The MENA region is emerging as a key player in the global low-carbon fuels (LCF) market, driven by strong growth prospects, innovative technologies, and economic opportunities. As countries across the region commit to reducing carbon emissions, the market for low-carbon fuels such as hydrogen, ammonia, methanol, sustainable aviation fuel (SAF), and other e-fuels and biofuels is set to expand significantly. The region’s abundant renewable energy resources, coupled with favorable policies and regulations, are accelerating the adoption of clean fuels, supported by government incentives and economic viability.
However, scaling up low-carbon fuel production presents challenges, from technological hurdles in hydrogen and ammonia production to the complexities of carbon capture and sequestration. Regional efforts to develop robust trade and transport infrastructure are crucial for meeting demand and ensuring efficient fuel distribution across international markets. In parallel, advancements in "blue" and "green" technologies for LCF production are critical in enhancing efficiency and lowering costs.
Masdar and TotalEnergies to Develop a Commercial Green Hydrogen to Methanol to SAF.
1/8/24, www.Masdar.ae
Global marine fuel supplier targets Middle East for conventional and alternative fuels.
10/10/24, www.offshore-technology
UAE: Mercantile & Maritime Group to launch $600mln biofuels plant… Once operational, it will produce up to 150 million litres of sustainable aviation fuel (SAF) annually, representing nearly 10% of current global SAF production.
5/11/24, www.zawya.com
Topsoe and Aramco to jointly develop blue-hydrogen project in Saudi Arabia.
2/12/24, https://www.chemengonline.com
According to S&P Global Commodity Insights, the region is developing 67 low-carbon or renewable hydrogen and ammonia projects, with a combined capacity of 9 million mt/year, 1.4 million mt/year of which is in advanced stages. As the region becomes a major producer of low-carbon fuels, competition may arise between the Middle East and the US for export markets in Japan and South Korea.
The UAE is home to the Middle East's first green hydrogen production plant and aims to secure 25% of the global hydrogen market by 2030. Masdar plans to produce one million tons of green hydrogen annually by that time, while ADNOC's current production capacity stands at 300,000 tons. To support these ambitious targets, the UAE plans to increase clean energy investments to $163 billion by 2050.
Securing financing and navigating certification challenges remain key obstacles for LCF projects, but with increasing interest from buyers and users in sectors such as aviation, marine, power generation, and land transport, the economic potential is immense. The MENA region’s ability to innovate, build infrastructure, and create favorable market conditions positions itself as a global supply hub for low-carbon fuels, ready to meet the demands of a cleaner, more sustainable future.
CMT’s
Low Carbon Fuels MENA Summit offers unparalleled networking opportunities, allowing attendees to connect with industry leaders, potential partners, and innovators. Additionally, exhibiting or sponsoring at the conference provides businesses with enhanced visibility, direct access to a targeted audience, and the chance to showcase their products and services, making it an invaluable investment for growth and collaboration in the LCF industry.
Contact
cynthia@cmtconference.com for sponsorship opportunities. For registration, contact
grace@cmtsp.com.sg
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