Special
UAE strengthens international cooperation to seize the blue hydrogen market
Seetao 2021-08-17 09:52
  • With more and more countries committing to net zero emissions, the world has begun to attach importance to the hydrogen energy market
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According to a report by Jiandao.com on August 12, 2021, Abu Dhabi National Oil Company (ADNOC) will sell blue ammonia to Idemitsu Kosan Co., Ltd. through Fertiglobe for use in its oil refining and petrochemical businesses. The sale is based on the recently announced joint efforts to strengthen industrial cooperation between the UAE and Japan and support the development of the UAE-Japan blue ammonia supply chain. Prior to this, the UAE blue ammonia was sold to ITOCHU Corporation for the first time.

ADNOC has demonstrated its ambition to explore and expand the hydrogen energy market, especially the blue hydrogen market. As more and more countries pledge to achieve net zero emissions within 30 years, oil-producing countries in the Middle East, including the UAE, are vying for the hydrogen energy market, and energy investors are paying more and more attention to the green qualifications of new projects. Fertiglobe is a joint venture between ADNOC and OCI listed in Amsterdam. The ratio of the shares of the two companies is 42 to 58. The joint venture will participate in the large-scale blue ammonia production project developed in the UAE.

Fertiglobe will produce blue ammonia at its plant in the Ruwais Industrial Park in Abu Dhabi and deliver it to ADNOC customers in Japan. This batch of blue ammonia will be sold at a higher price than gray ammonia. This is another milestone in the UAE's plan to expand blue ammonia production capacity. In addition, in June 2021, Fertiglobe announced that it would join the ADNOC and ADQ new energy projects. As a partner of the new blue ammonia project with a scale of 1 million tons per year, the project still needs to be approved by the UAE regulatory authorities.

Keywords: new energy, overseas engineering, international engineering construction, foreign engineering construction news

Ammonia can be widely used as a low-carbon fuel in industrial fields, including transportation, power generation, oil refining, steel, wastewater treatment, cement and fertilizer production and other industries. For Japan, hydrogen and its carrier fuel such as blue ammonia are expected to play an important role in the country's industrial decarbonization. In order to seize the Asian market, ADNOC also recently signed an agreement with South Korean GS Group to cooperate in the development of a new value chain of blue hydrogen and blue ammonia in Abu Dhabi.Editor/XuNing

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