Muscat – OQ Alternative Energy (OQAE) and Asyad Group have signed an offtake term sheet to support the deployment of green hydrogen for mobility applications in Oman, marking a step towards linking the country’s emerging hydrogen industry with low-carbon transport solutions.

Under the term sheet, Asyad will explore the use of green hydrogen produced by OQAE’s green hydrogen deployment project in Duqm, supporting the development of hydrogen-powered mobility applications and helping establish the foundations of a hydrogen mobility ecosystem in the sultanate.

The collaboration brings together two strategic national players to translate Oman’s growing renewable energy and green hydrogen capabilities into practical applications that can contribute to the decarbonisation of transport and other hard-to-abate sectors.

“The next phase of Oman’s hydrogen journey is about moving from potential to practical application. This partnership with Asyad is an important step in that direction, connecting green hydrogen production with a real mobility use case and creating an opportunity to build experience across the full value chain,” said Salim Al Kamyani, CEO of OQAE.

He explained that Oman has significant potential to become a competitive producer and exporter of renewable energy and green hydrogen.

“At the same time, developing a strong domestic market is critical to building a resilient hydrogen ecosystem. Our ambition is to help create an environment where Oman’s hydrogen potential can translate into competitive projects, new industries and sustainable value for the nation,” Al Kamyani added.

Ahmed Al Bulushi, CEO of Asyad Drydock & Infrastructure Services, said, “Decarbonising transport requires practical solutions that can be deployed at scale and supported by a reliable energy ecosystem. Our collaboration with OQAE provides an opportunity to explore green hydrogen as part of that transition and to translate Oman’s emerging hydrogen capabilities into applications across the logistics and mobility value chain.”

He said Asyad is committed to supporting the development of more sustainable logistics solutions and strengthening Oman’s position as a globally connected logistics hub.

“By participating in the development of hydrogen mobility solutions, we are helping build the operational experience, partnerships and infrastructure needed to support the next generation of low-carbon transport in the Sultanate,” Al Bulushi added.

The project is OQAE’s first end-to-end green hydrogen deployment initiative and is designed to build practical capabilities across the hydrogen value chain. It covers renewable power integration, hydrogen production, operations, certification, handling and commercialisation.

The facility is expected to produce up to 400kg of green hydrogen per day, with the potential to expand through a dedicated hydrogen refuelling station in Duqm.

Located within the Special Economic Zone at Duqm, the project will provide a platform to explore the integration of renewable energy, hydrogen production and end-use applications within a single industrial and logistics ecosystem.

Beyond hydrogen production, the project is expected to generate practical experience in areas including operations, certification, infrastructure, safety and demand, helping identify the requirements for wider commercial deployment.

The initiative supports Oman’s broader ambition to develop a competitive and sustainable hydrogen sector in line with Oman Vision 2040 and the country’s net-zero targets.

The signing marks the next phase of cooperation between OQAE and Asyad as the two organisations work to translate the term sheet into a deployment framework. By linking green hydrogen production with mobility applications, the partnership is expected to build technical, operational and commercial expertise that can support future projects and strengthen the foundations of Oman’s emerging hydrogen economy.