AFC Energy signs distribution deal with Saudi group Altaaqa

AFC Energy (LON:AFC) has signed a non-binding distribution deal for its hydrogen-based fuel cell systems with Altaaqa Alternative Solutions to cover Saudi Arabia and the Middle East & North Africa (MENA) region.

Altaaqa, part of the Zahid Group, owns and operates one of the world’s largest rental fleets of mobile diesel power modules with 2GW of capacity within its portfolio, AFC said,  and it wants to complement this with sustainable, zero-emission alternatives.

Talks are now ongoing over an exclusive partnership focused first on Saudi Arabia and broadening out to the rest of the MENA region.

Greener, more environmentally friendly mobile power alternatives are a key part of Saudi Arabia’s sustainability commitments under its Vision 2030 and the wider Green Middle East Initiative.

Saudi Arabia is forecast to be one of the world’s largest producers of green hydrogen.

The MOU signing comes ahead of the Extreme E off-road rally series that starts in the Saudi desert at the weekend.

AFC is providing the power for all the cars taking part in the rally through solar-powered, mobile hydrogen fuel cells.  

 Adam Bond, AFC’s chief executive, said: ”Globally recognised as a partner of choice by many of the world’s leading industrial and energy companies, Altaaqa has an enviable reputation in the provision of best-in-class mobile power systems and further consolidates AFC Energy’s position as an emerging global provider of zero-emission power systems in advancement of the international transition to a Net Zero economy.” 

Majid T. Zahid, Group President – Energy at Zahid Group, added: “Today marks the beginning of a new partnership with AFC Energy, an industry leader in delivering clean electricity. We are confident that together we will be a significant player in our Kingdom’s aim of becoming the world’s leading hub in the production of green hydrogen and ammonia.”

AFC shares rose 6% to 68.5p.

Story by ProactiveInvestors