BP has signed an agreement with Oman to deliver a multi-gigawatt world-class renewable energy and hydrogen project by 2030. The strategic framework agreement between the British energy company and the sultanate will develop an integrated plant that includes wind, solar and green hydrogen production.

The history of renewable energy in the Gulf countries

According to BP, the agreement, signed by Oman's Minister of Energy and Mines, Mohammed Al Rumhy, and BP's senior vice-president for the Middle East, Stephen Willis, could trigger significant investment in Oman and support the creation of new industries and skilled talent. "Today's agreement represents what BP can deliver as an integrated energy company," said BP chief executive Bernary Looney. “These projects will build on our natural gas business and bring together wind, solar and green hydrogen in a uniquely integrated way to support Oman’s low-carbon energy goals.” The deal marks the start of the two countries’ signing of the sovereign investment partnership agreement. , the first major agreement between Omani and UK companies to work more closely together to increase high-value investments in both countries.

A new agreement between the UK Investment Office and Oman Investment Authority, signed in London, aims to strengthen economic ties between the UK and Oman. “Following the signing of the UK-Oman Sovereign Investment Partnership, bp’s investment in Oman’s renewable energy sector is a shining example of our two countries’ ambition to jointly promote strategic and commercial bilateral investment,” said UK Investment Minister Lord Grimstone. "This project demonstrates our shared vision for future prosperity through clean growth, further strengthening the partnership between the UK and the Sultanate of Oman." As part of the agreement between BP and Oman, the energy company will start from 8,000 square kilometers of land Collect and assess solar and wind data on the Internet - an area more than five times the size of Greater London. The study will help the Omani government to approve future renewable energy hubs at sustainable sites in the region, with the potential to develop green hydrogen, targeting domestic and global export markets. "We're not just investing in energy. We're investing in Oman to create and develop infrastructure, support local supply chains and develop the skills and talent needed to develop the next generation of energy leaders," Mr Rooney said. "We look forward to working closely with the Omani government to advance this process."

British companies have a long history of investing in Oman. In recent years, foreign direct investment from the United Kingdom has accounted for nearly 50% of foreign investment in Oman. The trade relationship between the two countries was worth nearly £979 million at the end of the second quarter of 2021. Mr Al Rumhy described the deal as "a proud moment for Oman and an important step towards realising our Vision 2040", which was approved late last year and serves as a catalyst for growth and economic growth A blueprint for development. Keywords: engineering construction, engineering news

Over the past 50 years, we have advanced the production of hydrocarbons. Today's agreement marks the next step in our energy journey, unlocking Oman's potential as a low-carbon energy hub. "The new agreement will also see BP and Oman collaborate on renewable energy strategy, regulation, the establishment of a renewable energy hub, and the development and retraining of the local workforce. Oman is a relatively small crude oil compared to its Gulf neighbors. The producer, now seeking to become a leading low-carbon energy hub, strives to diversify its economy and support investment. At the same time, BP is looking to build on its 15-year history in Oman, where it operates Area 61 block, which generates one-third of the country’s natural gas needs. In 2020, BP’s Oman business spent $610 million on companies registered in Oman, accounting for 90% of its total expenditures, while in 2021, the energy company Joined Hy-Fly, Oman’s national hydrogen coalition, to promote the country’s hydrogen sector.Editor/XingWentao