عربي English Türkçe اردو فارسى
Logo
Latest News
Business

Aramco and SABIC Agri-Nutrients Receive World’s First TÜV Certificate of Accreditation for ‘Blue’ Hydrogen, Ammonia Products

Saudi Aramco logo is pictured at the oil facility in Abqaiq, Saudi Arabia October 12, 2019. REUTERS/Maxim Shemetov
Saudi Aramco logo is pictured at the oil facility in Abqaiq, Saudi Arabia October 12, 2019. REUTERS/Maxim Shemetov
TT
TT

Aramco and SABIC Agri-Nutrients Receive World’s First TÜV Certificate of Accreditation for ‘Blue’ Hydrogen, Ammonia Products

Saudi Aramco logo is pictured at the oil facility in Abqaiq, Saudi Arabia October 12, 2019. REUTERS/Maxim Shemetov
Saudi Aramco logo is pictured at the oil facility in Abqaiq, Saudi Arabia October 12, 2019. REUTERS/Maxim Shemetov

Aramco and the SABIC Agri-Nutrients Company (“SABIC AN”), have obtained the world’s first independent certifications recognizing “blue” hydrogen and ammonia production, Aramco said in a statement on Thursday.

The certifications were granted by TÜV Rheinland, a leading independent testing, inspection and certification agency based in Germany, to SABIC AN, in Jubail, for 37,800 tons of “blue” ammonia and to Aramco’s wholly-owned refinery (SASREF), also in Jubail, for 8,075 tons of “blue” hydrogen, said the statement.

To certify ammonia and hydrogen as “blue”, a significant part of the CO2 associated with the manufacturing process needs to be captured and utilized in downstream applications, it said.

The certifications “signify a major milestone in our efforts to develop clean energy solutions, and advance our hydrogen and ammonia export capabilities,” said Aramco Vice President of Chemicals Olivier Thorel.

“This independent recognition reinforces the work of Aramco and SABIC in decarbonizing multiple sectors, including energy, aviation, transportation chemicals and fertilizer industries.”

SABIC Agri-Nutrients CEO Abdulrahman Shamsaddin said: “We are confident of further boosting growth with our low carbon portfolio helping our fertilizers as well as chemicals customers achieve their very own sustainability ambitions.”

“We are fully aware that the current global industry challenges related to climate change and greenhouse gas emissions will require us to accelerate our pace of innovation to further strengthen our sustainability commitment. We are well positioned to move forward in this direction,” he added.

As for SABIC Vice President, Energy Efficiency and Carbon Management Fahad Al-Sherehy, he said: “To help achieve Saudi Arabia’s target for net-zero by 2060 as part of the Saudi Green Initiative, SABIC recognizes that hydrogen will play an essential role in decarbonization and it is part of SABIC’s overall roadmap toward carbon neutrality by 2050, with a 20% reduction target in carbon emissions by 2030. Furthermore, SABIC is exploring opportunities to utilize hydrogen for green chemistry to strengthen its sustainable solution offerings.”

Most Viewed

 
 
Business

Saudi Arabia Sees Highest Level of Non-oil Private Sector Activity in 4 Months

The 1.5-point increase in the PMI reflects a larger expansion in both output and new orders. (Asharq Al-Awsat)
The 1.5-point increase in the PMI reflects a larger expansion in both output and new orders. (Asharq Al-Awsat)
TT
TT

Saudi Arabia Sees Highest Level of Non-oil Private Sector Activity in 4 Months

The 1.5-point increase in the PMI reflects a larger expansion in both output and new orders. (Asharq Al-Awsat)
The 1.5-point increase in the PMI reflects a larger expansion in both output and new orders. (Asharq Al-Awsat)

Business activity in Saudi Arabia's non-oil sector accelerated to a four-month high in September, driven by strong demand, which led to faster growth in new orders. The Riyad Bank Saudi Arabia Purchasing Managers' Index (PMI), adjusted for seasonal factors, rose to 56.3 points from 54.8 in August, marking the highest reading since May and further distancing itself from the 50.0 level that indicates growth.

The 1.5-point increase in the PMI reflects a larger expansion in both output and new orders, alongside challenges in supply. The improvement in business conditions contributed to a significant rise in employment opportunities, although difficulties in finding skilled workers led to a shortage in production capacity.

At the same time, concerns over increasing competition caused a decline in future output expectations. According to the PMI statement, inventories of production inputs remained in good condition, which encouraged some companies to reduce their purchasing efforts.

Growth was strong overall and widespread across all non-oil sectors under study. Dr. Naif Al-Ghaith, Senior Economist at Riyad Bank, said that the rise in Saudi Arabia's PMI points to a notable acceleration in the growth of the non-oil private sector, primarily driven by increased production and new orders, reflecting the sector’s expansionary activity.

Al-Ghaith added that companies responded to the rise in domestic demand, which plays a crucial role in reducing the Kingdom's reliance on oil revenues. The upward trend also indicates improved business confidence, pointing to a healthy environment for increased investment, job creation, and overall economic stability.

He emphasized that this growth in the non-oil sector is particularly important given the current context of reduced oil production and falling global oil prices. With oil revenues under pressure, the strong performance of the non-oil private sector acts as a buffer, helping mitigate the potential impact on the country's economic conditions.

Al-Ghaith continued, noting that diversifying income sources is essential to maintaining growth amid the volatility of oil markets. He explained that increased production levels not only enhance the competitiveness of Saudi companies but also encourage developments aimed at expanding the private sector's participation in the economy.

This shift, he said, provides a more stable foundation for long-term growth, making the economy less susceptible to oil price fluctuations.