Oman makes multi-billion-dollar hydrogen move

Omani hydrogen company Hydrom, a subsidiary of Energy Development Oman (EDO), has signed six term-sheet agreements for hydrogen production worth more than RO 20 billion (around $51 billion) over the next seven years.

The agreements were signed with developers from Belgium, the Netherlands, the United Kingdom (UK), Japan, Singapore, Germany, India, Kuwait and the United Arab Emirates (UAE), Omani state news agency reports.

The production capacity of the projects included in these agreements reaches 15 GW of electricity, built on an area of approximately 1,500 square kilometres in the governorates of Al Wusta and Dhofar, the agency added.

The agreements include contracting for 47 years, of those seven years are for the development and establishment of the projects and 40 years for operating the projects.

Salim Nasser Al Aufi, Minister of Energy and Minerals said that the Sultanate of Oman has taken several steps in keeping pace with international transformations in energy and climate issues during the previous period, including Oman’s commitments to reach net-zero carbon emissions by 2050, in addition to preparing necessary policies to press ahead with projects and plans for the transition to green energy.

The Minister added that he expects green hydrogen to be produced in the Sultanate of Oman between 2028 and 2030, both for the use of local industries and for export.