Marubeni Corporation, a consortium led by the Japanese conglomerate, has been awarded a 100MW solar PV project in southern Oman in a competitive bidding process.
The project in Amin is the world’s first utility-scale PV project. It considers having an oil and gas company as the sole wholesale buyer of power. The other actors of the Japanese-Omani winning consortium include Oman Gas Company, Bahwan Renewable Energy Company, and Modern Channels Services.
The PV project has a 23-year power purchase agreement (PPA). It will supply power for PDO’s (Petroleum Development Oman) Interior operations. PDO estimates to nearly 70% of the country’s crude-oil production and almost all of its natural-gas supply. Nevertheless, Shell, Total, and Partex share 34%, 4%, 2% respectively in the company.
The contract includes design, procurement, construction, commissioning, financing and operation and maintenance of the solar project. Although, PDO claims it will reveal all the details at the awarding ceremony on the 7 November.
PDO managing director Raoul Restucci said: “We look forward to working with the Marubeni Corporation and consortium partners to build our first IPP renewable energy project and as another building block in support of Oman’s outstanding potential in renewable energy.”
The oil company has already forayed into solar energy with the 1,021MW Miraah thermal solar plant in Amal. It is developing with GlassPoint Solar to produce steam for thermal enhanced oil recovery. Besides, it is installing thousands of solar panels in car parks at its Mina Al Fahal headquarters to power offices and feed into the national grid during non-working hours.