A joint venture comprising Air Products, ACWA Power and NEOM hired financial firm Lazard to advise it on a planned $5 B hydrogen project in the NEOM high-tech business zone in Saudi Arabia, sources said.

The project will include the integration of over 4 GW of renewable power from solar, wind and storage; production of 650 t/day of hydrogen by electrolysis using thyssenkrupp technology; production of nitrogen by air separation using Air Products’ technology; and the production of 1.2 MMt/y of green ammonia using Haldor Tapsoe technology.

The project is scheduled to be onstream in 2025. Air Products will be the exclusive off-taker of the green ammonia and intends to transport it around the world to be dissociated into what is known as green hydrogen for use in the transportation market and other industries.

This month, Saudi Arabia’s crown prince, Mohammed bin Salman, unveiled plans to build a zero-carbon city at NEOM, with infrastructure costs of $100 B to $200 B.

NEOM - announced in 2017 as a pillar of Saudi plans to diversify the economy - is a 26,500 square miles (10,230 square miles) high-tech development on the Red Sea with several zones, including an industrial and logistics areas, planned for completion in 2025.

Saudi Arabia is expected to borrow tens of billions of dollars this year to fill state coffers hit by lower oil prices and to boost liquidity at state entities such as the Public Investment Fund (PIF), NEOM’s cornerstone investor.