Saudi Aramco has taken a significant step toward expanding its clean energy initiatives by acquiring a 50% stake in Blue Hydrogen Industrial Gases Company (BHIG), a Saudi-based hydrogen developer. The remaining half of BHIG will remain under the ownership of Air Products Qudra, a joint venture between U.S.-based Air Products and Saudi Arabia’s Qudra Energy.
This partnership is set to accelerate hydrogen production, particularly in the lower-carbon segment, reinforcing Saudi Arabia’s transition to sustainable energy solutions. The acquisition, initially announced in July 2024, also includes agreements for Aramco to secure hydrogen and nitrogen for industrial applications.
“Aramco’s investment in BHIG aligns with our broader strategy to develop a hydrogen ecosystem in the Kingdom’s Eastern Province,” said Ashraf Al Ghazzawi, Aramco’s Executive Vice President of Strategy and Corporate Development. “By integrating this with our carbon capture and storage (CCS) hub in Jubail, we can leverage emerging opportunities to reduce emissions, foster economic growth, and diversify our energy portfolio.” 
BHIG will focus on producing blue hydrogen derived from natural gas while implementing carbon capture technologies to minimize environmental impact. The company is expected to commence commercial operations soon, supplying hydrogen to Saudi Arabia’s refining, chemical, and petrochemical industries.
“This joint venture strengthens our commitment to building a comprehensive hydrogen network in the region,” said Ahmed Hababou, Chairman of Air Products Qudra. “It marks another milestone in our pursuit of cleaner energy solutions.”
Aramco’s latest investment underscores its growing role in the global energy transition, positioning Saudi Arabia as a key player in hydrogen development and carbon reduction efforts.
