Saudi PIF Signs MoU with JERA for Development of Green Hydrogen Projects
JERA Co., Inc. (“JERA”) has signed an MoU with Saudi Arabia's Public Investment Fund (“PIF”). The MoU will drive cooperation between the two parties, to explore opportunities for the development of green hydrogen projects and derivatives.
The MoU was signed by Yuichiro Kato, Executive Officer, Head of the LCF Value Chain Division, from JERA and Yazeed Alhumied Deputy Governor and Head of MENA Investments from PIF.
The MoU will pave the way for studies and feasibilities for the potential development of Green Hydrogen and derivatives projects that would be aiming to support domestic and international markets.
In October 2021, JERA established JERA Middle East & Africa Management Co. Ltd. in Dubai, UAE, with a view of developing combined cycle power plant, large-scale renewable energy projects and green fuel production projects.
JERA has already existing gas-fired power and desalination projects in the GCC region and remain actively prospecting, with potential partners in the Middle East, to expand its development of decarbonization projects.
PIF is playing a critical role in advancing Saudi Arabia’s economic transformation as part of its longer-term diversification strategy, actively developing projects that support the delivery of Saudi Arabia’s net zero target by 2060 through investments across sectors including Green Hydrogen, Renewable Energy, Energy Efficiency, and Waste Management.
The MoU will unlock valuable synergies between PIF and JERA by leveraging the resources and capabilities of each party in the joint development of projects for green hydrogen derivatives including ammonia, mainly for exports from Saudi Arabia. The MoU will also contribute to the expansion of business opportunities for both entities.
JERA is considering the Middle East & Africa regions, which are rich in renewable energy resources, as a promising production base for green hydrogen and ammonia.
In order to achieve its “JERA Zero CO2 Emissions 2050” objective, JERA will continue to work with leading companies in Japan and overseas to establish and expand supply chains for hydrogen and ammonia, thereby contributing to global decarbonization and energy solutions.