HyDuqm: Oman's Green Hydrogen Project Set to Attract Billions in Investment
Key Ideas
- The HyDuqm project in Oman, led by Engie and Posco, aims to attract USD 7-8 billion in investment to produce 200,000 tpa of renewable hydrogen.
- Oman targets 1 million tpa of renewable hydrogen by 2030, requiring a total investment of USD 35 billion, showcasing the country's ambitious green hydrogen strategy.
- The project will support South Korea’s decarbonisation goals by supplying green ammonia as a cleaner alternative to coal, reinforcing Oman's role as a major hydrogen exporter.
- Oman's focus on policy support, investment clarity, and global demand for hydrogen derivatives will be crucial for the success of the project and the country's future as a clean energy exporter.
The HyDuqm green hydrogen project in Oman, led by a consortium of Engie and Posco, is poised to attract investments between USD 7 billion and USD 8 billion to achieve its full capacity. The project, located in Duqm, Oman, has secured a 340 sq km land block and plans to integrate 5 GW of wind and solar energy to produce 200,000 tonnes per annum (tpa) of renewable hydrogen. This initiative aligns with Oman's goal of producing 1 million tpa of renewable hydrogen by 2030, requiring a total investment of USD 35 billion. Notable figures in the industry emphasize the importance of risk-sharing mechanisms, government incentives, and financial predictability for large-scale hydrogen projects. The HyDuqm project, strategically positioned to support South Korea's decarbonisation efforts by supplying green ammonia, will play a key role in Oman's role as a major exporter of renewable hydrogen. With multiple hydrogen projects underway, Oman aims to become a significant player in the global hydrogen economy, leveraging its renewable energy potential.