Saudi Aramco launches sustainability fund
The more than $1 billion new Saudi fund will invest in hydrogen, ammonia and other alternative fuels to oil.
Saudi’s state-owned oil company Aramco announced yesterday the launch of a venture capital fund that will focus on sustainability-related projects.
What it means: The $1.5 billion fund will "invest in technology that can support a stable and inclusive energy transition.” It will be managed by Aramco’s venture capital arm. The fund will invest in the following, Aramco said in a press release:
- carbon capture and storage
- greenhouse gas emissions
- energy efficiency
- nature-based climate solutions
- digital sustainability
- hydrogen
- ammonia
- synthetic fuels
Aramco will target projects globally, not just in Saudi Arabia or the Gulf.
Why it matters: Saudi Arabia is one of the biggest oil producers in the world but is seeking to diversify its economy per the Vision 2030 initiative. The kingdom is investing in an array of green technology projects to this end.
