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Korea Electric Power Corporation and others signed an agreement with Saudi Arabia’s Public Investment Fund (PIF), in order to construct and operate an ammonia and green hydrogen production plant in Saudi Arabia.
According to a person, the project will be worth approximately $6.5 billion. They declined to identify themselves as they weren’t authorized to talk to the media about the matter.
The signing of the initial agreement coincides closely with South Korea’s visit by Mohammed bin Salman, Crown Prince of Saudi Arabia.
A news agency said that the project will be built in Yanbu, Saudi Arabia 2025-2029, will cover 396,694 sq. meters, and produce 1.2 million tonnes of green hydrogen and ammonia each year for 20 years. It is estimated to be worth approximately $6.5 billion.
Korea Electric Power Corp (KEPCO), Korea Southern Power Co Ltd, POSCO Holdings Inc, Korea National Oil Corp, and Samsung C&T Corp signed the agreement.
According to South Korea’s industry ministry, the agreement is one of more than 20 signed by South Korean companies with Saudi Arabian counterparts. It involves projects in diverse fields such as energy cooperation and railways.