Oman's Ambitious Plans for Green Hydrogen: A Bright Future Ahead
Key Ideas
  • Oman is optimistic about becoming a major green hydrogen supplier despite delays and cancellations in other countries.
  • Hydrom, responsible for green hydrogen development, will auction more land in early 2024, aiming for first exports by 2030.
  • While concerns exist about market demand, Oman believes in the long-term potential and is committed to its green hydrogen projects.
  • Even without secured buyers yet, Oman pushes forward, anticipating momentum post the signing of initial supply agreements.
Oman remains steadfast in its commitment to becoming a significant player in the green hydrogen market, despite setbacks faced by other countries. The government agency Hydrom is actively overseeing the development of green hydrogen projects in Oman and is set to auction off more land in the first quarter of 2024, with the target of commencing exports by early 2030. Green hydrogen, generated through the electrolysis of water using clean energy sources, is seen as crucial for achieving climate targets globally. While some projects in Europe have been delayed or scrapped due to concerns over market demand and infrastructure, Oman continues to believe in the long-term viability of green hydrogen. The country's energy minister and Hydrom's chairman, Salim Al-Aufi, expressed confidence in the future, citing ongoing activities by potential customers in building necessary infrastructure. Despite the absence of secured buyers or final investment decisions for projects from previous auctions, Oman remains optimistic about the sector gaining traction once initial supply agreements are in place. Key agreements, such as Yara International ASA's green ammonia purchase from Oman, indicate a growing interest in green hydrogen. The timeline for final investment decisions on Hydrom's projects extends to late 2026, emphasizing Oman's long-term vision and dedication to the green hydrogen market.
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