Oman green fuel takes a major step forward as the country signs a pact to supply ships with carbon-free energy. The agreement will establish Oman’s first integrated green methanol production facility.
The Ministry of Transport, Communications and Information Technology confirmed the project, highlighting its strategic importance for Oman’s energy and maritime sectors. The initiative will operate as a Public-Private Partnership, combining government oversight with private sector expertise.
The facility will be located in Dhofar Governorate and will produce and supply green methanol to the shipping industry. Officials stated that the project positions Oman as a regional hub for sustainable marine fuel.
In addition, the pact aims to enhance Oman’s economic value by boosting logistics competitiveness in global markets. Experts expect the initiative to increase the annual contribution to Gross Domestic Product while creating quality jobs for Omani citizens.
The project also aligns with Oman’s commitment to net-zero emissions and carbon reduction. By supplying carbon-free fuel, the initiative supports environmental sustainability and encourages cleaner maritime operations.
Furthermore, authorities highlighted that the facility will develop local supply chains and attract long-term contracts for methanol fuel. This approach ensures the project generates lasting economic and environmental benefits.
The government emphasised that Oman green fuel is not only an economic investment but also a step toward meeting global energy transition goals. The facility is expected to serve both regional and international shipping demands efficiently.
Stakeholders noted that the Public-Private Partnership model will accelerate project implementation while maintaining high standards of safety, sustainability, and operational efficiency. Collaborative efforts between government and private partners will help establish a reliable green fuel supply chain.
Officials also stressed that the initiative strengthens Oman’s leadership in sustainable maritime energy. By investing in green methanol, the country demonstrates its commitment to reducing carbon emissions and promoting innovative energy solutions.
Looking ahead, Oman green fuel is expected to expand over time, supporting additional clean energy projects and further integrating Oman into global sustainable shipping networks. The agreement marks a critical milestone in the country’s environmental and economic development strategies.




