Abu Dhabi Future Energy Company (Masdar) has cancelled plans to develop a 100MW green hydrogen production facility at EMSTEEL’s manufacturing complex in Musaffah, Abu Dhabi, according to MEED.
Masdar notified contractors that it had decided to cancel the project, after asking bidders earlier this year to extend the validity of their proposals while it evaluated the offers. Bids had been submitted by Envision, Larsen & Toubro, PowerChina, Samsung E&A and Sinopec, the report said.
Masdar has not disclosed the reason for the cancellation. The decision comes amid broader challenges, although no specific reason has been given for the cancellation of this project.
The planned facility was designed to use 100MW of alkaline electrolyzers to produce renewable hydrogen for use as a reducing agent in EMSTEEL’s steelmaking operations. The scope included electrolyzer stacks, hydrogen separation and compression units, storage, utilities and associated electrical and control systems.
Masdar awarded the FEED contract to NT Energies, a joint venture between NMDC Energy and Technip Energies, in 2024. The project was subsequently tendered on an EPC and operations and maintenance basis, with bids submitted by the end of 2025.
The cancellation comes after Masdar and EMSTEEL had already demonstrated the use of green hydrogen in steelmaking through a 2.1MW pilot plant, inaugurated in October 2024. The pilot was designed to support production of up to 5,000 tons of green steel per year.
