Cost of Neom
green hydrogen project surges to $8.5 bn
The cost of Saudi
Arabia’s flagship Neom green hydrogen project has surged from the originally planned
$5bn to $8.5bn.
Co-developer
Air Products in its Q1 financial update has attributed this increase to inflation,
spare parts, advance fees for land and $1bn of interest on loans.
Air Products
is developing the project in the desert of northwest Saudi Arabia with partners
ACWA Power, the Saudi renewables developer, and Neom.
The Neom
green hydrogen mega-project looks forward to use enormous green power capacity
of The Line, 170km-long glass-fronted ambitious city that will be home to one
million people.
The company
says inflation since 2020 has contributed an increase of $500mn in cost, while
the other $3bn is spread between additional costs.
The green
hydrogen project is projected to produce 1.2 million tons of green ammonia
per year from 2.2GW of electrolyszers while using 4GW of wind, solar and battery
storage.
Source: https://www.utilities-me.com/
0 Comments