Sungrow Hydrogen, a subsidiary of China’s Sungrow, has shipped 160MW of alkaline water electrolysis (AWE) units for ACME Group’s green ammonia project in Oman.

The shipment follows a supply agreement signed in January 2025 for multiple sets of 1,000 Nm3/h alkaline hydrogen production equipment and flexible green hydrogen production systems for the project.

The first phase of the project will produce about 100,000 tonnes per year of green ammonia, equivalent to around 300 tonnes per day, with commissioning expected by the end of 2026, a December 2025 report by local newspaper Oman Daily Observer had said.

The report said the project has passed the halfway stage, with engineering completed, synthesis loop licences secured, electrolysers ordered and civil works for pipelines descending about 90 metres to the sea already finished.

Offtake and financing

In March 2024, ACME had signed a binding 15-year offtake agreement with Norwegian fertiliser producer Yara for output from the first phase.

The developer also secured financing of about 40 billion Indian rupees (INR 4,000 crore) from India’s state-owned green infrastructure lender REC in July 2023 to support the project.

Multi-phase project

ACME said the project will be developed in phases and could eventually reach about 1.2 million tonnes per year of green ammonia production supported by roughly 3.5 gigawatts (GW) of electrolyser capacity powered by around 5.5 GWp of solar generation.

In May 2025, the Public Authority for Special Economic Zones and Free Zones (OPAZ), Hydrogen Oman (Hydrom) and ACME signed project development and land usufruct agreements covering the second and third phases of the ptoject.

The later phases will cover about 80 square kilometres, with each phase expected to produce around 71,000 tonnes of green hydrogen and about 400,000 tonnes per year of green ammonia, supporting Oman’s strategy to become a global hub for hydrogen and low-carbon fuels.

9 projects, $50bln, 1.5 mtpa

Following this agreement, the number of green hydrogen projects awarded by Hydrom in Al Wusta and Dhofar governorates touched nine, with a total investment exceeding $50 billion, a combined production capacity of approximately 1.5 million tons of green hydrogen annually by 2030 powered by nearly 35 GW of renewable energy.

(Writing by Deva Palanisamy; Editing by Anoop Menon)

(anoop.menon@lseg.com)

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