MUSCAT : Project development and usufruct agreements have been signed on May 18, Sunday, to integrate Phases 2 and 3 of a green hydrogen and ammonia project in Al Duqm into Oman’s national hydrogen framework. The agreements, involving Hydrom (the orchestrator of Oman’s green hydrogen industry), the Public Authority for Special Economic Zones and Free Zones (OPAZ) and India-based ACME Group, mark the formal inclusion of one of the Sultanate of Oman’s earliest hydrogen initiatives into Hydrom’s unified national portfolio.

The signing ceremony was attended by Eng Salim bin Nasser al Aufi, Minister of Energy and Minerals and Chairman of Hydrom; Shaikh Dr Ali bin Masoud al Sunaidy, Chairman of the Public Authority for Special Economic Zones and Free Zones (OPAZ); and Gursharan Jassal, ACME’s Country Manager in Oman.

The two new project phases will cover 80 square kilometres within the Special Economic Zone at Duqm (SEZAD) and are expected to each produce 71,000 tonnes of green hydrogen and 400,000 tonnes of green ammonia annually.

This expansion builds on the ongoing construction of ACME’s Phase 1, designed to produce 100,000 tonnes of green ammonia per year under an offtake agreement with Yara Birkeland AS. Once all three phases are complete, ACME aims to reach a total production capacity of 0.9 million tonnes of green ammonia annually.

Eng Abdulaziz al Shaithani, Managing Director of Hydrom, stated: “Integrating ACME’s project into our national framework is a major milestone in Oman’s green hydrogen journey.

It strengthens investor confidence, streamlines development, and reinforces Oman’s status as a serious global player in this emerging sector.”

Hydrom’s portfolio has now expanded to nine large-scale green hydrogen projects across Al Wusta and Dhofar governorates, with combined expected investments exceeding $50 billion and an annual production capacity target of 1.5 million tonnes of green hydrogen by 2030.

These projects will be powered by approximately 35 GW of renewable energy and coordinated through a centralised strategy to ensure scalability and international competitiveness.

Eng Ahmed bin Ali Akaak, CEO of SEZAD, highlighted Duqm’s rising prominence as a green energy hub. He noted the zone’s 2025–2030 strategy prioritises green hydrogen investments, in alignment with Oman Vision 2040 and the national goal of Net-Zero emissions by 2050.

ACME’s Country Manager Gursharan Jassal added: “This agreement represents a major step toward a cleaner and more sustainable energy future for Oman. It reflects our shared ambition to support the country’s long-term vision and global leadership in the green hydrogen economy.”

The agreement comes as Hydrom progresses with its third land auction round, underscoring the Sultanate of Oman’s accelerating hydrogen strategy.

By integrating early-stage and new developments under one framework, Oman is building a complete green hydrogen value chain — from renewable resource development to infrastructure and export — offering investors and offtakers a stable, scalable, and future-ready ecosystem.

This expansion builds on the ongoing construction of ACME’s Phase 1, designed to produce 100,000 tonnes of green ammonia per year under an offtake agreement with Yara Birkeland AS.

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