PIF, Posco and Samsung C&T sign MoU on green hydrogen project

Agreement signing ceremony

The Public Investment Fund (PIF) signed a memorandum of understanding (MoU) with South Korea’s Posco and Samsung C&T to develop new green hydrogen production project.

The MoU was signed on the sidelines of the Saudi-Korean investment forum held in Riyadh.

According to an official statement, the MoU covered conducting a feasibility study on the development of a green hydrogen production project in Saudi Arabia for export purposes.

The trilateral cooperation will become a shift in carbon emission reduction. It will also contribute to transferring knowledge between Saudi Arabia and South Korea in the long term. 

Samsung C&T is a leading South Korean construction company that specializes in building,infrastructure and plant businesses, while POSCO is the largest steel manufacturer in South Korea. PIF acquired a 38% stake in POSCO E&C in 2015, which is one of the affiliates of POSCO.

Additionally, POSCO and Samsung C&T signed a Master Service Agreement covering technical development of liquid nitrogen for global green hydrogen production and storage in November 2021. POSCO promotes hydrogen production projects with the vision of becoming a top ten global hydrogen producer, producing approximately 7 million tons of hydrogen in 2050 through initially targeting 0.5 million tons of hydrogen production.