OQ launches renewables for 300 MW, signs deals for $2 billion

MUSCAT, May 19, 2025 – Oman’s state energy company OQ issued full notice to proceed for the EPC contract on three renewable projects totalling 300 MW and signed 13 strategic deals worth more than USD 2 billion during Oman Sustainability Week 2025.

The EPC notice was issued to a consortium of France’s TotalEnergies and OQ Alternative Energy (OQAE), with Power China as the EPC contractor. The new projects include the 100-MW North Solar plant at Saih Nihaydah and two 100-MW wind farms – Riyah-1 and Riyah-2 – located in the Amin and West Nimr oilfields.

The projects are underpinned by long-term power purchase agreements with Petroleum Development Oman, with total generation estimated at 1.4 TWh per year. Operational launch is expected in late 2026.

TotalEnergies, OQAE and Power China also signed supply and financing agreements for the three projects. They include supply agreements for transformers with Voltamp, wind turbines with Goldwind and PV panels with Longi. Bank Muscat and Al Ahli Bank will finance the wind farms, while North Solar will be financed solely by Bank Muscat.

Additionally, OQAE signed initial agreements for four new renewable energy ventures: A 700-MW project with United Solar for Sohar Polysilicon Plant, a 500-MW project with Jindal Renewables for sites in Suhar and Duqm, a 140-MW project with Oxy Zero In for Block 09 and 105-MW project with Vale for its Omani operations.

OQ also inked an innovation agreement with Mitsubishi Heavy Industries to promote energy innovation. “These strategic partnerships will accelerate Oman’s energy transition and net-zero ambitions, unlocking sustainable growth while strengthening economic diversification and cementing leadership in green energy,” OQ said.

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