AHG to set up $160 million industrial gases plant in Oxagon
Oxagon, the reimagined industrial city of NEOM, has signed a land lease agreement between NEOM and Abdullah Hashim Industrial Gases & Equipment Co (AHG), a leading provider of industrial gases to industries across Saudi Arabia. As part of a planned SAR 600 million ($160 million) investment, AHG will develop a state-of-the-art industrial gases production and distribution facility in Oxagon’s Industrial Quarter, the city’s dedicated industrial district, in multiple phases.
The first phase, with groundbreaking scheduled for February 2026, will include essential industrial gases infrastructure, offices, warehousing and distribution capabilities. Operations are due to commence in late 2026, with subsequent phases expected to start in 2028. This strategic partnership signals Oxagon’s readiness as an industrial city, with the production and distribution of industrial gases paving the way for tenants to ramp up development and begin production from 2026 onwards.
“Our partnership with AHG exemplifies Oxagon’s readiness to welcome world-class tenants and accelerate the Kingdom’s transition to a diversified, future-ready economy,” said Vishal Wanchoo, CEO of Oxagon.
Summary: The AHG deal marks a significant step for Oxagon in establishing a phased, large-scale industrial gases hub, with construction beginning in 2026 and operations aimed to start the same year, reinforcing NEOM’s industrial ambitions.