Ma’aden and Gulf Cryo announce partnership to lower carbon emissions

Ma’aden, the largest multi-commodity mining and metals company in the Middle East, and Gulf Cryo, the regional leader in managing the carbon full circular value chain from capture to utilisation, have announced a 20-year agreement to capture and utilise Ma’aden’s carbon emission.

With the presence of HRH Prince Abdulaziz Bin Salman, Saudi Arabia’s Minister of Energy, the long-term agreement was signed by Eng. Hassan Al Ali, Executive Vice President Phosphate of Ma’aden, and Eng. Abdulsalam Al Mazro, Vice Chairman of Gulf Cryo, at the Saudi Green Initiative Forum, that took place on the sidelines of COP27 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 MTPA of CO2 emissions that will be reutilised in various applications.

“The agreement with Gulf Cryo marks a milestone in our journey to reach net-zero emissions by 2050 as Saudi Arabia’s national mining champion,” Robert Wilt, CEO of Ma’aden, said in a statement.

“It is testament to our commitment to fulfill the objectives of the Saudi Green Initiative, in line with our goal to be a role model for sustainable operations in the Kingdom. Carbon capture will further strengthen Ma’aden’s position as major global supplier of Blue Ammonia, a low carbon approach to ammonia production,” he added.

Amer Huneidi, Chairman of Gulf Cryo, 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. This agreement is an anchor of our common commitment to decarbonise the region, and to support the Kingdom’s climate goals and localisation objectives by creating a circular carbon economy.”

Gulf Cryo will construct and operate a mega carbon dioxide capturing plant in Ma’aden integrated phosphate complex in Saudi Arabia. The partnership aims at reducing the carbon emission of the national mining company while providing a clean 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 F&B, agriculture, etc.

“Investing in decarbonisation solutions in the Kingdom is part of Gulf Cryo’s strategy, and we are delighted to work with Ma’aden to lower their carbon emissions,” Eng. Al Mazro said.

“Ma’aden is a significant driver behind the Kingdom’s economy, and their agile ability to balance between the economic and environmental fronts is an example of a successful sustainable economy,” Eng. Al Mazro commented, adding: “Additionally, we are vigorous in creating a circular carbon economy in which we capture and reuse the recovered CO2 within the Kingdom itself. This circularity has direct results not only on the environment and the Kingdom’s localisation plan, but also on shifting mindsets and setting an example for young talents on the importance of changing how we operate in this world to preserve it.”

The first project phase is planned to be operational by 2024 and both parties will explore further expansion of the project.