Revolutionizing Energy: Saudi Arabia’s Green Hydrogen Plant Nears Completion
BAKU: Prepare for a game-changer in the energy industry as the world’s largest green hydrogen plant, currently under construction in Saudi Arabia, is set to kick off production in December 2026, according to the company’s CEO speaking to Arab News.
NEOM Green Hydrogen Company is making remarkable progress, with CEO Wesam Al-Ghamdi revealing that the project is now 60 percent complete.
Al-Ghamdi highlighted the groundbreaking nature of the project, describing it as an endeavor “being built at a scale no one has attempted before.”
The plant is set to be powered entirely by solar and wind energy to operate a massive 2.2 gigawatt electrolyzer that will continuously produce hydrogen.
Green hydrogen, generated through electrolysis powered by renewable energy sources, is hailed as a crucial element in the global efforts to reduce carbon emissions, as it produces no greenhouse gases during the production process.
With vast potential across various industries, green hydrogen is gaining momentum as a viable alternative to fossil fuels, especially as countries and companies face mounting pressure to decarbonize. Despite challenges related to cost and scale, the allure of green hydrogen is growing.
Al-Ghamdi highlighted the competitive edge of NGHC, citing cost advantages stemming from NEOM’s renewable resources.
By leveraging Saudi Arabia’s abundant solar and wind resources, the plant can cut production costs significantly, making green hydrogen more economically feasible.
Moreover, through a 30-year offtake agreement with Air Products, NGHC has secured a pathway to export its hydrogen output in ammonia form to international markets, facilitating easier transportation and distribution.
Situated within NEOM in Saudi Arabia’s northwest Red Sea development zone, the project strategically benefits from consistent solar and wind resources, aligning with Saudi Arabia’s Vision 2030 initiative to diversify its economy beyond oil and into industries like renewable energy.
Al-Ghamdi emphasized the importance of nurturing Saudi talent in the green energy sector, with over 60 percent of NGHC’s workforce comprising Saudi citizens. Through partnerships with local universities and specialized training programs, the project aims to cultivate the expertise needed to operate such a facility.
Additionally, NGHC has forged a 10-year research and development collaboration with Germany’s ThyssenKrupp to enhance its electrolyzer technology, aiming to optimize operational efficiencies.
As the project progresses towards its 2026 production target, NGHC is focused on testing and refining equipment early on to streamline processes, reduce maintenance costs, and prolong equipment life cycles.
Amidst the global hydrogen boom, Al-Ghamdi believes NEOM’s project is uniquely positioned to leverage Saudi Arabia’s natural advantages, setting the stage for a new era in renewable energy and aligning with Vision 2030’s economic transformation goals.