Aramco has signed definitive agreements to acquire an equity interest in the Jubail-based Blue Hydrogen Industrial Gases Company (BHIG), a wholly-owned subsidiary of Air Products Qudra (APQ). The transaction, which is subject to standard closing conditions, will also include options for Aramco to offtake H₂ and nitrogen.

Building on its efforts to develop a lower-carbon H₂ business and expand its portfolio of alternative energy solutions, Aramco expects its investment in BHIG will contribute to the development of a lower-carbon H₂ network in the Kingdom of Saudi Arabia's Eastern Province, serving both domestic and regional customers. Upon completion of the transaction, Aramco and APQ, a joint venture between Air Products and Qudra Energy, are expected to each own a 50% stake in BHIG.

Ashraf Al Ghazzawi, Aramco Executive Vice President of Strategy & Corporate Development, said, "This investment highlights Aramco's ambition to expand its new energies portfolio and grow its lower-carbon H₂ business. We are delighted to partner with APQ on this journey and believe there are promising commercial opportunities for H₂ with lower emissions. We intend to leverage our growing capabilities in carbon capture and storage (CCS), as well as our technical expertise in H₂, with the ambition to support the establishment of a vibrant marketplace for lower-carbon H₂ — helping lay the foundations of a future energy system."

Dr. Samir J. Serhan, Air Products Qudra Chairman, said, "It is an honor to further extend Air Products Qudra's strong partnership with Aramco, working to accelerate the H₂ economy and driving the creation of the largest H₂ network in the Middle East, which is expected to serve the refining, chemical and petrochemical industries. We look forward to providing our expertise in H₂ and pipeline operations and supporting Aramco's need for a reliable supply of lower-carbon H₂ for domestic and regional requirements."

BHIG, which is designed to produce lower-carbon H₂ while capturing and storing CO₂, is intended to commence commercial operations in coordination with Aramco's CCS activities.