Synthetic Fuels to Play Key Role in Fast-tracking Decarbonization of Global Fleet
Saudi state-run energy giant Aramco and NEOM’s energy, water, and hydrogen division Enowa have joined forces to develop a “first-of-its-kind” synthetic electro-fuel demonstration plant.
The two companies inked an agreement to establish the plant at Enowa’s Hydrogen Innovation and Development Center (HIDC) in Oxagon, a port city in Saudi Arabia’s US$500 billion NEOM venture on the Red Sea Coast.
As part of the set-up, Germany-based thyssenkrupp Uhde's proprietary technologies will be deployed to make 12 tons of synthetic methanol per day from green hydrogen and CO2. ExxonMobil's fluidized-bed methanol-to-gasoline technology will then be used to convert the methanol into 35 barrels per day of low-carbon gasoline.
The technology has the potential to reduce CO2 emissions by more than 70 percent on a complete life cycle basis, compared with conventional fuels.
“Synthetic fuels can play an important role to accelerate the decarbonization of the global vehicle fleet. We are excited to be working alongside our partners to demonstrate a potential path towards realizing this vision,” said Ahmad O. Al Khowaiter, executive vice president of technology and innovation at Aramco.
According to the agreement, NEOM will oversee the construction of the demo plant, with Aramco and Enowa taking charge of operations and investment in research.
The HIDC, which will produce green hydrogen through an on-site 20-MW electrolyzer powered by renewable energy sources, will showcase the region’s vast potential to generate and deploy wind and solar power commercially, Aramco said.
Peter Terium, CEO of Enowa, said the plant was a “significant milestone” for the company.
“As Saudi Arabia cements its global leadership role in a circular carbon economy driven by green hydrogen, we have an unprecedented opportunity to showcase the transformative capabilities of pioneering, sustainable technologies,” the executive said.
The agreement between Aramco and Enowa was signed on the sidelines of the Future Investment Initiative in Riyadh.
Aramco is targeting net-zero emissions by 2050.
Aramco, NEOM, thyssenkrupp and ExxonMobil are members of the Breakbulk Global Shipper Network, an extensive networking platform for executives operating at the top end of the project supply chain in sectors such as oil and gas, energy and renewables, mining and minerals, construction, forestry, industrial manufacturing, and aerospace.
The next in-person meet-up for BGSN members will be at Breakbulk Middle East 2024, taking place on 12-13 February at the Dubai World Trade Center in the UAE.
PHOTO: Aramco's Ahmad O. Al Khowaiter (left) and ENOWA's Peter Terium (right) sign the joint development agreement at the Future Investment Initiative in Riyadh. CREDIT: Aramco
