Abu Dhabi Future Energy Company (Masdar) has signed a binding agreement with Austrian energy company OMV to develop and operate a major green hydrogen production plant in Austria.

The 140MW green hydrogen electrolyser plant will be Europe’s fifth-largest hydrogen plant, according to Masdar chairman, Sultan Ahmed Al-Jaber.

It will be built in Bruck an der Leitha, about 40 kilometres southeast of Vienna.

The facility will be developed under a newly established joint venture, in which Masdar owns 49% and OMV holds the majority 51% stake.

The agreement was signed at the Abu Dhabi International Petroleum Exhibition and Conference (Adipec), in the presence of Al-Jaber; Austria’s Federal Minister of Economy, Energy and Tourism, Wolfgang Hattmannsdorfer; OMV CEO Alfred Stern; and Masdar CEO Mohamed Jameel Al-Ramahi.

It is expected that the project will reach financial close in early 2026, subject to final documentation, shareholder consent and regulatory approvals.

Construction began in September, with operations scheduled to start in 2027.

OMV, which already operates a 10MW electrolyser in Schwechat, will procure renewable electricity for hydrogen production and retain ownership of the output.

Several large-scale hydrogen facilities across Europe are currently under construction.

In 2024, Germany’s Siemens Energy signed a deal with German utility EWE to build a 280MW green hydrogen electrolysis plant. This is expected to begin operations in 2027.

Masdar and OMV previously signed a letter of intent to cooperate on green hydrogen, synthetic sustainable aviation fuels (e-SAF) and synthetic chemicals in both the UAE and central and northern Europe.