ACWA Power Completes Construction of $8.5 Billion NEOM Hydrogen Project

NEOM, SAUDI ARABIA: ACWA Power and its partners have completed construction of the $8.5 billion NEOM Green Hydrogen Project at Oxagon, with the facility now entering the commissioning stage ahead of planned commercial operations next year.

The project is being developed by NEOM Green Hydrogen Company (NGHC), a joint venture between Saudi utility ACWA Power, US-based Air Products and NEOM.

Samir Serhan, CEO of ACWA Power, confirmed the construction milestone while speaking to analysts and investors during a recent earnings call, stating that the facility had moved into commissioning.

Once fully operational, the plant is expected to become the world's largest green hydrogen production facility, producing up to 600 tonnes of carbon-free hydrogen.

Green Hydrogen Production at Scale

Located at Oxagon within NEOM, the project is designed to demonstrate the commercial potential of producing renewable hydrogen at significant scale.

The hydrogen produced at the facility will be converted into green ammonia for export to international markets, creating a pathway for renewable energy generated in Saudi Arabia to serve global demand.

According to NGHC, the project is intended to provide a practical blueprint for large-scale green hydrogen production.

The facility forms part of Saudi Arabia's broader development of renewable energy and emerging clean-energy industries, while adding major energy infrastructure to the growing Oxagon industrial destination.

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Renewable Energy Infrastructure Nears Completion

The scale of the development extends beyond the hydrogen production facility itself, incorporating dedicated renewable power generation and transmission infrastructure.

NGHC previously announced that its renewable power generation assets, including the wind farm, solar farm and transmission grid, had reached 95% completion.

These assets will provide the renewable electricity required for the production process, integrating solar and wind generation with hydrogen and green ammonia production within the wider development.

The combination of renewable generation and large-scale hydrogen production is central to the project's objective of producing carbon-free hydrogen for international markets.

Commercial Operations Planned for Next Year

With construction now complete, commissioning represents the next major stage before the facility moves into commercial operations.

The $8.5 billion project is one of the largest energy developments underway within NEOM and represents a significant component of the infrastructure being developed at Oxagon.

Once fully operational, the facility's targeted production capacity of up to 600 tonnes of carbon-free hydrogen will position the project as a major source of green hydrogen and ammonia for export markets.

The transition from construction into commissioning also marks a significant milestone for the consortium as it moves closer to bringing one of Saudi Arabia's flagship clean-energy projects into operation.