Bangkok, June 22, 2023 - PTTEP moves forward with developing energy of the future, collaborating with 5 world-leading companies to drive a mega-scale green hydrogen production project in the Sultanate of Oman. This serves as a new source of clean energy aligned with its low-carbon organization goals and sustainable growth under its strategic plan, aiming to commence green hydrogen production in 2030. 

Mr. Montri Rawanchaikul, Chief Executive Officer of PTT Exploration and Production Public Company Company Limited (PTTEP), revealed that PTTEP, through FutureTech Energy Ventures Company Limited (FTEV) (a subsidiary), along with 5 leading consortium partners from South Korea and France, has won the concession block bidding and signed a Project Development Agreement and a Sub-usufruct Agreement with Hydrogen Oman Company (Hydrom), an entity of the Omani government. This grants the rights to develop a green hydrogen production project in concession block Z1-02 for a period of 47 years. The concession block is located in Duqm province, in the east of the Sultanate of Oman. Participating in this mega-scale green hydrogen development project marks a success for PTTEP in its focus to expand business into clean energy, targeting a green hydrogen production capacity of approximately 220,000 tons per year. 

From here, the consortium will conduct a feasibility study and a technical study of the project and will further assess the investment value. 

Concession block Z1-02 covers an area of approximately 340 square kilometers located in Duqm province, Oman. The consortium consisting of FTEV, a group of companies from South Korea comprising POSCO Holdings, Samsung Engineering Co., Ltd., Korea East-West Power Co., Ltd., and Korea Southern Power Co., Ltd., and MESCAT Middle East DMCC, a subsidiary of ENGIE from France, which possesses world-leading expertise in renewable energy development. 

This green hydrogen production project in Oman covers the entire hydrogen value chain, starting from the development of solar and wind power plants (renewable energy) with a total capacity of approximately 5 Gigawatts (GW), the development of a green hydrogen production plant using the aforementioned electricity in the production process (both parts situated in concession block Z1-02), and the development of a plant that converts hydrogen into green ammonia (a liquid state for convenient transportation) located in the Special Economic Zone at Duqm. Construction is expected to begin in 2027, with the commercial operations date of green ammonia in 2030 at a rate of approximately 1.2 million tons per year. The green ammonia will be exported to South Korea, the buyer, while the remaining green hydrogen will be used domestically in Oman. 

“Oman is one of the top countries in the world with solar and wind energy potential and has progressive concrete momentum in driving hydrogen project development. PTTEP and its consortium partners being selected to develop this mega-scale green hydrogen project is considered a success and a significant step in expanding investment in the clean energy business in an area with high global potential. PTTEP will bring its experience and understanding from over 20 years of operations in Oman to help drive this green hydrogen project to success. This will benefit the development of various new energy forms which are the energy of the future, as well as support our low-carbon organization goals for sustainable growth,” said Mr. Montri. 

Currently, PTTEP has investments in Oman's petroleum exploration and production business, spanning upstream and midstream sectors. These include the Oman Block 61 project, which is a mega onshore natural gas field, the PDO project (Block 6), the Mukhaizna project (Block 53), which is a mega onshore crude oil production field, the Oman Onshore Block 12 project, and the Oman LNG project, which is the only liquefied natural gas plant in Oman.