Oman’s CO₂ and Green Hydrogen Pipeline Studies: What Investors and Businesses Need to Know for Future Opportunities

• By CONRAD PRABHU
• August 5, 2025August 6, 2025
• carbon capture energy transition green hydrogen
• With 0 comments

MUSCAT: OQ Gas Networks (OQGN), the majority state-owned operator of natural gas pipelines, has reported substantial advancements in developing dedicated pipelines for green hydrogen and carbon dioxide (CO₂) as part of Oman’s energy transition strategy.

OQGN, a publicly traded subsidiary of Oman’s integrated energy group OQ, highlighted in its 2024 Sustainability Report that its initiatives support national efforts to build low-carbon industries focused on green hydrogen production and Carbon Capture, Utilisation, and Storage (CCUS) technologies. These efforts are integral to achieving Oman’s Net-Zero 2050 targets.

This progress aligns with OQGN’s role as the National Champion for Green Hydrogen and CO₂ Transportation, a title granted by Hydrom, the government entity leading Oman’s green hydrogen sector.

Mansoor al Abdali, CEO of OQGN, emphasized the company’s active pursuit of opportunities in hydrogen and carbon capture infrastructure, aligning with global energy trends. He stated, “We are poised to play a central role in Oman’s energy future. As we invest in network expansion, digitalisation, and decarbonisation initiatives, we remain committed to Oman Vision 2040 and its sustainability goals.”

In 2024, OQGN strengthened cooperation with industry stakeholders to establish itself as the preferred partner for hydrogen and CO₂ pipeline transportation. This includes collaborating with CCUS developers on commercial-scale projects to meet CO₂ transportation demands and conducting detailed feasibility studies addressing the technical, commercial, and regulatory aspects of the pipeline networks.

Together with Hydrom, OQGN is leveraging its pipeline expertise to develop Oman’s hydrogen and CO₂ transportation infrastructure. The plan envisions an open-access pipeline linking green hydrogen production sites—powered by wind and solar energy—with coastal processing and export facilities.

This hydrogen pipeline network is being coordinated with Hydrom’s projects in Al Duqm, Salalah, and Al Jazir. As domestic demand for low-carbon hydrogen increases, the network will extend to serve industrial clusters in northern and eastern Oman. Additionally, an open-access CO₂ pipeline will connect emission sources to storage sites. Some existing natural gas pipelines may be repurposed for green hydrogen transport as natural gas demand declines.

OQGN has also implemented a comprehensive Decarbonisation Strategy aimed at accelerating greenhouse gas (GHG) emission reductions. The strategy sets ambitious interim targets of reducing GHG emissions by 42% by 2030 and 82% by 2040, progressing toward the ultimate goal of Net-Zero by 2050. These targets consider emerging technologies, evolving regulations, stakeholder expectations, and investment priorities, balancing urgency with practical feasibility.

Special Analysis by Omanet | Navigate Oman’s Market

OQ Gas Networks’ strategic focus on green hydrogen and CO₂ pipeline infrastructure positions Oman as a key player in the global energy transition and aligns closely with the country’s Net-Zero 2050 ambitions. For businesses, this creates significant opportunities in emerging low-carbon industries and infrastructure development, while smart investors should consider early involvement in the burgeoning hydrogen and CCUS sectors to capitalize on long-term governmental support and market growth. Entrepreneurs must stay agile to leverage digitalization and decarbonization trends that will reshape Oman’s energy landscape.