With a consortium made up of the French company Engie and the South Korean company Posco, Oman's Hydrom has inked agreements worth $10 billion to construct two new green hydrogen production projects. The other project is the Hyport Duqm initiative.The Al Wusta governorate will house the new developments.
Oman has awarded a total of five large-scale green hydrogen projects, totaling more than $30 billion in investment and 750,000 tonnes of anticipated annual production, following the earlier this month award of three projects.
The agreements support Oman's goal of producing 8 million tpa of green hydrogen by 2050, up from its current goal of 1 million tpa by 2030.
This will require investments totaling $140 billion.
Commenting on the deals, Oman’s Minister of Energy and Minerals Salim bin Nasser Al-Aufi said: “We are pleased to witness the signings of these new agreements with such prestigious international companies.
“The fast-paced efforts behind the announcement of these new projects reflect Oman’s commitment to reinforce its leading position in the global green hydrogen sector in line with its energy transformation strategy.”
The second bid phase of Hydrom's auction process, which gives businesses the chance to submit investment plans to create more substantial green hydrogen projects, was also introduced during the occasion.
The auction is scheduled to end by the end of the first quarter of 2024 and will concentrate on land parcels in the governorate of Dhofar.
According to Al-Aufi, this second round of bidding will help Oman reach its goal of net-zero carbon emissions by 2050.
He added: “This aligns with our ambitious plans to establish Oman as one of the world’s largest exporters of green hydrogen by 2030.