Saudi Arabia’s NEOM Green Hydrogen Company closes deals on $8.4bn green hydrogen plant

Saudi Arabia’s NEOM Green Hydrogen Company (NGHC) signed financial documents with 23 local, regional and international banks and investment firms on a green hydrogen production facility. (Supplied)
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Updated 23 May 2023
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Saudi Arabia’s NEOM Green Hydrogen Company closes deals on $8.4bn green hydrogen plant

RIYADH: Saudi Arabia’s NEOM Green Hydrogen Company (NGHC) signed financial documents with 23 local, regional and international banks and investment firms on a green hydrogen production facility at a total investment value of $8.4 billion on Monday.

The plant is currently being built at Oxagon, in Saudi Arabia’s region of NEOM.

The National Development Fund (NDF) will contribute to financing the world's largest green hydrogen project, through its supervised entities: The Saudi Industrial Development Fund (SIDF) and the National Infrastructure Fund (NIF), along with local and international banks.

NDF aims to align Saudi Arabia’s development with Saudi Arabia’s transition to Vision 2030 and Net Zero by 2060, part of the Kingdom’s vision for a cleaner and greener future.

In assisting with the transformation of Saudi Arabia under Vision 2030, the NDF will inject more than SAR570 billion ($152 billion) to push the private sector and increase its contribution to GDP from 40 percent to 65 percent, and triple the contribution of non-oil exports to non-oil GDP from 16 percent to 50 percent.

NGHC, a joint venture between ACWA Power, Air Products and NEOM, will produce 600 tons a day of carbon-free hydrogen by the end of 2026 using 4 GW of solar energy, the statement said.

The company also said it concluded a $6.7 billion agreement with Air Products for the plant’s engineering, procurement and construction (EPC), securing an exclusive 30-year off-take agreement with Air Products for all the green ammonia it will produce.

* With Reuters


FDI in Saudi Arabia up 10%, hits $280bn: SAMA

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FDI in Saudi Arabia up 10%, hits $280bn: SAMA

RIYADH: Foreign direct investments in Saudi Arabia reached SR1.05 trillion ($280 billion) by the end of the third quarter of 2025 in what was a 10 percent annual increase, official data showed. 

Figures released by the Saudi Central Bank, also known as SAMA, revealed that total foreign investments in the Kingdom increased by 17 percent year on year to reach SR3.2 trillion. 

FDI occurs when a foreign entity invests in a business in another country, gaining a long-term interest and significant influence over its management and operations.

The increase reflects the Kingdom’s broader efforts to attract long-term foreign capital under its Vision 2030 strategy, which aims to diversify the economy beyond oil revenues. Under the program, Saudi Arabia is targeting $100 billion in annual FDI by 2030.

SAMA data added that portfolio investments by foreign firms in the Kingdom, which include equity, investment funds, and debt bonds, amounted to SR1.31 trillion by the end of the third quarter of 2025, marking an increase of 24 percent compared to the same quarter in the previous year. 

The release also showed that other foreign investments, which include loans, currency, and deposits, as well as other accounts, stood at SR843.56 billion in the third quarter of 2025, up 17 percent year on year.

The figures indicated that Saudi Arabia’s total assets stood at SR5.99 trillion during the same period, reflecting a 5 percent rise compared to the third quarter of 2024.

Direct investment abroad reached SR953.66 billion in the third quarter of 2025, up 16 percent annually. 

During the same quarter, the Kingdom’s portfolio investments, which include equity and fund investments as well as debt securities, totaled SR1.94 trillion, up around 4 percent compared to the corresponding period in 2024.

Other asset-side investments, including trade credit, loans, currency and deposits, and various other accounts, increased by 8.9 percent year-on-year, reaching SR1.41 trillion in the third quarter.

Reserve assets, including monetary gold, Special Drawing Rights, the reserve position in the Fund, and other reserve assets, reached SR1.68 trillion in the same quarter, reflecting a 1.4 percent decline compared to the previous year.

In December, a report by the General Authority for Statistics revealed that Saudi Arabia’s foreign direct investment net inflows reached SR24.9 billion in the third quarter of 2025, marking a 34.5 percent increase from the same period in 2024.