Germany’s SEFE to Import Saudi Green Hydrogen

Saudi Arabia and Germany have strengthened their partnership in green hydrogen and ammonia production with a new agreement to supply the Kingdom’s exports to Europe.

On Sunday, Saudi Energy Minister Prince Abdulaziz bin Salman met with Germany’s Finance Minister Jörg Kukies in Riyadh, as reported by the Saudi Press Agency (SPA).

Their discussions focused on shared interests in the energy sector, including both countries' ongoing efforts in green hydrogen, following the memorandum of understanding (MoU) they signed in 2021.

After the meeting, both ministers oversaw the signing of an MoU to establish the Saudi-German Green Hydrogen Bridge, a partnership between Saudi ACWA Power and Germany’s SEFE. The agreement focuses on producing and exporting green hydrogen and green ammonia from Saudi Arabia to Europe.

As part of the MoU, ACWA Power and SEFE will collaborate on joint projects, aiming to export 200,000 tons of green hydrogen annually from Saudi Arabia to Europe by 2030.

ACWA Power will serve as the developer, investor, and primary operator of the green hydrogen and ammonia production facilities, while SEFE, one of Europe's largest energy trading companies, will act as a co-investor and key offtaker, marketing the green hydrogen to customers in Germany and across Europe.

This initiative supports Saudi Arabia's goal of becoming a global leader in green hydrogen production and export. It also aligns with the objectives of the MoU signed between the Kingdom and Germany as part of the Saudi-German Energy Dialogue, which seeks to enhance cooperation in renewable energy and clean technologies.