Oman and bp to boost renewables and hydrogen development

Ministry of Energy and Minerals in Oman and bp said on Monday that they have signed a Strategic Framework Agreement (SFA) and a Renewables Data Collection Agreement which will support the potential development of a multiple gigawatt, world-class renewable energy and green hydrogen development in the country by 2030.

As part of the agreement, bp will capture and evaluate solar and wind data from 8,000 sq km of land – an area more than five times the size of Greater London, the company said in a statement.

The evaluation will then support the Omani government in approving the future developments of renewable energy hubs at suitable locations within this area to take advantage of these resources. The renewable energy resources could also supply renewable power for the development of green hydrogen, targeting both domestic and global export markets.

Successful execution of the project could trigger significant investment in Oman, and support creation of new industries and skilled jobs, bp said.

“Today’s agreement represents what bp is able to offer as an integrated energy company. These projects will build on our gas business, and bring wind, solar and green hydrogen together in a distinctive and integrated way supporting Oman’s low carbon energy goals,” said Bernard Looney, chief executive officer of bp.

“And we’re not just investing in energy. We are investing in Oman to create and develop infrastructure, support local supply chains and cultivate the skills and talent needed to usher in this next generation of energy leaders,” he added.

The agreement was signed by Dr Mohammed Al Rumhy, Minister of Energy and Minerals of Oman, and Stephen Willis, bp Senior Vice President in Middle East.

“In partnership with bp, we will progress the development of new, world-class solar and wind resources – generating renewable power for the grid and powering the manufacture of green hydrogen to supply domestic demand and to export to global customers,” said Dr Al Rumhy.

Oman has been fast-tracking projects involving clean energy and renewables as part of its post-pandemic energy transition strategy. Last week, the Omani government and the UK signed a Sovereign Investment Partnership deal, agreeing to work more closely on increasing high-value investments into both countries – with one of the key areas of focus being clean energy.