In the Saudi Arabian capital of Riyadh, four companies signed a memorandum of understanding to pave the way for hydrogen deliveries from Saudi Arabia to Germany. Saudi energy company ACWA Power, energy supplier EnBW Baden-Württemberg, the Port of Rostock, and gas importer VNG plan to jointly transport green hydrogen by sea.
The agreement was reached during Federal Minister of Economics Katherina Reiche’s (CDU) trip to Saudi Arabia. Saudi Energy Minister Abdulaziz bin Salman was also present at the signing.
The plan is for ammonia deliveries from the Saudi port city of Yanbu on the Red Sea to Rostock. For overseas transport, the hydrogen is bound in the chemical ammonia, which is significantly easier to liquefy, transport, and store than pure hydrogen.
In Rostock, the ammonia is then to be converted back into hydrogen and transported onward from there. For this purpose, a so-called cracker will be used, which VNG is developing as part of the AZAN project. According to VNG, in the future around 144,000 tons of hydrogen could be produced annually in Rostock and fed into the hydrogen network.
ACWA Power produces the hydrogen in a climate-friendly manner using wind and solar power in Saudi Arabia. Hydrogen is intended to play a central role in a future climate-neutral German economic system: The CO2-neutral gas could generate electricity in hydrogen-capable gas power plants when insufficient wind and solar power is available. In blast furnaces for steel production, hydrogen is to be used instead of coke, thereby avoiding large amounts of carbon dioxide.
The production facility for hydrogen and ammonia in Yanbu is scheduled to enter commercial operation in 2030. According to current plans, the project includes 4 gigawatts of electrolysis capacity and is expected to produce approximately 400,000 tons of green hydrogen annually, which will be converted into about 2.5 million tons of green ammonia.
According to the joint announcement by the project partners, ACWA Power is also examining participation in the development and possibly financing of ammonia infrastructure in Germany.


