ENGIE & POSCO: Oman's Green Ammonia Project
The consortium led by ENGIE and POSCO has been awarded land block (Z1-02) by Hydrom, the orchestrator and master planner of Oman's green hydrogen industry. The concession block, spanning 340 sq km, is situated in Duqm, with downstream components planned at the Port of Duqm.
ENGIE and POSCO spearhead consortium for Oman's 1.2mtpa green ammonia project
ENGIE and POSCO, building on their existing alliance since signing an MoU in March 2022, have unveiled their roles as leaders in a consortium aimed at harnessing Oman's renewable energy resources through the development of a 1.2 million-tonne-per-year green ammonia project.
Additional partners in the consortium include Samsung Engineering, Korea East-West Power Co. (EWP), Korea Southern Power Co. (KOSPO), and FutureTech Energy Ventures Company Ltd.
Oman's green ammonia project to integrate wind, solar, and hydrogen capacity
The project will encompass the installation of up to approximately 5 GW of new wind and solar capacity, a Battery Energy Storage System (BESS), and a renewable hydrogen plant with a capacity of up to 200 ktpa.
The hydrogen will be transported via a pipeline to the Port of Duqm, where it will be utilised in the ammonia production plant. The plan is to export 1.2 mtpa of green ammonia to Korea by 2030.
47-year project timeline announced for Oman's green ammonia endeavour
The project contract will span 47 years, comprising a seven-year phase for development and construction, followed by a 40-year operational period. Construction is projected to commence in 2027, with the first shipment of green ammonia to Korea scheduled for the latter half of 2030. The consortium will conduct feasibility and technical studies to determine the overall capital expenditure required for the project.
ENGIE's strategic alignment with the project's carbon neutrality objectives
Sébastien Arbola, Executive Vice President in charge of Flex Gen & Retail activities, stated that ENGIE's industrial expertise will significantly benefit this venture. The project, which focuses on renewable energies, renewable hydrogen, and flexible assets like batteries, perfectly aligns with the Group's strategy to accelerate the transition to carbon neutrality. It will contribute to ENGIE's 2030 goals of achieving 4 GW of hydrogen capacity and 10 GW of batteries.
ENGIE's commitment to GCC's low-carbon transition and Korea's decarbonisation target
This project underscores ENGIE's dedication to expediting the Gulf Cooperation Council's low-carbon transition. Moreover, it aligns with Korea's national decarbonisation target, which aims to reduce the country's carbon footprint by 40% by 2030.
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