Industrial gas firm Air Products has finalised an agreement with Scandinavian fertilizer producer Yara International regarding the sale of renewable ammonia from the NEOM plant in Saudi Arabia, as reported by Argus Media. Yara will market the renewable ammonia that Air Products does not sell as hydrogen.

The US-based firm announced in its 2Q26 results. Both companies stated in December 2025 that they were in discussions regarding a ‘marketing and distribution agreement’ for NEOM. Air Products is the sole offtaker for the 1.2 million tpy NEOM plant under a 30-year contract. It plans to crack ammonia back into hydrogen for sale in Europe, including under a deal with TotalEnergies.

Air products stated that the agreement reduces its "need for green hydrogen downstream investment", potentially lowering its requirement for ammonia cracking capacity. Air Products previously announced plans for ammonia cracking plants at several locations in northwest Europe, but it has yet to take a final investment decision (FID) on any facility.

The arrangement could help Air Products market early NEOM volumes before any ammonia cracking facility starts operating.

NEOM could produce its first ammonia in 2027, the project developers said in March. But Air Products expects "a long commissioning process" and that "it will take some time for the facility to get to full production", as suggested by Menezes.

Read the full story at World Fertilizer