Saudi mining giant Ma’aden has signed an agreement with Gulf Cryo, the regional leader in managing the carbon full circular value chain - from capture to utilisation – with a view to setting up a carbon capture plant in the kingdom.
As per the deal, Gulf Cryo will construct and operate the mega carbon dioxide capturing plant within Maaden’s integrated phosphate complex at Ras Al Khair for a 20-year period, said the company.
The partnership aims at reducing the carbon emission of the national mining company while providing a clean carbon dioxide (CO2) source to be used in industrial gases applications in the kingdom, creating a domestic circular carbon economy which increases the domestic value creation, fully supporting the plan to localise industries as per Saudi Vision 2030.
The captured CO2 will be distributed by Gulf Cryo, partly to International Maritime Industries (IMI), Saudi’s giant maritime yard, and the rest will be used in industrial applications such as EOR (Enhanced Oil Recovery) and water desalination, as well as in other industries such as food and beverage and agriculture.
The agreement was signed by Engineer Hassan Al Ali, Executive VP Phosphate of Ma’aden, and Engineer Abdulsalam Al Mazro, Vice Chairman of Gulf Cryo at the Saudi Green Initiative Forum, which took place on the sidelines of COP 27 in Egypt.
The agreement is considered the biggest carbon project for the merchant market targeting CO2 utilisation in the region, recovering as much as 300,000 tonnes per year of CO2 emissions that will be reutilised in various applications.
Ma’aden CEO Robert Wilt said: “As the largest multi-commodity mining and metals company in the Middle East, this agreement with Gulf Cryo marks a milestone in our journey to reach net-zero emissions by 2050 and become Saudi Arabia’s national mining champion.”
Gulf Cryo Chairman Amer Huneidi said: “It is with great pleasure that we sign this partnership with Ma’aden. We will provide the necessary solutions and expertise to support Ma’aden’s sustainability strategy.”