Asyad Group, OQ Alternative Energy, and Sumitomo Corporation ME Chart Ambitious Course to Establish Oman as a Global Low-Carbon Fuel Bunkering Hub
In a groundbreaking initiative, Asyad Group, in collaboration with OQ Alternative Energy and Sumitomo Corporation Middle East FZE, has announced a joint study agreement aimed at exploring the potential of establishing Oman as a global leader in low-carbon fuels for bunkering. This visionary project is set to promote sustainable shipping practices, aligning with global decarbonization goals within the maritime industry while capitalizing on Oman’s abundant renewable resources.
To catalyze this initiative, the group has issued a Request for Information (RFI) to the world’s leading shipping companies. This step aims to foster the adoption of global green logistics solutions within Oman. The RFI seeks insights that will inform a comprehensive feasibility study to evaluate critical factors such as the levelized costs of delivered low-carbon fuels, the necessary infrastructure to support these operations, and compliance with international regulatory standards for sustainable fuels.
Potential and Insights from Early Findings
Preliminary findings from the ongoing study suggest that Oman’s unique geographical advantages and superior renewable energy resources position the country as a potential frontrunner in supplying competitively priced low-carbon fuels to the global shipping industry. The data gathered from the RFI will serve as the foundation for the feasibility study, guiding the development of a state-of-the-art low-carbon bunkering infrastructure in Oman. This infrastructure aims to create a lasting impact on global maritime practices, fostering a shift toward sustainability.
Aligning with Oman’s Vision 2040
This initiative is in line with Oman’s Vision 2040 and its overarching sustainable energy strategy. The collaborating parties aim to leverage the Sultanate’s renewable resources to offer low-carbon fuels, including e-methanol and ammonia, at competitive prices. The current bunkering facilities at the Port of Salalah and Port of Duqm are identified as strategic sites for potential retrofitting, enabling them to support low-carbon fuel operations. By modernizing these existing infrastructures, Oman aims to transform these ports into key nodes along vital global trade routes, establishing the nation as a leader in the transition to low-carbon shipping fuels.
Supporting the Growth of Oman’s Logistics Sector
The establishment of a low-carbon bunkering hub is expected to significantly contribute to the growth of Oman’s burgeoning logistics sector. By fostering an ecosystem that supports sustainable practices, the initiative aligns with global trends toward decarbonization in the shipping industry. Asyad Group’s commitment to transforming Oman into a global logistics hub is further emphasized by its vast array of world-class assets, which include three of the most efficient deep ports globally, a dry port, two free zones, an economic zone, and an exceptional road network.
This collaborative effort by Asyad Group, OQ Alternative Energy, and Sumitomo Corporation signifies a pivotal step toward establishing Oman as a prominent player in the global low-carbon fuel market. By focusing on sustainable shipping practices and leveraging the nation’s renewable resources, the initiative aligns with global efforts to decarbonize the maritime industry, ultimately contributing to a more sustainable future for shipping practices worldwide.
About Asyad Group
Asyad Group is Oman’s national logistics provider, responsible for the comprehensive development of the logistics sector within the Sultanate. Ranked 4th on Forbes’ “10 Biggest Logistics Companies in MENA” list, Asyad is a USD 4 billion enterprise with substantial backing from government infrastructure investments. The organization is committed to attracting customers and investors by leveraging Oman’s advanced logistics facilities and established manufacturing capabilities.
Asyad Group’s competitive advantage lies in its top-tier assets and services, which include renowned offerings like Asyad Express. This service encompasses a state-of-the-art 3,000 m² fulfillment center and last-mile express delivery, catering to various sectors such as finance, e-commerce, and manufacturing.
Source Asyad Group Oman