BP to acquire 49% stake in Hyport Duqm green hydrogen project in Oman

Belgium-based offshore energy and dredging contractor DEME and Omani energy company OQ have reached an agreement to have UK energy major BP as an equity partner and operator in the Hyport Duqm green hydrogen project in Oman.

BP will acquire a 49% stake, while DEME and OQ will each maintain a 25.5% stake in the project company. The transaction will be completed in Q3 2024.

According to DEME, the production of green hydrogen to green ammonia will be powered by both wind and solar energy, with a combined capacity of approximately 1.3 GW under Phase 1 and potentially more than 2.7 GW upon completion of Phase 2.

The downstream operations plan is to be fully integrated with the infrastructure at the Port of Duqm to handle green molecules and channel them for export into European and Asian markets, DEME said, adding that the molecules could serve to apply across several industries that are on their path to sustainable decarbonization.

Currently, the project is in the pre-front-end engineering design (pre-FEED) phase, with the commercial operations date scheduled for 2030-2031.

To remind, in June 2023, DEME and OQ signed a project development agreement with Hydrom in regard to the Hyport Duqm. Hydrom represents Oman’s national interest in green hydrogen and is regulated by the Ministry of Energy and Minerals.