On December 12, 2023, a consortium (hereinafter, the “Consortium”) comprised of Marubeni Corporation (hereinafter, “Marubeni”); OQ Alternative Energy LLC (Oman; hereinafter, “OQ”), a company affiliated with the investment arm of the Omani government; Dutco Overseas Limited, a subsidiary of Dutco Group, a conglomerate involved in construction, energy, hospitality, and trading (United Arab Emirates; hereinafter, “Dutco”); and Samsung C&T Corporation (Korea; hereinafter, “Samsung”) signed a Project Development Agreement for a green ammonia project* and a Sub-Usufruct Agreement (hereinafter, the “Agreements”) with Hydrogen Oman SPC (hereinafter, “Hydrom”), an affiliate of Energy Development Oman with jurisdiction over green hydrogen projects in Oman. Under the framework of the Agreements, Hydrom grants the Consortium the right of usufruct and development rights for a period of 47 years. Under the Agreements, the Consortium will conduct detailed studies for the development of the project and the supply chain of green ammonia (hereinafter, the “Project”).

Signing Ceremony

The Consortium anticipates the production of green hydrogen utilizing the abundant renewable energy potential in Oman, including solar and wind power. The Omani government is promoting green hydrogen projects and established Hydron to realize its target of green hydrogen production of 1 million tons per annum by 2030.

The Project defines as its objectives the construction, ownership, and operation of a green ammonia plant and the long-term sale of the green ammonia to local and international offtakers. The Consortium has previously conducted feasibility studies, including technical studies, and been engaged in the preparation of a business plan. Now, the Consortium have agreed to start further detailed studies based on the development plan for the Project, such as those on wind measurement, engineering works during Pre-FEED/FEED phases, and discussion of offtakers. Marubeni will develop the Project with OQ, Dutco and Samsung, utilizing its experiences in project development and operation of IPP projects in Oman.

In February 2022, Marubeni set forth the company’s Green Strategy in its Mid-Term Management Strategy “GC2024” and aspires to become a forerunner in green business through enhancing its current green business and “greening” all its business segments. Through this Project, Marubeni will contribute to the sustainable growth of global society and of Oman.