Green Hydrogen to Anchor Oman’s Energy Strategy: What This Means for Investors and Business Growth
Oman’s Minister of Energy and Minerals, Eng Salim bin Nasser Al Aufi, has emphasized that green hydrogen will be the cornerstone of the Sultanate’s future energy framework, as Oman seeks to balance ongoing oil and gas utilization with rapid renewable energy development.
In an exclusive interview with Tawasul magazine, Al Aufi outlined that achieving net-zero emissions by 2050 will require substantial and sustained investment in research and development (R&D). He highlighted the importance of enhanced collaboration between academia and industry to successfully drive the energy transition.
“We do not see renewables as direct replacements for oil and gas, but rather as strategic complements within a diversified, multi-source energy ecosystem,” said Al Aufi. “Our goal is not to phase out oil and gas but to broaden our energy mix.”
The minister underscored that while fossil fuels remain vital to the global economy, Oman is following a dual approach: harnessing advanced technologies to promote efficiency and sustainability in hydrocarbons, alongside accelerating projects in green hydrogen and renewable energy.
Oman has taken meaningful steps to advance its green hydrogen agenda, including establishing Hydrom as the national coordinating body and designating strategic land areas for production and export purposes. The country has signed several agreements with international companies and investors and is aligning its policy frameworks with global market standards.
“Our current priorities include developing transport and export infrastructure, nurturing qualified national talent, and updating regulations to meet global requirements,” Al Aufi noted. “While projects of this magnitude face challenges, we view these as opportunities for growth.”
He also highlighted Sultan Qaboos University (SQU) as a key strategic partner in advancing the energy sector. A joint committee between the Ministry of Energy and Minerals and SQU has been created to foster research integration, support graduation projects, and establish specialized laboratories focused on energy transition and rare earth mineral studies.
“Achieving net-zero will demand continuous R&D investment, especially in hydrogen, clean gas technologies, carbon capture and storage, and industrial waste recycling,” Al Aufi said.
Recently, the ministry identified promising copper and chromium reserves in North Al Sharqiyah under new concession agreements, while Petroleum Development Oman continues to evaluate the commercial viability of new oil and gas discoveries in Block 6. Additionally, high-potential wind sites have been assessed for development through partnerships with local and international stakeholders.
Al Aufi called for stronger cooperation between academic institutions and industry experts, emphasizing the importance of combining theoretical knowledge with practical application. “Knowledge that remains theoretical is wasted; exploration without scientific foundation risks resource misallocation,” he stated. “The greatest achievements begin with an idea, followed by research, and culminate in success.”
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Oman’s strategic emphasis on green hydrogen as a cornerstone of its future energy landscape signals a transformative shift that offers significant investment and innovation opportunities in renewables, R&D, and infrastructure development. Businesses and investors should view the Sultanate’s dual approach—balancing fossil fuels with renewable diversification—as a chance to engage in emerging energy sectors while leveraging government-backed collaboration with academia and industry. Smart investors must consider the evolving regulatory frameworks and the growing export potential in green energy to position themselves advantageously in this multi-source energy ecosystem.