Air Products’ joint venture in Saudi Arabia completes second asset transfer

Air Products announced financial close and transfer of the second group of assets for the $12B gasification and power joint venture with Aramco, ACWA Power and Air Products Qudra in the Jazan Economic City, Saudi Arabia. The JV’s purchase of this second group of assets at Jazan follows the successful asset acquisition and project financing transactions for the first group of assets completed in late October 2021. Approximately 40% of the JV’s capital structure consists of member contributions, and the remaining 60% consists of non-recourse project financing. The JV has purchased ASU, gasification, syngas cleanup, utilities and power assets from Aramco. The JV owns and operates the facility under a 25-year contract for a fixed monthly fee, with Aramco supplying feedstock to the JV, and the JV producing power, steam, hydrogen and other utilities for Aramco. Air Products’ total ownership position is 50.6% through 46 percent direct ownership and 4.6% through Air Products Qudra. The JV serves Aramco’s Jazan Refinery, a megaproject to process 400,000 barrels per day.