Mubadala, ADNOC and ADQ form alliance to grow green hydrogen economy in the UAE
18 Jan 2021
Mubadala Investment Company (Mubadala), The Abu Dhabi National Oil Company (ADNOC), and ADQ, signed an MoU on Sunday to establish the Abu Dhabi Hydrogen Alliance.
The Alliance will work towards establishing Abu Dhabi as leader of low-carbon green and blue hydrogen in emerging international markets and will help build a substantial green hydrogen economy in the UAE.
It will also develop a roadmap to accelerate the UAE’s adoption and use of hydrogen in major sectors such as utilities, mobility and industry, through each of the alliance member’s respective companies.
It will also position Abu Dhabi as key supplier of hydrogen as demand for it grows globally.
ADNOC already produces around 300,000 tons per annum of hydrogen for its downstream operations, with plans to expand to more than 500,000 tons. ADNOC already signed an agreement last week with the Ministry of Economy, Trade and Industry of Japan to explore cooperation on fuel ammonia and carbon recycling, harnessing technologies which will enable the hydrogen economy.
Mubadala meanwhile will contribute through Masdar, and its extensive network of international technology and investment partners. ADQ will bring together its portfolio companies across the energy value chain, with companies such as Abu Dhabi Ports, Abu Dhabi Airports, Etihad Rail, Etihad Steel, Abu Dhabi National Energy Company (TAQA) and Emirates Nuclear Energy Corporation (ENEC) to enable activities undertaken by the Alliance.
While the Alliance will pursue green hydrogen domestically, ADNOC will continue to develop blue hydrogen independently within the UAE.
Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology and ADNOC group CEO, said: “I am pleased that we are coming together on this important initiative to explore and develop the potential of hydrogen as a new, low carbon fuel. While we explore green hydrogen opportunities through the Alliance, ADNOC will place special emphasis on pursuing blue hydrogen projects by expanding on its existing hydrogen capacity, leveraging its significant gas reserves and best-in-class infrastructure, as well as its extensive customer relationships to help advance the hydrogen industry, both domestically and internationally.
“Working together as an alliance, we will identify viable international market opportunities, while we develop a roadmap to create hydrogen production sites in Abu Dhabi, and the UAE,” added Al Jaber.
Mohamed Hassan Alsuwaidi, CEO of ADQ added: “ADQ looks forward to working with ADNOC and Mubadala in defining the agenda for the Alliance. The scale of resources and experience each company brings to the new Alliance positions Abu Dhabi for accelerated growth in the hydrogen energy field, ultimately supporting the realization of the UAE’s decarbonization objectives.”
The UAE is aiming to have at least 50 per cent of its energy come from sustainable sources by 2050.
Source: Gulf Business