On Oct. 22 (local time) in Riyadh, Saudi Arabia, the Korea Electric Power Corporation (KEPCO) announced that it had signed a contract with Saudi energy companies to collaborate in the hydrogen ammonia and grid sectors.
Through this agreement, KEPCO, along with POSCO Holdings and Lotte Chemical, has agreed to establish a collaborative relationship to introduce low-carbon clean ammonia from Saudi Aramco to Korea.
KEPCO is currently constructing the Jafurah Combined Cycle Power Plant, a project commissioned by Aramco in August 2021. Seizing this opportunity, KEPCO plans to form “Team Korea” with POSCO Holdings and Lotte Chemical, discussing specific terms related to long-term clean ammonia purchases and investment in Aramco’s blue ammonia business.
“Team Korea” intends to utilize clean ammonia in areas such as coal-fired power generation, hydrogen reduction steel making, and petrochemicals. This effort aims to contribute to the Korean government’s greenhouse gas reduction targets for 2030 and carbon neutrality by 2050.
Furthermore, KEPCO has decided to strengthen its strategic partnership with the Saudi Electricity Company (SEC) to explore opportunities for standardizing the grid within Saudi Arabia, engineering, and joint business development.
In addition, KEPCO has reached an agreement to establish a strategic partnership with Aljomaih Energy Energy (AEW), a specialized energy development company in Saudi Arabia, for joint development in the overseas hydrogen business.