Aiming to produce 11 million tonnes of low-carbon ammonia by 2030, Saudi Aramco is building a global alliance for blue hydrogen and blue ammonia. Among other partners, South Korean firm Lotte Chemical is also likely to join Aramco in its project to supply low-emission fuel to the world. Officials from Aramco and Lotte discussed ways to supply 1.5 million tonnes of blue hydrogen to South Korea during a recent meeting. Lotte Chemical is expected to make a major investment in Aramco’s blue hydrogen production project if the deal goes through. This is important since the global demand for hydrogen fuel is expected to grow at a rate of 6.2% annually, and will surpass 500 million tonnes a year by 2050. Another South Korean firm GS Energy had also invested in a blue ammonia project in the UAE last year. Created by separating hydrogen from natural gas and capturing carbon during the process, blue hydrogen is considered a realistic alternative, till the costs of producing green hydrogen are reduced. At the same time, scientists have their doubts, since 25% more natural gas is burnt to make blue hydrogen, than what would be required for generating heat directly from natural gas.
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"We want to see more Anghamis in the Middle East" say MEVP investors