Saudi Arabia and Germany have signed a Memorandum of Understanding (MoU) for the production of hydrogen, the Kingdom’s Energy Minister Prince Abdulaziz bin Salman announced on Thursday.
The MoU was signed on Thursday during a virtual session with the Saudi Arabian Energy Minister and his German counterpart Peter Altmaier, Germany’s Federal Minister of Germany for Economic Affairs and Energy.
“The objectives of the MoU will help achieve goals of the "Kingdom 2030" vision which seek to achieve sustainable development, preserve the environment, support innovation, promote knowledge transfer, and create more qualitative jobs for the sons and daughters of Saudi Arabia," Prince Abdulaziz said.
“The potential of hydrogen was never unknown, but now it has become a part of the strategic energy thinking because hydrogen is one of the most important future fuels,” the Saudi energy minister added. “With regard to the contribution toward supporting efforts countries to address the climate change issue, we affirm our commitment to lead the response in managing emissions, while continuing our socio-economic development.”
Saudi Arabia, the world’s biggest oil exporter, has been setting its sights on also becoming the largest supplier of hydrogen, a fuel seen as pivotal for curbing climate change.
Saudi Arabia has “ambitious plans and “will not be challenged in its record of being the biggest exporter of hydrogen on earth, Energy Minister Prince Abdulaziz bin Salman said at a news briefing in Riyadh last November.
The kingdom’s large natural gas reserves enable it to produce blue hydrogen, he said, referring to a form of the fuel that’s made when gas is reformed and the carbon dioxide byproduct is captured. In September, the country shipped the world’s first cargo of blue hydrogen, which was converted into ammonia, to Japan.
(With inputs from Bloomberg)