BAKU, Azerbaijan, February 3. ACWA Power has signed a Memorandum of Understanding (MoU) with Germany’s SEFE Securing Energy for Europe to develop a green hydrogen supply chain, aiming to deliver 200,000 tons annually to Europe by 2030, Trend reports.
The agreement, signed in the presence of Saudi Energy Minister Prince Abdulaziz bin Salman and German Finance Minister Jörg Kukies, reinforces energy ties between Saudi Arabia and Germany. Under the deal, ACWA Power will lead the development, investment, and operation of green hydrogen and ammonia projects, while SEFE will act as a co-investor and primary offtaker, supplying European markets.
With an annual customer portfolio of 200 terawatt-hours (TWh), SEFE is set to play a crucial role in the green hydrogen supply chain. The company is enhancing Germany's hydrogen infrastructure through its subsidiary GASCADE, converting parts of its 4,100 km pipeline network under the FLOW project and constructing the AquaDuctus offshore pipeline in the North Sea. Additionally, SEFE is developing a large-scale storage facility in Jemgum, capable of holding up to 500 GWh of hydrogen.
This agreement bolsters ACWA Power’s expanding green hydrogen portfolio. The NEOM Green Hydrogen Project, a collaboration with Air Products and NEOM, is already under construction and will be the world’s first utility-scale green hydrogen plant, producing 1.2 million tons of green ammonia annually.
ACWA Power continues to expand its hydrogen portfolio, with the NEOM Green Hydrogen Project already under construction and new projects in Uzbekistan, Tunisia, and Egypt aimed at exporting green hydrogen to Europe.