• Strategic Partnership: ADNOC acquires a 35% stake in ExxonMobil’s low-carbon hydrogen plant in Texas, marking a significant U.S. investment.
• Massive Production: The facility aims to produce up to 1 billion cubic feet of low-carbon hydrogen daily, with 98% CO2 removal.
• Global Impact: This project supports decarbonization efforts, job creation, and aligns with both companies’ net-zero ambitions.

ADNOC’s Strategic Stake in ExxonMobil’s Hydrogen Plant

Abu Dhabi’s ADNOC will acquire a 35% stake in ExxonMobil’s upcoming hydrogen plant in Baytown, Texas. This move is part of a broader strategy to expand ADNOC’s lower-carbon energy portfolio and advance global decarbonization efforts.

Production and Technology

The Texas facility aims to produce up to 1 billion cubic feet of low-carbon hydrogen per day, removing around 98% of carbon dioxide emissions. “This strategic investment is a significant step for ADNOC as we grow our portfolio of lower-carbon energy sources,” said His Excellency Dr. Sultan Ahmed Al Jaber, ADNOC Managing Director and Group CEO. The plant will also produce over 1 million tons of low-carbon ammonia annually, leveraging advanced carbon capture and storage technologies.

Market and Demand

ADNOC Executive Vice President Michele Fiorentino highlighted the plant’s dual market focus: supplying blue hydrogen to ExxonMobil’s refining systems or third-party buyers via the Gulf Coast pipeline, and exporting blue ammonia to demand centers in Northeast Asia and Europe. “The scale of the project will make its hydrogen among the most cost-competitive,” Fiorentino noted, emphasizing ADNOC’s confidence in the growing demand for low-carbon energy solutions.

Economic and Community Benefits

The project is expected to bring significant economic benefits, including job creation and community support in the Baytown area. Darren Woods, ExxonMobil Chairman and CEO, expressed appreciation for the partnership, stating, “This is a world-scale project in a new global energy value chain.”

Related Article: ExxonMobil and Air Liquide Partner for World’s Largest Low-Carbon Hydrogen Project, Producing 1 Billion ft³ Daily

Next Steps

The final investment decision is anticipated in 2025, with production expected to commence by 2029. ADNOC and ExxonMobil aim to lead the charge in global energy transition, setting a precedent for future investments in sustainable energy infrastructure.