Tri-party deal to evaluate development of 1st green hydrogen plant at Sohar

  • Date: 05-Apr-2022
  • Source: GCC Business News
  • Sector:Economy
  • Country:Oman
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Tri-party deal to evaluate development of 1st green hydrogen plant at Sohar

Hydrogen Rise, Jindal Shadeed Iron & Steel and, Sohar Port and Freezone have signed an agreement to evaluate the development of the first green hydrogen plant at Sohar, which will decarbonize the steel production process at Jindal Shadeed´s steel manufacturing plant.

The partners will assess the potential to produce steel in a completely sustainable manner to reduce emissions, lower the complex’s carbon footprint and preserve gas reserves for other applications across the country.

The first phase will feature the operation of a 35MW electrolyzer capacity combined with a solar renewable energy plant by mid-2024, following the completion of techno-economic feasibility studies. Following this first phase, an upscaling path to a potential 350 MW electrolysis capacity will be evaluated.

The production of green steel has the potential to provide a huge boost to Oman’s industries and the economy as the global demand for decarbonized steel products is expected to increase significantly in the coming years. Hydrogen Rise, based in Oman and Germany will develop, build and operate the green hydrogen facility at Sohar supplying green hydrogen to Jindal Shadeed’s steel manufacturing facility.

Jindal Shadeed’s steel-making expertise can help the company become a pioneer in utilizing innovative decarbonization technologies and substituting green hydrogen for natural gas