Masdar and OMV sign green hydrogen agreement

Masdar and OMV sign green hydrogen agreement

Abu Dhabi Future Energy Company (Masdar) and Austrian energy and chemicals firm OMV have signed a preliminary agreement to partner in the production of green hydrogen for the decarbonisation of industrial processes in OMV’s refineries.The non-binding heads of terms (HoT) agreement forms the basis of a joint agreement to develop an industrial large-scale electrolysis plant, which will be powered by renewable energy, Masdar said in a statement on 8 December.The statement added that the partners will collaborate to develop the project and plan to make a final investment decision in the second half of 2024.The HoT signing follows an initial memorandum of understanding (MoU), which the two parties signed in Abu Dhabi earlier this year.The agreement with OMV is a step in the right direction towards building a robust hydrogen value chain and supports Masdar's ongoing aim of 1 million tonnes of green hydrogen per annum globally by 2030, according to Masdar's chief green hydrogen officer, Mohammad Abdelqader el-Ramahi.Green hydrogen oasisAccording to MEED data, there are at least 12 known and planned green hydrogen projects in the UAE, with a budget of at least $12bn.In addition to the planned $5bn green hydrogen hub planned by Masdar and French utility developer and investor Engie, the other major