Oman has launched its third hydrogen auction round, offering developers a new, more flexible opportunity to invest in the country’s rapidly advancing hydrogen sector.
Administered by state-owned Hydrogen Oman (Hydrom), the round reflects lessons learned from previous tenders while introducing structural reforms aimed at enhancing competitiveness and bankability.
The new offering includes up to 300 square kilometers of land in the Duqm region—already a focal point of Oman’s energy diversification efforts—with a minimum project footprint requirement of 100 square kilometers. Unlike earlier rounds, developers are now granted greater autonomy in configuring their land use, allowing for tailored project designs that meet both strategic and commercial objectives.
This third auction also introduces a nine-month lead time between the release of the Request for Qualification (RFQ) and final bid submission, allowing developers the necessary runway to conduct robust feasibility studies and secure the partnerships, financing, and technical assessments needed to bid competitively.
Integration with Power and Export Infrastructure
The auction extends beyond hydrogen production. Subject to regulatory approvals, successful developers will also be permitted to sell surplus renewable electricity into Oman’s national grid—an added layer of project monetization that positions these developments within a broader energy transition framework. This regulatory flexibility is consistent with Oman’s long-term aim of sourcing 30% of its electricity from renewables by 2030, with green hydrogen playing a central role.
Oman’s strategic advantages are central to its offer: abundant solar and wind resources, geographic proximity to Asia and Europe, and a supportive policy environment. The country is also constructing a 2,000-kilometer hydrogen pipeline and laying the groundwork for the world’s first liquid hydrogen export corridor, linking Oman to Germany and the Netherlands via existing European import hubs. These efforts are set to dramatically enhance the country’s export credentials, particularly as demand for hydrogen accelerates across industrial sectors.
Oman’s hydrogen trajectory to date is one of the most aggressive and structured globally. The first two auction rounds have awarded eight large-scale green hydrogen projects across Duqm and Dhofar, securing investment commitments exceeding $49 billion. Combined, these projects target over one million tons per annum of green hydrogen output by 2030, powered by more than 30 GW of planned renewable generation capacity.
The new round signals a shift toward broader market participation. Hydrom has highlighted its intent to attract a “broader pool of serious developers,” indicating potential diversification in project scale and business models. The emphasis on infrastructure-ready zones, export linkage, and extended planning time makes this a notably bankable opportunity, especially in contrast with hydrogen auction frameworks in other regions that often lack such systemic support.
While the final investment decisions and project awards are expected post-2026, the early release of the RFQ marks a deliberate effort to front-load the development cycle.
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