Saudi’s NEOM green hydrogen project is formally under construction and is scheduled to be completed by the end of 2026. This was informed in a statement released recently, by ACWA Power to the Saudi stock exchange. It further informed that the company’s affiliate NEOM Green Hydrogen Company (NGHC) issued a full award notice for the engineering, procurement and construction (EPC) contractor, which has been approved.
ACWA Power’s 1.125 billion Saudi riyals ($300 million) share in the limited notice to proceed (LNTP) agreement will convert into its equity in the project, it said.
Dwelling on various pacts, it said that all the project agreements have been signed and adding partners have agreed to manage certain execution risks related to the EPC contract.
It may be recalled that in April 2022, ACWA Power signed an Engineering, Procurement and Construction (EPC) contract worth $900 million for the project.
Moreover, the NEOM project, jointly developed by ACWA Power, Air Products and NEOM, is set to become the world’s largest green hydrogen production facility once completed.
