Letter of Intent for a Green Ammonia Corridor Between Saudi Arabia and Germany

ACWA Power, a Saudi power plant developer and hydrogen specialist, has signed a letter of intent to establish a green ammonia supply chain with German partners. The signing took place during German Federal Minister for Economic Affairs and Energy Katherina Reiche's visit to Saudi Arabia at the end of January.

The project partners aim to establish a green ammonia corridor from the ACWA project in Yanbu, Saudi Arabia, to the Port of Rostock, Germany. The project on the Red Sea coast is expected to produce approximately 400,000 tons of hydrogen annually, which will be converted into over 2.2 million tons of ammonia and exported to Germany. The project in Yanbu, supported by EnBW Energie Baden-Württemberg as a partner, is scheduled to begin operation in 2030. EnBW will act as the purchaser and handle the transport to the Port of Rostock. VNG AG, also a signatory, will be responsible for planning an ammonia cracker at the Port of Rostock. This facility will convert the imported ammonia into hydrogen, which will then be fed into the national hydrogen grid.

Dr. Georg Stamatelopoulos, CEO of EnBW, expressed his conviction that the signing of the letter of intent represents an important step for all participating partners. Through the collaboration with ACWA Power, the Port of Rostock, and VNG, a reliable corridor for green ammonia from Saudi Arabia to Germany will be established. International partnerships of this kind are essential for advancing the energy transition, making it affordable, and bringing innovative solutions to market. Each partner contributes complementary strengths, and together they can tackle the challenges more effectively than either could alone.