Saudi Aramco has completed the acquisition of a 50% stake in Blue Hydrogen Industrial Gases Co. (BHIG), a joint venture with Air Products Qudra (APQ), marking a key step in advancing low-carbon hydrogen production in Jubail Industrial City.
BHIG will focus on producing blue hydrogen, derived from natural gas with carbon capture and storage (CCS), aligning with Saudi Arabia’s Vision 2030 and its net-zero targets. Commercial operations will begin in coordination with Aramco’s CCS activities in Jubail, according to a joint statement from Aramco and APQ on March 24.
Aramco’s EVP of Strategy & Corporate Development, Ashraf Al-Ghazzawi, highlighted the company’s commitment to developing a hydrogen network in the Eastern Province, leveraging emerging global opportunities in low-carbon energy.
Ahmed Hababou, chairman of APQ, emphasized the strategic significance of this joint venture for Saudi Arabia’s refining, chemical, and petrochemical industries. Mohammad Abunayyan, vice chairman of APQ, underscored the collaboration between one of the world’s leading energy companies and a top hydrogen supplier.
The project supports Saudi Arabia’s goal of reducing carbon emissions by 278 million tonnes annually by 2030 and transitioning 50% of its energy to renewables, while also aligning with Aramco’s 2050 net-zero emissions target.