Hydrogen Oman (Hydrom), an Energy Development Oman subsidiary, has signed major agreements with international consortium to develop two green hydrogen projects in Al Wusta.
The two agreements represent a total investment value of $10 billion, Zawya reported, citing the Oman News Agency.
The total estimated production of the two projects will be 250,000 metric tonnes of green hydrogen, equivalent to 6.5 gigawatts (GW) of renewable energy capacity, the report said.
The first agreement was signed with the POSCO-ENGIE (MESCAT Middle East DMCC) consortium. The project will have a production capacity of about 200,000-220,000 tonnes per annum of green hydrogen (from 5.2 GW of renewable energy), which would be turned into ammonia for export. The investment has been estimated at $7 to $8 billion.
Other consortium partners include Samsung Engineering, Thai national petroleum company PTTEP (FutureTech Energy Ventures), and two Korean utilities – Korea East-West Power Co. (EWP) and Korea Southern Power Co. (KOSPO).
Oman signs second contract with Hyport Duqm
The second agreement was signed with the Hyport Duqm consortium, comprising of Belgium-based international contractor and developer DEME and Oman-based energy company OQ. The first phase of the project aims to produce about 50,000 tonnes per year of green hydrogen and associated ammonia (from 3 to 3.5 GW of renewable energy) for export. The first phase would be located mainly outside the Duqm freezone but the second phase is planned to be located completely in the Duqm freezone.
The two agreements mark the closeout of the second part of the first round.
In early June, Hydrom signed three agreements to grant the first green hydrogen blocks as part of the first round of auctions with total investments projected to exceed $20 billion.