June 02, 2024

Global Consortium Partners with OQAE for Alternative Fuels and e-NG Project in Oman

Press release

Parties comprising OQ Alternative Energy (OQAE) - an OQ Group company, Dutco, Sumitomo Corporation Middle East FZE, Automobili Lamborghini S.p.A and Airbus have formed the OSCAR (Oman Sustainable Cars and Aviation Refuelling) consortium with the aim to study the potential of Oman to produce e-gasoline and e-SAF (Sustainable Aviation Fuels).

The concept study will explore the production of e-fuels (E-SAF and E-Gasoline) in Oman on a pilot scale with the possibility to scale it up to a commercial size project at a later stage by identifying the most appropriate pathway for production from qualifying hydrogen and CO2 sources.

The joint study agreement was signed, in the presence of HE Eng. Salim Nasser Al Aufi, Minister of Energy and Minerals, Said bin Hamoud Al Mawali, Minister of Transport, Communications and Information Technology, Eng Naif Ali Al Abri, Chairman of Oman's Civil Aviation, and Ashraf bin Hamed Al Mamari, Acting Group CEO of OQ, by Najla Al Jamali, Chief Executive of OQ Alternative Energy; Ahmad Sharaf, CEO of Dutco’s Energy Division and attended by Sami Kamel, CEO of Dutco’s Cleantech Division; Rutigliano Stefano, Strategy Director at Automobili Lamborghini; Hideki Suruga Deputy CEO and CFO of Sumitomo Corporation Middle East FZE; and Mikail Houari, President Airbus Africa and Middle East.

Additionally, OQ Alternative Energy and Tree Energy Solutions (TES) have entered into a Joint Study Agreement to assess the development of an electric natural gas (e-NG) facility in Oman. The agreement was signed by Najla Al Jamali, Chief Executive of OQ Alternative Energy, and Marco Alverà, CEO and Co-Founder of TES.

Oman has been at the forefront in the development of a green hydrogen economy, aiming to produce in excess of 1 million tonnes per annum of green hydrogen by 2030. The country’s abundant renewable resources, in particular wind and solar, combined with a one stop-shop implementation framework under Hydrom’s directive, has been promoting Oman to be amongst the most promising green hydrogen production hubs in the region.

e-NG, a green hydrogen-based molecule, is chemically identical to natural gas. It is produced by combining green H2 with CO2 through a methanation process known as Sabatier, resulting in the production of green CH4. This process leverages existing infrastructure for liquefaction, regasification, transportation and storage. Importantly, it offers a seamless transition for industrial usage, gradually replacing natural gas.

Najla Al Jamali, Chief Executive of OQ Alternative Energy, expressed enthusiasm for the collaboration with Tree Energy Solutions (TES) on the E-Natural Gas Joint Study Agreement stating, ‘’At OQ, we are committed to advancing Oman’s energy transition through building partnerships, creating innovative solutions, and implementing sustainable practices. This collaboration marks our dedication to innovation, sustainability, and shaping the future of energy. Collaborating on the study helps us move forward to identify additional downstream opportunities and vectors to diversify markets for green hydrogen”.

“This agreement with OQAE underscores our dedication to advancing global energy transition and strengthens our commitment and leadership presence in the Middle East. By harnessing the expertise of OQAE, a global leader in the energy industry, we are enabling the production of green hydrogen at an industrial scale, making e-fuels accessible and cost-effective.” said Marco Alverà, CEO and Co-Founder of TES.