LUPRO Inc., a South Korea-based global leader in green energy solutions, has entered into a partnership with Oman’s Bait Muscat for Development and Investment to develop a major green ammonia project in the Duqm Special Economic Zone (SEZ), located in the southeast of Oman. The agreement, which was signed in Seoul recently, establishes a long-term sales contract valued at $4.5 billion, with the LUPRO-Oman joint venture committed to supplying LUPRO Inc. with 5 million tonnes of green ammonia. This deal marks a significant milestone in the two companies’ efforts to contribute to the global transition to clean energy.

The signing ceremony, which took place in Seoul, saw the presence of senior executives from both companies. Notably, Dr. Mohammed bin Hamed al Rumhy, Chairman of Bait Muscat for Development and Investment and former Oman Minister of Energy and Minerals, attended the event. Additionally, Oman’s Ambassador to the Republic of Korea, Zakariya bin Hamad al Saadi, was also in attendance. The project aligns with Oman’s strategic goal of promoting sustainable energy initiatives and fostering international cooperation in the green energy sector. Oman’s Foreign Ministry expressed its support for the venture, emphasizing the role the project will play in enhancing the country’s clean energy development efforts.

LUPRO Inc., headquartered in Seoul, is deeply engaged in the hydrogen-based green energy value chain, which includes the manufacturing of green hydrogen and green ammonia, fuel cell power generation, and hydrogen convergence projects. The company has already formed joint ventures with businesses in various countries, including Thailand, India, the UAE, and Japan, to support the creation of large-scale green energy resources. With this collaboration, LUPRO Inc. and Bait Muscat for Development and Investment aim to produce 1 million tonnes of green hydrogen ammonia annually at Duqm. This production will be powered by a renewable energy complex with a capacity of 2 GW, a significant step in addressing the climate crisis and accelerating the global transition to carbon neutrality.

Kim Se-ho, CEO of LUPRO, highlighted the strategic importance of the project in an interview with South Korea’s OBS TV. He shared that construction of the green ammonia plant in Duqm is expected to begin in 2025. Kim noted that the Omani government has prioritized the development of green energy projects, particularly in the green hydrogen and ammonia sectors. As part of its efforts, the government has created favorable infrastructure and business conditions in the Duqm SEZ, including offering tax exemptions for several decades, which make the region an attractive destination for foreign investment in the renewable energy sector.

The initial phase of the project will involve the construction of a 200 MW green ammonia plant, with a target production capacity of 500,000 tonnes of green ammonia annually. LUPRO holds a 65% stake in the joint venture, underscoring its dominant role in the venture. The green ammonia produced at the Duqm plant will be marketed to both domestic and international markets, particularly across Asia and other global regions. This project not only contributes to addressing the urgent challenges of the climate crisis but also plays a key role in advancing Oman’s green energy sector and supporting its economic diversification goals.

Through this collaboration, LUPRO and Bait Muscat for Development and Investment are making substantial progress in the development of green ammonia, a key component in the global energy transition. The project has the potential to help meet the growing demand for sustainable energy resources while fostering a greener, more sustainable future for both Oman and the global community.