A new green hydrogen and ammonia project is set to advance in Saudi Arabia following the signing of a non-binding memorandum of understanding (MoU) between Saudi Arabia Refineries Co. (SARCO) and UAE-based Go Energy.
The agreement, announced in a statement to the Tadawul stock exchange, will see the two companies jointly study the development of the project and establish a legal framework to guide their collaboration. The MoU will remain valid for one year, with the option to extend by mutual consent.
SARCO emphasized that the agreement does not carry immediate financial obligations and does not involve any related parties. Instead, it represents an early step in exploring potential partnerships within the renewable energy sector. The company noted that the initiative aligns with its long-term strategy to expand operations through specialized energy collaborations.
“This partnership marks a significant milestone for SARCO as we explore opportunities in sustainable energy solutions,” the company said in its statement.
The proposed project supports Saudi Arabia’s broader ambition to transition toward cleaner energy sources under the Kingdom’s Vision 2030 framework. Riyadh aims to generate half of its electricity from renewable sources by the end of the decade and to become the world’s leading exporter of green hydrogen, with an annual production target of 1.2 million tonnes.
The initiative falls under the National Renewable Energy Program, which seeks to diversify Saudi Arabia’s energy mix and reduce its dependence on fossil fuels.
Green hydrogen — produced through electrolysis powered by renewable energy — is viewed as a cornerstone of the global shift toward carbon neutrality, as it emits no greenhouse gases during production. Saudi Arabia, which has set a target to achieve net-zero emissions by 2060, is investing heavily in both green and blue hydrogen technologies.
Major energy players such as Saudi Aramco and ACWA Power are already leading the Kingdom’s push toward sustainable energy. One of the flagship developments is the world’s largest green hydrogen plant being constructed in NEOM, the $500 billion futuristic city. The project, led by NEOM Green Hydrogen Co., is expected to begin operations in December 2026.
In addition, ACWA Power recently signed several agreements to export renewable energy and green hydrogen to Europe, reinforcing Saudi Arabia’s growing position as a global hub for clean energy innovation.
The SARCO-Go Energy collaboration marks another step in this direction, reflecting the Kingdom’s accelerating commitment to building a low-carbon economy driven by renewable power and hydrogen-based technologies.

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