Saudi Arabia and South Korea sign $30 billion deal

South Korean companies including Samsung and Hyundai Rotem have signed more than 20 agreements with Saudi Arabia in the energy, railway, chemical, pharmaceutical and gaming sectors worth a total of $30 billion during Crown Prince Mohammed bin Salman’s visit to the country. According to a statement by Saudi Arabia’s Investment Minister Khalid al-Falih, during a visit by Saudi Arabian Crown Prince Mohammed bin Salman to meet with South Korean President Yoon Suk-yeol, deals worth a total of $30 billion were signed between Saudi Arabia and South Korean companies. Companies including Samsung and POSCO Holdings have signed more than 20 agreements with their Saudi counterparts in the energy, railway, chemical, pharmaceutical and gaming sectors, according to a statement by South Korea’s Ministry of Industry. Korea Electric Power and four other Korean companies have signed a memorandum of understanding with the Saudi Public Investment Fund to build and operate a hydrogen and ammonia production facility. The facility, which will be built between 2025 and 2029 and reportedly operated for 20 years, will produce 1.2 million tons of green hydrogen and ammonia per year, according to Korea Electric Power. The project is reported to be worth $6.5 billion. South Korean investment in NEOM According to the memorandum of understanding between Hyundai Rotem and Saudi Arabia, a railway project will be cooperated in Saudi Arabia’s NEOM economic zone, which will be worth $500 billion. The value of the project has not yet been disclosed. In addition, S-Oil, whose largest shareholder is Saudi ARAMCO, announced that it plans to invest $7 billion in its factory in Ulsan, South Korea, to produce high-value petrochemical products. In addition, according to the agreements, Saudi Venture Capital Company will create seven special funds.