ACWA Power, a leading Saudi developer of green hydrogen and ammonia projects, has signed a Memorandum of Understanding (MoU) with Snam, a major European energy infrastructure company, to explore collaboration in establishing an international supply chain for green hydrogen from Saudi Arabia to Europe, according to the company's release.
The partnership will also evaluate the development of an ammonia import terminal in Italy to facilitate the delivery of green hydrogen to key European markets. The agreement aims to leverage ACWA Power’s expertise in green hydrogen and ammonia production in Saudi Arabia and Snam’s role as a leading operator in natural gas transportation, storage, and regasification across Europe. The collaboration will focus on creating a reliable and cost-effective supply chain for green hydrogen, supporting Europe’s decarbonization goals and energy security.
A key component of the partnership is the potential development of an ammonia import terminal in Italy. Ammonia, a carrier for green hydrogen, would be transported via the South H2 Corridor, a 3,300-kilometer infrastructure network connecting Italy, Austria, and Germany. This corridor is expected to play a pivotal role in enabling the transport of green hydrogen to central Europe.
Marco Arcelli, Chief Executive Officer of ACWA Power, emphasized the importance of the partnership in advancing the green hydrogen sector. “We are excited to join forces with Snam to drive significant advancements in the green hydrogen sector. With power sector emissions already down 40% compared to 20 years ago, we now need to focus our collective efforts on new, low-carbon molecules to decarbonize our sectors. Bringing our expertise together will help accelerate this process,” he said.