KEPCO Signs Cooperation Agreement with Saudi Aramco for Domestic Introduction of Clean Ammonia

Saudi Electricity Company and 'Grid Technology Cooperation' · Aljomai Energy to Jointly Develop 'Overseas Hydrogen Projects'

Korea Electric Power Corporation (KEPCO) signed a cooperation agreement on the domestic introduction of clean ammonia with Saudi Aramco, the world's largest oil and gas company, on the 22nd (local time). KEPCO also agreed to collaborate on grid technology with the Saudi Electricity Company and to jointly develop overseas green hydrogen markets with the local company Aljomaih Energy.

KEPCO announced on the 23rd that it held a contract signing and exchange ceremony with Saudi energy companies in Riyadh on the 22nd to cooperate in the hydrogen ammonia and grid sectors.

KEPCO signed a letter of intent to participate in the project for the domestic introduction of clean ammonia with Saudi Aramco, with Lee Hyun-chan, head of the New Growth & Overseas Business Division, in attendance. Established in 1933, Aramco is the world's largest oil and gas company and is promoting the production of 10 million tons per year of clean ammonia starting in 2030 by utilizing natural gas-based CCS (carbon capture and storage) in the Ras Al Khair area adjacent to the eastern Persian Gulf in Saudi Arabia.

Through this agreement, KEPCO agreed to establish a cooperative relationship with Saudi Aramco, along with POSCO Holdings and Lotte Chemical, to import low-carbon clean ammonia into Korea.

A KEPCO official stated, "KEPCO is currently smoothly constructing the Jafurah combined heat and power plant construction and operation project, which Aramco ordered in August 2021," and added, "Through this opportunity, KEPCO plans to form 'Team Korea' with POSCO Holdings and Lotte Chemical to negotiate specific terms related to long-term clean ammonia procurement and equity investment in Aramco's blue ammonia business."

KEPCO also agreed to strengthen a strategic partnership with the Saudi Electricity Company to explore opportunities for grid standardization, engineering, and joint business development within Saudi Arabia.

The two companies have maintained cooperation through comprehensive MOUs and CEO and working-level meetings since jointly promoting the Rabigh heavy oil power plant construction and operation project in 2009. With the launch of the 'Saudi Green Initiative' in 2021, continuous investment and application of new technologies in Saudi Arabia's power sector are expected. They plan to share their technological capabilities and experience aiming to apply advanced technologies such as high-voltage direct current (HVDC) transmission and intelligent digital substations, and to hold regular technical exchange forums.

Additionally, KEPCO decided to establish a strategic partnership with Aljomaih Energy, a Saudi energy development company, for joint overseas hydrogen business development.

A KEPCO official said, "Taking this opportunity of signing letters of intent and memorandums of understanding with Saudi companies, we plan to solidify our foundation for entering Saudi Arabia by expanding relationships beyond traditional thermal power cooperation to clean ammonia and grid sectors, leading the implementation of carbon neutrality."

KEPCO's Lee Hyun-chan, Head of New Growth & Overseas Business Division (left), and Aramco's Walid Alsaif, Vice President, are posing for a commemorative photo after signing a letter of intent to participate in the project for the domestic introduction of clean ammonia.

This content was produced with the assistance of AI translation services.