DUBAI, 8th December, 2023 (WAM) -- Masdar has signed a non-binding Heads of Terms (HoT) development agreement with OMV, the integrated company for energy, fuels and feedstock, chemicals and materials, to explore the production of green hydrogen for the decarbonisation of industrial processes in OMV’s refineries.
The non-binding HoT forms the basis of a joint agreement to develop a large-scale industrial electrolysis plant, which will be powered by renewable energy.
The partners will collaborate to develop the project and plan to make a final investment decision in the second half of 2024.
The Heads of Terms development agreement was signed at COP28 and follows an initial Memorandum of Understanding (MoU) that was signed between the two parties in Abu Dhabi earlier this year.
“This cooperation agreement with OMV is another step in the right direction towards building a robust hydrogen value chain and supports our ongoing aim of 1 million tonnes of green hydrogen per annum globally by 2030,” said Mohammad Abdelqader El Ramahi, Masdar’s Chief Green Hydrogen Officer.
Masdar has been a pioneer in exploring hydrogen production since 2008 and is developing and investing in strategic projects and building scalable platforms in key markets around the world.
In line with national and international climate goals, OMV has set itself the target of becoming climate neutral by 2050. A central pillar in achieving this goal is the use and production of green hydrogen via electrolysis from renewable electricity for use in its refineries.