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Korean Consortium Selected for $5.67B Green Hydrogen Plant Project in Oman

Arnes BiogradlijaBy Arnes Biogradlija14/04/20232 Mins Read
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South Korean conglomerate POSCO Holdings and Samsung Engineering have been selected as the preferred negotiator for a $5.67 billion green hydrogen plant project in Oman.

According to reports, the Ministry of Environment and the Ministry of Energy and Minerals of Oman are planning to sign a memorandum of understanding (MOU) for the ‘Green Hydrogen’ project, which will involve the construction of a plant to produce green hydrogen for export.

The South Korean government has proposed importing a certain amount of green hydrogen produced by Oman to the country, aligning with Oman’s need to secure demand for its new business of green hydrogen. It is reported that the Ministry of Environment’s Order Support Group has helped gain an advantageous position in the competition for orders by delving into the Middle East culture that values not only the technological prowess of global companies but also the guarantees of the relevant national governments.

Last year, President Yoon Seok-Yeol encouraged exports and the Ministry of Environment set a target of 20 trillion won for overseas “green infrastructure” exports this year. If the order for Oman’s “Green Hydrogen Plant” project is finalized, 40% of the order amount set by the Ministry of Environment for this year can be met before the first half of the year. An official from the Ministry of Environment said that various overseas projects, such as green hydrogen, seawater desalination, water treatment, and waste landfill gas power generation, are being carried out.

Green hydrogen is hydrogen produced using renewable energy sources such as wind and solar power, and it has been attracting attention as an alternative to fossil fuels because it does not produce carbon emissions. The Middle East, which has abundant renewable energy sources and natural gas, has been trying to establish a hydrogen industry as a new growth engine, and this project is expected to contribute to the expansion of the industry.

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