Dubai: Abu Dhabi’s hydrogen initiatives continue, with two blue-chip companies – ADQ and Alpha Dhabi Holding – signing up with one of the biggest names in the industry, OCI, which is headquartered in the Netherlands. As part of the deal, a 15 per cent stake will be offered in OCI Methanol Group for $375 million, and this company will be registered at ADGM (Abu Dhabi Global Market).
The transaction is expected to be finalised this year itself. Methanol is a key enabler of the hydrogen economy and one the “most logical” hydrogen fuels. The alliance will focus on clean methanol as a “fuel for the future” with hydrogen as the primary feedstock.
OCI is also a shareholder in Fertiglobe, the nitrogen fertiliser company in which ADNOC is another shareholder. Fertiglobe recently went through a successful IPO and is listed on ADX.
“This strategic partnership further solidifies Abu Dhabi’s position in the global arena as a key player in the industrial and chemicals space,” said Mohamed Hassan Alsuwaidi, CEO of ADQ. “We are dedicated to bringing top-tier international companies to the UAE in line with Abu Dhabi’s plans to create a world-class investment platform that will invest in and develop a portfolio of petrochemical manufacturing projects in Abu Dhabi.”
OCI Methanol Group has extensive distribution and storage capabilities in the US and Europe, located near major inland demand centres or on major global shipping lanes next to key bunkering hubs.
Nassef Sawiris, Executive Chairman of OCI NV, said: “This partnership can accelerate the group’s position in the hydrogen economy. With methanol as the leading clean fuel for the shipping industry and other applications, we believe we are best positioned to execute growth initiatives and capitalize on the growing demand for clean hydrogen in downstream markets.”
Following the successful experience of Fertiglobe including the IPO and successful partnership with ADNOC, we believe this new strategic partnership strengthens our commitment to Abu Dhabi as a future hydrogen hub