Overview
Oman has signed a series of strategic agreements for green hydrogen development that position the Sultanate as a potential global leader in clean energy production. Leveraging abundant solar and wind resources, large tracts of suitable land, and existing expertise in energy infrastructure, Oman has attracted major international energy companies and sovereign investors to develop green hydrogen production facilities at scale. These agreements represent one of the most significant diversification opportunities in Oman’s economic history.
Key Points
Multiple framework agreements cover the entire green hydrogen value chain from renewable energy generation to electrolysis, storage, transport, and export. The Duqm and Salalah regions have been identified as primary development zones, offering land availability, port access, and renewable energy potential. Investment commitments run into tens of billions of dollars across projects at various stages of development. The government has established a national hydrogen strategy with production targets for 2030 and 2040. Regulatory frameworks for hydrogen classification, safety, and export certification are being developed.
Current Status
Several projects have progressed from framework agreements to detailed feasibility studies and front-end engineering design. Land allocations have been made for first-phase developments. International offtake agreements with potential buyers in Europe and Asia are under negotiation. A green hydrogen workforce development programme trains Omanis in renewable energy, electrochemistry, and hydrogen safety. Environmental impact assessments are underway for major project sites.
Vision 2040 Context
Green hydrogen directly addresses Vision 2040’s energy transition and economic diversification objectives. By becoming a major producer and exporter of green hydrogen, Oman transitions from a fossil-fuel economy to a clean-energy economy while maintaining its role as a global energy supplier. The hydrogen economy creates new industries, high-technology employment, and sustainable revenue streams that persist long after hydrocarbon reserves are depleted.