ADNOC to acquire 35% stake in Exxon Mobil facility in Texas

Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and chairman of the Abu Dhabi Executive Council, has witnessed the signing of an agreement that ADNOC will acquire a 35% equity stake in Exxon Mobil’s proposed low-carbon hydrogen and ammonia production facility in Baytown, Texas. The agreement represents a significant investment in the United States’ energy production and the global energy transition. It will help reduce greenhouse gas emissions across hard-to-decarbonize sectors, including industry, energy and transportation, meet rising demand for lower-carbon fuels, and accelerate a net-zero future. Contingent on supportive government policy and necessary regulatory permits, the facility is expected to be the world’s largest of its kind upon startup, capable of producing up to 1B cubic feet daily of low-carbon hydrogen, which is virtually carbon-free with approximately 98% of carbon dioxide removed and more than 1M tons of low-carbon ammonia per year. A final investment decision is expected in 2025 with anticipated startup in 2029. The facility will leverage advanced carbon capture and storage technologies to reduce emissions associated with hydrogen production.