L&T to build energy infra for world’s largest green hydrogen plant
The project, backed by an investment of $8.4 billion, has garnered the support of 23 banking and financial institutions at local, regional, and global levels.
PremiumNew Delhi: The power transmission and distribution business of Larsen & Toubro (L&T) has said it will set up infrastructure for the world’s largest green hydrogen plant being built by NEOM Green Hydrogen Company, the company said in a statement.
Situated in Oxagon, within Saudi Arabia’s NEOM region, NGHC is a balanced joint venture between ACWA Power, Air Products, and NEOM. The venture is set to bring into existence a colossal plant designed to generate green hydrogen at an unprecedented scale, intended for worldwide export in the form of green ammonia.
The project, backed by a whopping investment of $8.4 billion, has garnered the support of 23 banking and financial institutions at local, regional, and global levels. As of now, the project has reached a complete financial closure, with construction activities advancing as planned.
“A few quarters back, L&T received the nod to establish the renewable energy generation, storage and grid infrastructure, from Air Products, the system-integrating EPC contractor and exclusive off-taker of green ammonia to be produced from the project," said the release.
It added that the value of the packages awarded to L&T aggregate to $2.779 billion. Under these contracts, L&T will engineer, procure, and construct a 2.2 GW PV solar plant,1.65 GW wind generation balance of plant, and a 400 MWh battery energy storage system under the power elements package.
Additionally, L&T will construct three 380 kV Switching Stations, 306 km of 380 kV Overhead lines, and Underground Cables required for the Kingdom’s Grid network. The scope of work also includes the Energy Power Monitoring System (EPMS) for the entire network.
Commenting on the development, the CEO and MD of Larsen & Toubro, S. N. Subrahmanyan said, “Such initiatives at scale have the potential to speed up global energy transition. Also, these technology-led projects are aligned with L&T’s aspirations towards propelling our next wave of growth and reflect the customer’s trust in our commitment to professionalism, timely delivery, and quality".
T Madhava Das, whole-time director & senior executive vice president (Utilities), Larsen & Toubro said, “We are proud to be associated with the project that will integrate 4GW of renewable energy to enable production of up to 600 tonnes of carbon-free hydrogen per day."
In a recent statement, Wolfgang Brand, Vice President of NEOM Green Hydrogen from Air Products, the prime EPC contractor and system integrator for the entire facility, expressed enthusiasm for the progress made towards the world’s largest green hydrogen production facility in NEOM. “We are pleased to commence the full execution of this lighthouse project and are proud to work with our partner L&T in their ambition to produce carbon-free hydrogen using renewable energy," said Brand.
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