MUSCAT: Energy major Shell’s recent acquisition of a 35 per cent stake in the Green Energy Oman (GEO) project – a world-scale green hydrogen scheme planned for implementation in the Sultanate of Oman – has earned the global energy company the role of ‘lead operating partner’ in the delivery of the landmark venture.
At a ceremony held in Muscat last week, GEO consortium members signed agreements granting Shell International a significant stake in the 25-gigawatt (GW) capacity mega project.
Shell joins a consortium that includes OQ, the global integrated energy group of the Sultanate of Oman, InterContinental Energy (ICE), a Singapore-headquartered international green energy firm, and EnerTech, a Kuwaiti state-owned company focused on clean energy investment and development.
In a statement, ICE described the agreement with Shell as a “major milestone” in advancing the multi-billion-dollar project. “InterContinental Energy is pleased to welcome Shell as the future Operating Partner in Green Energy Oman (GEO). The deep experience and expertise that Shell provides is a major step towards bringing our 25-gigawatt mega project to the next phase,” said Tony Nieman, Head of Middle East for InterContinental Energy.
“This is an important milestone for ICE and our partners, to realise our shared vision in delivering more than 1.8 million tonnes per annum of green hydrogen to accelerate the energy transition both in Oman and internationally,” he further added.
According to ICE, the consortium has collected so far around three years of solar and wind data following the installation of monitoring equipment at the sprawling project site in Al Wusta Governorate.
The upstream, midstream and downstream components of the giant scheme are expected to come up on an area of 6,500 sq kilometres over multiple phases of its development.
“Oman is renowned for its high quality diurnal profile of reliably strong sun during the day and heavy winds at night and the resulting capacity factor combined with economies of scale will produce the lowest cost green fuels. With three years of data, integrated feasibility studies, energy production assessments, as well as the environmental and social impact assessment, we are running at full speed to produce 1.8 million tonnes per annum of green hydrogen (around10MTPA of green ammonia) to help meet the incredible demand from difficult to decarbonise sectors,” ICE further added in a social media post.
Assisting the GEO consortium in conducting key research studies are: Worley (Concept Feasibility Study), DNV (Energy Production Assessments) and HMR Consultants (Environment and Social Impact Assessment study).