Saudi Hydrogen Export Deals Scale to 2.6M Tonnes of Ammonia
Saudi Arabia is rapidly expanding its hydrogen export footprint in Europe through a series of high-impact agreements. At the heart of this strategy is the Yanbu Green Hydrogen Hub, a newly announced mega-project on the Red Sea coast that will produce 400,000 tonnes of green hydrogen annually, converting it into over 2.2 million tonnes of renewable ammonia for export. That’s nearly double the output capacity of the NEOM Green Hydrogen Co., making Yanbu one of the largest hydrogen-ammonia complexes in the world.
The hub will be developed by ACWA Power in partnership with German utility EnBW, and is expected to be operational by 2030. It will feature 4 GW of electrolysis, captive renewable power, desalination infrastructure, ammonia synthesis loops, and a dedicated export terminal—forming a fully integrated green hydrogen value chain.
200,000 Tonnes of Hydrogen to Germany via ACWA-SEFE Deal
In a separate but complementary deal, ACWA Power signed a Memorandum of Understanding with Germany’s SEFE Energy Company to export 200,000 tonnes of green hydrogen annually by 2030. This agreement establishes a direct hydrogen corridor between Saudi Arabia and Germany, reinforcing the Kingdom’s role in Europe’s energy diversification strategy.
The deal is part of Germany’s broader effort to secure 10 million tonnes of imported green hydrogen by 2030, and positions Saudi Arabia as a reliable supplier with cost advantages and scalable infrastructure.
Stargate Hydrogen KSA: Riyadh’s IP Engine for Electrolyser Tech
Saudi Arabia’s hydrogen export strategy isn’t just about volume—it’s also about innovation. In September 2025, Stargate Hydrogen signed an MoU with the Kingdom’s Research, Development, and Innovation Authority (RDI) to launch Stargate Hydrogen KSA, a regional headquarters in Riyadh. The facility will localize electrolyser technologies, generate intellectual property in collaboration with KAUST, and build domestic manufacturing capacity.
This move strengthens the Kingdom’s ability to produce hydrogen technologies locally, reducing reliance on imports and boosting its clean tech ecosystem.
Export Corridors and HVDC Infrastructure Agreements
Saudi Hydrogen Export Deals with European firms go beyond molecules—they include infrastructure. At the same event announcing the Yanbu hub, ACWA Power signed agreements with Edison S.p.A., TotalEnergies Renewables, Zhero Europe, and others to explore large-scale renewable energy export corridors to Europe. These corridors will be supported by high-voltage direct current (HVDC) transmission lines, with technology and cable supply agreements signed with Prysmian, GE Vernova, Siemens Energy, and Hitachi.
These developments align with the India-Middle East-Europe Economic Corridor, positioning Saudi Arabia as a central node in future cross-border energy trade.
Cost Advantage: Saudi Hydrogen at $1–$2/kg
Saudi Arabia’s hydrogen production costs remain among the lowest globally, ranging from $1 to $2 per kilogram, with blue hydrogen potentially dropping to $1.13/kg. Combined with favorable financing conditions—200 basis points lower than Germany—the Kingdom offers a compelling value proposition for European buyers.
Also Read: Building the Saudi Hydrogen Economy: Global Partnerships and Market Potential
