OQ Gas Networks (OQGN), a recently listed gas transportation company in the Sultanate, has inked a Memorandum of Understanding (MoU) with Belgian-based energy infrastructure group Fluxys. The collaboration seeks to explore and develop hydrogen and carbon dioxide (CO2) infrastructure projects in Oman, marking a pivotal moment in the nation’s sustainable energy journey.
This partnership agreement, signed on October 24, 2023, holds immense promise for Oman’s sustainable future. It reflects OQGN’s unwavering commitment to fostering renewable energy and decarbonization infrastructure within the country. In an era where nations are racing to reduce their carbon footprint and embrace clean energy solutions, Oman’s vision of a green future has found a dynamic ally in OQGN and Fluxys.
Both OQGN and Fluxys are recognized frontrunners in decarbonization projects, and they share a common strategic focus on accelerating the energy transition. OQGN has dedicated itself to developing renewable energy and decarbonization infrastructure in Oman, with the ultimate goal of transforming the nation into a renewable hydrogen export hub.
Meanwhile, Fluxys, headquartered in Brussels, has also become an Anchor Investor in OQGN, reinforcing the depth of this collaboration. Fluxys recently acquired a 4.9% stake in OQGN during the company’s momentous initial public offering, a significant testament to the confidence placed in OQGN’s vision. The other two anchor investors who acquired minority stakes during this IPO were Saudi Arabia’s Public Investment Fund (PIF) and the Qatar Investment Authority, making it a truly international partnership.
OQGN stands as the exclusive owner and operator of Oman’s extensive gas transportation network, spanning over 4,000 kilometers. This strategically positions OQGN as the natural choice for spearheading the rollout of hydrogen and CO2 pipeline networks, vital for Oman’s journey towards a green-energy future. As the demand for green hydrogen continues to rise globally, OQGN’s expansive network is poised to play a pivotal role in green hydrogen transportation, storage, and export.
Notably, OQGN has also signed an MoU with Hydrom, Oman’s hydrogen industry master-planner, to explore the establishment of a comprehensive pipeline network. This network is envisaged to support the transportation and storage of green hydrogen, facilitating its journey from production sites to utilization and export hubs.
In addition to its role in the green hydrogen sector, OQGN has set its sights on supporting CO2 capture and sequestration initiatives. These initiatives hold the key to reducing the carbon footprint of a multitude of sectors, including upstream operations, power generation, and traditional industrial processes like cement manufacturing. OQGN envisions the creation of dedicated pipelines to transport captured carbon from sources like gas-fired power generation to sites for reinjection and storage. This approach aligns perfectly with the growing global emphasis on carbon reduction and environmental responsibility.
Fluxys, an independent energy infrastructure group with a presence across Europe and Latin America, specializes in the transportation of natural gas, hydrogen, biomethane, and other low-carbon energy carriers, including CO2. With its extensive experience in energy infrastructure, Fluxys adds a wealth of expertise to this transformative partnership.
The collaboration between OQGN and Fluxys is poised to be a game-changer for Oman’s sustainable future. With the collective expertise and dedication of these two industry leaders, Oman is on the path to becoming a regional hub for renewable hydrogen and a model of low-carbon energy infrastructure. The journey to a greener, more sustainable Oman is underway, and OQGN and Fluxys are steering the way.