Fertiglobe Collaborates on Green Hydrogen in UAE

28.01.2022 - Fertiglobe, the joint venture formed between Dutch fertilizer and industrial chemicals group OCI and the Abu Dhabi National Oil Company (ADNOC) in October 2019, has signed a deal to collaborate with renewable energy companies Masdar and ENGIE to develop a green hydrogen facility in the United Arab Emirates (UAE).

The companies will study the development and construction of an industrial-scale plant in Al Ruwais, Abu Dhabi, near Fertiglobe’s ammonia plants. The proposed facility, which could have capacity of up to 200 MW, is scheduled to go into operation in 2025. Fertiglobe will be the sole long-term off-taker of the plant’s output.

“This new partnership with Masdar and ENGIE represents a great opportunity for Fertiglobe and the UAE to play a crucial role in the global energy transition and fits well in the UAE’s vision of a diversified and sustainable future. Abu Dhabi is an ideal location to produce green hydrogen, given the country’s commitment to a low carbon future, its unique renewables profile and its strategic geographic location,” said Fertiglobe CEO Ahmed El-Hoshy.

The move follows an announcement by Fertiglobe last November that it had selected Plug Power to provide technology for a 100 MW polymer electrolyte membrane (PEM) electrolyzer to be installed in Egypt. The project is being undertaken in partnership with Scatec, a renewable power producer headquartered in Norway, that will operate and majority own the plant.

Located at Egypt Basic Industries Corporation’s (EBIC) site in Ain Sokhna, the new unit will produce green hydrogen as feedstock for a green ammonia plant of up to 90,000 t/y capacity. Fertiglobe owns 75% of EBIC, which will receive the green hydrogen output under a long-term offtake agreement. A final investment decision is expected this year with start-up targeted for 2024.

Fertiglobe regards itself as the largest producer of ammonia and nitrogen fertilizers in the Middle East and North Africa, with a combined production capacity of 6.7 million t/y of urea and merchant ammonia.

The company is aiming to be a leading producer of green ammonia in the UAE by 2025. Produced from renewable energy, green ammonia is seen as an ideal carrier to store and transport hydrogen, as well as a carbon-free fuel for shipping.

Author: Elaine Burridge, Freelance Journalist