Hyundai Heavy Industries Group (HHI Group) in collaboration with Saudi Arabian state-run oil company, Saudi Aramco inked an MoU to promote hydrogen and ammonia-related businesses.
In fact, through the agreement, the two parties are seeking an opportunity to find a cooperational model for eco-friendly hydrogen and ammonia, including joint research and development.
“This agreement is the first step in cooperation between the two parties toward the ‘Hydrogen Dream. HHI Group, together with Saudi Aramco, is seeking a way to grow into a leading eco-friendly energy group by initiating projects for hydrogen and ammonia.”
… said Kisun Chung, Vice President & Head of Management Support Office at HHIH.
Hyundai Oilbank, the oil refinery unit of HHIH, plans to cooperate with Saudi Aramco on the realization of a “carbon zero” process, and Korea Shipbuilding & Offshore Engineering (KSOE), the shipbuilding unit of HHIH, plans to develop the world’s first combined ship capable of carrying both liquefied petroleum gas (LPG) cargoes and captured carbon dioxide (CO2).
Under their collaboration, Hyundai OilBank will import liquefied petroleum gas from Saudi Aramco which it will then convert into blue hydrogen.
The hydrogen will be used at desulfurization facilities at Hyundai Oilbank refineries and be on the market for fuels of vehicles and power plants.
What is more, Hyundai Oilbank goals to establish a supply chain for the sale of hydrogen produced by opening up to 300 hydrogen charging stations by 2040 across South Korea.
The two parties will also strengthen cooperation in the shipbuilding business. KSOE will be the first shipbuilder to develop a ship that can carry both liquefied petroleum gas cargoes and captured carbon dioxide at once.
“Through this MoU, Saudi Aramco and HHI Group have built a strategic partnership to discover new and ambitious business opportunities in the field of blue hydrogen and blue ammonia, which are future energy fuels. This cooperation is expected to help reduce greenhouse gas emissions through carbon capturing process.”
…as Ahmad A. Al Sa’adi, Senior Vice-President of Technical Services at Saudi Aramco, stated.
As explained, the two companies agreed to collaborate on joint research and development opportunities to demonstrate the use of eco-friendly hydrogen and ammonia. There is no commercial agreement at this stage.
Concluding, the MoU was signed by Kisun Chung, Vice President & Head of Management Support Office at HHIH, and Ahmad A. Al Sa’adi, Senior Vice-President of Technical Services at Saudi Aramco.