewable sources, including green hydrogen.

• Saudi Arabia plans to invest more than $200 billion in renewable energy by 2030, boosting green hydrogen initiatives.

International collaboration is seen as a key factor in the project’s success. By working closely with leading global industry partners, ACWA Power, Air Products, and NEOM, NGHC is ensuring it remains at the forefront of green hydrogen production.

Such partnerships are crucial for knowledge-sharing and innovation in the hydrogen sector. 

“ACWA Power and their experience, deep knowledge, and renewable power continues to be a source for us,” said Al-Ghamdi.




NEOM Green Hydrogen Company recently partnered with the Energy & Water Academy to train Saudi Arabia’s future green energy workforce. (NEOM photo)

For Saudi Arabia, green hydrogen is more than just a tool for reducing emissions — it is a critical element of its Vision 2030 strategy to diversify the economy and reduce its dependence on fossil fuels.

“Saudi Arabia especially, the major countries of the G20, the decarbonizing and net-zero targets, are telling us that there is nowhere to go but to decarbonize,” said Al-Ghamdi.

“No one doubts that hydrogen is the fuel of the future.”
 

 


Saudi foreign affairs minister discusses regional developments with French counterpart

Saudi foreign affairs minister discusses regional developments with French counterpart
Updated 11 December 2024
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Saudi foreign affairs minister discusses regional developments with French counterpart

Saudi foreign affairs minister discusses regional developments with French counterpart
  • Prince Faisal and Jean-Noel Barrot discussed topics of common interest

RIYADH: The Saudi Minister of Foreign Affairs Prince Faisal bin Farhan bin Abdullah received a phone call on Tuesday from Jean-Noel Barrot, France’s minister of Europe and foreign affairs.

The Saudi Press Agency reported that the two ministers discussed regional developments and topics of common interest during their call.


Saudi Air Force commander attends finale of Tuwaiq 4 military drills

Saudi Air Force commander attends finale of Tuwaiq 4 military drills
Updated 31 min 20 sec ago
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Saudi Air Force commander attends finale of Tuwaiq 4 military drills

Saudi Air Force commander attends finale of Tuwaiq 4 military drills
  • Prince Turki met air force officers from Oman, Jordan, Morocco, Qatar, the UK, the US, Greece, and the UAE

RIYADH: Prince Turki bin Bandar bin Abdulaziz, the lieutenant general and commander of the Royal Saudi Air Force, attended the finale of the joint Tuwaiq 4 military drills on Tuesday.

Prince Turki arrived at Prince Sultan Airbase, located near Al-Kharj, southeast of Riyadh, where in recent days, Saudi Royal Air Force personnel and fighter pilots from eight nations have participated in aerial exercises.

The prince met officers from Oman, Jordan, Morocco, Qatar, the UK, the US, Greece, and the UAE. The air base commander and Maj. Gen. Mohsen bin Saeed Al-Zahrani received Prince Turki upon his arrival, the Saudi Press Agency reported.

Tuwaiq 4 drills included maneuvers of tactical landing, flying at high and low altitudes, operating in challenging scenarios, carrying out search and rescue operations, and enhancing ground technical support.


UK-Gulf deals create 4,000 new jobs, raise UK living standards, Starmer says

UK-Gulf deals create 4,000 new jobs, raise UK living standards, Starmer says
Updated 10 December 2024
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UK-Gulf deals create 4,000 new jobs, raise UK living standards, Starmer says

UK-Gulf deals create 4,000 new jobs, raise UK living standards, Starmer says
  • ‘Now is the time for further investment into our country,’ says Starmer

RIYADH: Recent British deals with Saudi Arabia and the UAE have created 4,000 new jobs in Britain and are part of UK Prime Minister Keir Starmer’s plans to raise living standards, he said during a recent visit to Riyadh.

Starmer was received by Crown Prince Mohammed bin Salman at Al-Yamamah Palace in the Saudi capital this week, where discussions centered on enhancing bilateral cooperation in areas of mutual economic interest.

“The UAE and Saudi Arabia are key partners of ours. So I’ve been making the case that now is the time for further investment into our country, as far as Saudi Arabia is concerned,” Starmer told local press.

Saudi Arabia and the UK outlined plans to boost economic relations and investment during a high-level business roundtable held in Riyadh. (SPA)

“For example, some of the deals we’ve done in the last few weeks have yielded 4,000 jobs, and so I’m here driving growth with the sole intention of making sure that when I say living standards will go up in the UK, people will feel better off that we’ve got the plan to follow through and deliver on that, with acts, with investment around the world.”

The visit included a high-profile business roundtable on Monday featuring Saudi Minister of Investment Khalid Al-Falih, Minister of Commerce Majid Al-Kassabi, Saudi Ambassador to the UK Prince Khalid bin Sultan, and Starmer.
 
Trade and investment: Key drivers

Trade between the UK and Saudi Arabia has seen robust growth in recent years, with bilateral trade valued at £14 billion annually. The UK is a key exporter to the Kingdom, supplying machinery, vehicles and pharmaceuticals, while Saudi Arabia exports crude oil, petrochemical products and significant investments in non-oil sectors.

FASTFACTS

• The Kingdom has been actively fostering global partnerships, as reflected in its agreements with the UK.

• Sectors such as green energy, digital transformation and healthcare innovation are seen as crucial for the next phase of bilateral economic engagement.

Recent discussions placed a particular emphasis on diversifying this trade relationship. Sectors such as green energy, digital transformation and health care innovation are seen as crucial for the next phase of bilateral economic engagement.

The growing Saudi-UK trade relationship is fostering collaborations in education and training. (SPA)

Saudi Arabia’s investments in its ICT sector, projected to reach $37.5 billion by 2024, present significant opportunities for British firms.

“The Kingdom’s investment in ICT is a clear signal of its ambitions. For UK technology firms, this is a market of immense opportunity,” said Sarah Walker, CEO of ZainTECH UK, in a previous interview with Arab News.

Renewable energy at the forefront

A cornerstone of the Saudi-UK partnership lies in renewable energy. Saudi Arabia has emerged as a global leader in clean energy, particularly in green hydrogen, where it aims to become a dominant producer.

James Penlington, CEO of London-based Renewable Edge, told Arab News previously: “Saudi Arabia’s investments in green hydrogen are unmatched globally. As a UK company, we are keen to contribute our expertise to support the Kingdom’s sustainability goals.”

The Kingdom’s focus on renewable energy is in line with its Vision 2030 target of generating 50 percent of its electricity from renewable sources by the end of the decade. This ambitious goal has attracted significant interest from UK firms specializing in solar, wind and hydrogen technologies.
 
Expanding educational and training partnerships

The growing Saudi-UK trade relationship is also fostering collaborations in education and training.

British universities and institutions are increasingly playing a role in developing Saudi Arabia’s workforce, particularly in high-tech fields such as artificial intelligence, robotics and health care.

These partnerships are critical to Vision 2030’s goal of building a skilled and diversified workforce.

“Educational collaboration is an area where UK institutions can bring real value,” Lucy Harper, managing director of Tech Frontier UK, told Arab News on Tuesday.

“With Saudi Arabia focusing on human capital development, we are seeing opportunities to engage in programs that drive innovation and prepare the workforce for future challenges.”
 
Building on Vision 2030 success

Since the launch of Vision 2030 in 2016, Saudi Arabia has achieved significant progress in economic diversification.

According to official data, 87 percent of its 1,064 initiatives are either completed or on track, demonstrating the Kingdom’s dedication to transforming its economy and creating new opportunities for international investors.

This progress has positioned Saudi Arabia as a key destination for foreign investment.

The Kingdom has been actively fostering global partnerships, as reflected in its agreements with the UK. For example, trade between Saudi Arabia and the UK reached £17.2 billion in 2022, marking a 68 percent increase compared to the previous year.

With Saudi Arabia advancing its Vision 2030 reforms and the UK pursuing new trade partnerships post-Brexit, the bilateral relationship has continued to strengthen.

The focus on renewable energy and technology aligns with Saudi sustainability goals, while UK businesses have benefitted from opportunities in the Saudi Arabia’s $37.5 billion ICT market.

These agreements signal a clear commitment to innovation and sustainable economic growth.

 


Saudi crown prince receives phone call from Canadian PM

Saudi Crown Prince Mohammed bin Salman and Canadian Prime Minister Justin Trudeau. (File/SPA/AFP)
Saudi Crown Prince Mohammed bin Salman and Canadian Prime Minister Justin Trudeau. (File/SPA/AFP)
Updated 10 December 2024
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Saudi crown prince receives phone call from Canadian PM

Saudi Crown Prince Mohammed bin Salman and Canadian Prime Minister Justin Trudeau. (File/SPA/AFP)
  • During the call, Prince Mohammed and Trudeau discussed developments in Gaza and the occupied Palestinian territories and developments in Syria

RIYADH: Saudi Crown Prince Mohammed bin Salman received a phone call from Canadian Prime Minister Justin Trudeau on Tuesday, Saudi Press Agency reported. 

During the call, Prince Mohammed and Trudeau reviewed aspects of relations between their countries and ways to enhance them in a number of areas.

They also discussed developments in Gaza and the occupied Palestinian territories, developments in Syria, and topics of common interest.

The need to support efforts aimed at reducing escalation and achieving security, peace, and stability in the region was also discussed. 


Saudi, Malaysian foreign ministers chair cooperation meeting in Riyadh

Saudi, Malaysian foreign ministers chair cooperation meeting in Riyadh
Updated 10 December 2024
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Saudi, Malaysian foreign ministers chair cooperation meeting in Riyadh

Saudi, Malaysian foreign ministers chair cooperation meeting in Riyadh
  • Prince Faisal and Hasan signed a memorandum of understanding on mutual visa exemption
  • Prince Faisal and Hasan stressed the brotherly relations that connect Saudi Arabia and Malaysia

RIYADH: Saudi Minister of Foreign Affairs Prince Faisal bin Farhan and his Malaysian counterpart chaired the first meeting of the Saudi-Malaysian Coordination Council in Riyadh on Tuesday.

Following the meeting, Prince Faisal and Dato’ Seri Utama Hajji Mohamad bin Hajji Hasan, Malaysian minister of foreign affairs, signed a memorandum of understanding on mutual exemption from a short-stay visa for holders of diplomatic, private or official passports.

A second memorandum on social development was signed by Hasan and the Saudi deputy minister of human resources, the Saudi Press Agency reported.

The Saudi-Malaysian Coordination Council discussed aspects of cooperation in political, security, trade, investment, Islamic affairs and socio-cultural sectors.

Prince Faisal and Hasan stressed the brotherly relations that connect Saudi Arabia and Malaysia and pledged to continue their joint coordination and support for their mutual interests in bilateral, regional, and international issues.

Mesaad Al-Sulaim, Saudi ambassador to Kuala Lumpur, and several other senior Saudi and Malaysian aides and officials, attended the meeting.