Green Hydrogen Initiative: What It Means for Investors and Businesses in Oman’s Energy Landscape
MUSCAT, SEPTEMBER 21 – Eng. Salim bin Nasser al Aufi, Oman’s Minister of Energy and Minerals, emphasized that green hydrogen will be a fundamental component of the Sultanate of Oman’s energy future, as the nation seeks to harmonize the long-term utilization of oil and gas with the swift advancement of renewable energy sources.
In an exclusive interview with Tawasul magazine, Al Aufi noted that achieving net-zero emissions by 2050 will require significant and ongoing investment in research and development (R&D). He highlighted that enhanced cooperation between academia and industry is essential for facilitating this transition.
“We do not see renewables as mere substitutes for oil and gas; rather, they serve as strategic complements within a diversified energy ecosystem,” Al Aufi stated. “Our aim is not to abandon oil and gas but to diversify our energy sources.”
The minister highlighted that while fossil fuels remain pivotal to the global economy, Oman is committed to a dual strategy: leveraging advanced technologies to enhance efficiency and sustainability in hydrocarbon production, alongside ramping up development in green hydrogen and renewable energy sectors.
Oman has made significant strides in promoting green hydrogen, establishing Hydrom as the national coordinating entity and designating strategic land areas for production and export. Numerous agreements have been formed with international companies and investors, and policy frameworks are being aligned with global market standards.
“Our current priorities include developing transport and export infrastructure, cultivating a qualified national workforce, and adjusting regulations to meet international demands,” said Al Aufi. “While challenges are inherent in projects of this magnitude, we view them as opportunities.”
He further emphasized the importance of Sultan Qaboos University (SQU) as a vital collaborator in advancing the hydrogen sector. A joint committee has been established between the ministry and SQU to facilitate research integration, support student projects, and create specialized laboratories focused on energy transition and rare earth minerals.
“To achieve net-zero, we must continue to invest in R&D, particularly in hydrogen, clean gas technologies, carbon capture and storage, and industrial waste recycling,” he stressed.
This year, the ministry has identified promising reserves of copper and chromium in the Al Sharqiyah North Governorate through new concession agreements. Petroleum Development Oman is also evaluating the commercial potential of new oil and gas discoveries in Block 6. Additionally, high-potential wind sites have been assessed for development in collaboration with both local and international partners.
Al Aufi called for enhanced collaboration between academia and industry practitioners, highlighting the crucial synergy between theoretical knowledge and practical application. “Knowledge that is not applied remains confined to paper; exploration lacking scientific rigor risks squandering resources,” he remarked. “The greatest innovations begin with an idea, progress through study, and culminate in achievement.”
Special Analysis by Omanet | Navigate Oman’s Market
Oman’s commitment to green hydrogen as a cornerstone of its energy future presents both significant opportunities and risks for businesses. Companies should be prepared to invest in R&D and infrastructure, capitalizing on government support and collaborations with academic institutions. Smart investors should focus on sectors aligned with the transition to renewables and enhance their capabilities in sustainability technologies to thrive in this evolving landscape.
