Omani-Spanish consortium plans green methanol project

An Omani and Spanish consortium plans to build a green methanol production plant and a bunkering project as part of Oman’s drive to reduce reliance on fossil fuels.

The consortium of Spain’s Acciona Nordex Green Hydrogen and Oman’s Al Meera Investments is finalising the feasibility study.

The site of the project will be in the Salalah port and free zone, Oman’s ministry of Ministry of Transport, Communications and Information Technology said, but did not reveal the value of the project or production rate. 

The project will include a bunkering facility at the port for the export of green methanol.

“The project will use wind and solar energy for green hydrogen production to diversify away from hydrocarbon productions,” the ministry said.

Oman has set a target to be net zero for gas emissions by 2050 and is aiming to produce 30 percent of its electricity using renewable sources by 2030 and reach 100 percent clean energy capacity by 2050.

In his most recent national day speech, Oman’s Sultan Haitham bin Tariq called for renewable energy to be prioritised as the country works to diversify its economy. 

“Renewable energy should not be only about a clean environment but our way of life and we should go all out for it to make sure we get it right for the sake of the future of our country,” the Sultan said. 

• Work starts on $700m UAE-Oman power link project
• Oman steps up drive for renewable energy
• Oman and China start work on $1bn clean energy projects

Other green energy projects are underway in the Sohar, Salalah and Duqm free zones.

The most ambitious is the HyDuqm green hydrogen project, being built by a consortium of France’s Engie and South Korea’s Posco. It hopes to attract up to $8 billion in investment. 

When complete, it should have a capacity of five gigawatts of wind and solar power generation.