MUSCAT, DEC12
Hydrom, the master-planner and orchestrator of Oman's green hydrogen industry, has signed an agreement term sheet to establish the first green hydrogen project in Dhofar Governorate. The pact was signed on the sidelines of the Green Hydrogen Summit Exhibition which opened at Oman Convention and Exhibition Center here on Tuesday, December 12.
The project which will be led by the SalalahH2 consortium will produce 1 million tonnes of green ammonia per year, and 175,000 tons of green hydrogen by 2029.
Speaking to the press, Managing Director of Hydrom, Eng. Abdulaziz al Shidhani, shared that the project will be the first of its kind in the Dhofar Governorate.
He explained that the project will highlight the appeal of Dhofar Governorate, and will increase the participation rate for the next bidding round in the area.
According to Al Shidhani, the winners of the ongoing bids for the hydrogen block auction in the Dhofar region will be announced in early 2024.
The SalalaH2 consortium includes Oman-based OQ Alternative Energy, Japanese Marubeni Corporation, UAE Based Dutco Overseas Limited (Dutco Group), and Korean Samsung C&T.
It is worth noting that the project was part of a set of legacy projects, which are a group of clean hydrogen projects signed prior to the establishment of a relevant regulatory framework in the country and prior to the establishment of Hydrom.
Eng Salim al Aufi, Minister of Energy and Minerals, and Chairman of the Board of Directors of Hydrom, shared that the project, which is the sixth of its kind, will help bring Oman closer to its goal of producing one million tons of green hydrogen by 2030.
“This sixth agreement.. brings us closer to the larger goal, which is one million tons by the year 2030.The expected investment level for the six agreements that have been signed exceeds $38 billion." Construction of the project is expected to begin in 2026.
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