Oman To Boost Green Hydrogen Production With $700M Photovoltaic Plant
In a notable move towards Oman's goal of localising hardware production for its green hydrogen projects, Chinese solar photovoltaic manufacturer Hainan Drinda New Energy Technology has signed a provisional agreement with Oman Investment Authority (OIA). This agreement aims to establish the first photovoltaic cell production facility in Oman.
Hainan Drinda, based in Haikou, revealed in a Shenzhen Stock Exchange filing that it plans to invest around $700 million to build a high-efficiency photovoltaic cell plant in Oman. The "Investment Intention Agreement" specifies the development of a PV cell facility with an annual production capacity of 10 gigawatts, divided into two phases of 5 gigawatts each.
Background and Market Position
Founded in 2003 as an automotive parts manufacturer, Hainan Drinda shifted to large-scale solar PV production in 2020 after acquiring a 51% stake in Shangrao Jietai New Energy Technology. By 2022, Drinda had fully acquired Jietai. Last year, Drinda became the first specialised solar cell manufacturer to mass-produce N-type TOPCon cells, known for their high efficiency and bifacial capability. In 2023, Drinda held over 57% of the global market share for TOPCon cells.
Oman's Renewable Energy Goals
Oman is on the verge of a significant transition to renewable energy and green hydrogen production. The establishment of a large-scale solar PV manufacturing plant will greatly enhance the country's In-Country Value (ICV) objectives. Oman aims to produce 1.38 million tonnes of green hydrogen annually by 2030, requiring about 35 gigawatts of renewable energy capacity from solar and wind sources.
According to Hydrom, the leading entity for green hydrogen development, Oman will need around 40 million solar panels and over 6,000 wind turbines to meet its renewable energy goals. Localising part or all of this substantial requirement will bring numerous benefits to Oman's economy, including job creation, technology transfer, the use of local resources, and the growth of small and medium-sized enterprises (SMEs).
Future Prospects
In addition to localising solar panel production, the Oman Investment Authority is also exploring the potential for local electrolyser
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