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Oman: Shell Leads Blue Hydrogen & Ammonia Project

Anela DoksoBy Anela Dokso19/10/20232 Mins Read
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Oman is setting its sights on a sustainable, carbon-neutral energy future with a groundbreaking Blue Hydrogen and Ammonia project led by Oman Shell. This ambitious venture, planned for implementation in Duqm, has received the endorsement of the Ministry of Energy and Minerals, marking a significant step toward large-scale adoption of green hydrogen in the country.

Blue Hydrogen production involves converting natural gas into hydrogen and carbon dioxide (CO2). The CO2 is captured and stored, leaving behind Blue Hydrogen. When combined with nitrogen, it transforms into Blue Ammonia. Both processes are carbon-neutral, resulting in what’s known as “low-carbon” hydrogen and ammonia.

The project in Duqm holds the potential to pave the way for broader acceptance of zero-carbon Green Hydrogen in Oman. Walid Hadi, Oman Shell’s Senior Vice President and Country Chair, emphasized that Duqm’s strategic location creates opportunities to supply blue hydrogen to industrial clients at the Port of Duqm and in the Special Economic Zone at Duqm (SEZAD).

Key beneficiaries of this sustainable hydrogen supply include large green steel projects dedicated to using eco-friendly fuels and various hard-to-abate industries expected to emerge in the SEZ. Additionally, hydrogen holds promise for the mobility and transportation sector.

Meanwhile, Blue Ammonia produced in this endeavor is anticipated to be exported to international markets. The captured CO2 will be stored, thanks to a collaborative agreement with Petroleum Development Oman (PDO), the country’s largest oil and gas producer.

Oman Shell’s Blue Hydrogen & Ammonia project is just one of many hydrogen-focused initiatives Shell is pursuing worldwide. Leveraging its decades-long expertise in Carbon Capture, Utilization & Storage (CCUS), the energy giant is determined to advance hydrogen opportunities in regions where it has a competitive edge and strong connections to existing businesses.

Beyond hydrogen production, Shell envisions potential opportunities across the hydrogen supply chain. This includes storage, pipeline transport, shipping, and solutions for end customers. Shell’s extensive business network enables the development of the entire value chain, fostering the growth and commercial viability of hydrogen.

The Duqm project underscores Oman’s commitment to a sustainable, low-carbon future, where hydrogen plays a pivotal role in transforming the energy landscape.

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