Photo: Oman News Agency-
Metropolis Desk –
Based to the nation’s official news agency, Oman’s Hydrom has inked $10 billion worth of contracts to create two new green hydrogen production projects with a partnership of the Posco and Engie companies from South Korea and the Hyport Duqm initiative.
According to Oman News Agency, the new developments would be situated in the Al Wusta governorate.
Oman has awarded a total of five large-scale green hydrogen projects, totaling more than $30 billion in investment and 750,000 tons 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.
Salim bin Nasser Al-Aufi, the energy and minerals minister for Oman, commented on the transactions, saying: “We are glad to see the signing of these new agreements with such esteemed foreign firms.
According to the energy transformation policy of Oman, “the quick work behind the announcement of these new projects reflects Oman’s commitment to reinforce its leading position in the global green hydrogen sector.”
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.
“This fits with our ambitious plans to make Oman one of the top exporters of green hydrogen by 2030,” he continued.
“We possess valuable natural resources and geographical features that allow us to spearhead this promising sector and capitalize on its potential as the energy source of the future.”
Abdulaziz Al-Shidhani, managing director of Hydrom, said his company conducted round one of the auctions in record time and added: “We are proud of what we have accomplished so far towards developing the green hydrogen sector in the Sultanate of Oman.
“The signing of these agreements reflects Oman’s commitment towards stimulating the growth of its green hydrogen sector and cementing its leading position regionally and globally.”
Hydrom’s three deals signed earlier this month were with a consortium of Amnah, Green Energy Oman, and BP Oman.
The contracts’ combined investment is anticipated to be more than $20 billion, and the improvements are anticipated to result in a total annual production capacity of 500,000 tons of green hydrogen.
Source – Arab News
