Shell eyes early 2030s launch for Green Energy Oman Project

Shell has announced that Green Energy Oman (GEO), one of the largest green hydrogen projects proposed for development in the Sultanate of Oman, is scheduled to begin operations in the early part of the next decade, according to a report.

GEO, supported by a multinational consortium led by Shell, is part of the initial wave of investments in the burgeoning zero-carbon energy sector, with six large-scale renewable hydrogen projects slated for development in Oman. These projects have been granted substantial land allocations by the Omani government. Notably, among Shell’s clean energy initiatives worldwide, the Green Energy Oman project stands out as one of the largest. Consortium partners include OQ Alternative Energy, InterContinental Energy, EnerTech, and Golden Wellspring Wealth for Trading.

The consortium secured Block Z1-04 in Al Wusta Governorate for the GEO project through an agreement with Hydrom, Oman’s renewable hydrogen sector master planner. Initially targeting 150,000 tonnes per annum of green hydrogen production from 4 GW of solar and wind capacity, the project aims for full capacity production of 1.8 million tonnes per annum of green hydrogen and 10 million tonnes of green ammonia annually, powered by 25 GW of renewable energy.

Shell is also investigating the viability of producing Liquefied Synthetic Gas (LSG), a carbon-neutral substitute for natural gas. In pursuit of this goal, Shell entered into an agreement with the Ministry of Energy and Minerals in early 2023.

LSG is created by combining renewable hydrogen with captured carbon dioxide to generate natural gas, which is liquefied. This environmentally friendly gas can seamlessly integrate into current gas networks and infrastructure, including Oman LNG’s LNG trains, extending to the final consumer.

“In Oman, we acquired a 35 per cent interest in Green Energy Oman, which will produce hydrogen from seawater, powered by up to 25 GW of solar and wind energy. Shell is the lead operating partner. The project is expected to be operational by the early part of the next decade. It aims to produce around 1.8 million tonnes of hydrogen a year at full capacity,” Shell stated in a newly published report on its Energy Transition Strategy 2024.