ACME Group Second Phase of Duqm Hydrogen Project Set for 2030 Operations

India-based ACME Group has announced that commercial operations of the second phase of its major green hydrogen and green ammonia project in Omans Special Economic Zone at Duqm will commence in 2030.

The expansion involves a 4.2 billion dollar investment across a 10 square kilometer site in Duqm to develop both the second and third phases of the project. The second phase will begin operations in 2030 while the third phase is scheduled for 2033.

Each of the two new phases is expected to produce 400000 metric tonnes of green ammonia and 71000 metric tonnes of green hydrogen annually. Once both phases are completed the total production capacity will reach 800000 metric tonnes of green ammonia per year and 142000 metric tonnes of green hydrogen per year.

The investment follows the signing of project development and land usufruct agreements between Hydrogen Oman ACME Group and the Public Authority for Special Economic Zones and Free Zones in May 2025. These agreements formally integrated the project into Omans national green hydrogen development program.

The expansion builds upon the projects first phase which is currently under construction and designed to produce 100000 tonnes of green ammonia per year. The first phase is scheduled for commissioning by the end of 2026 and has secured a long-term offtake agreement with Norwegian fertilizer company Yara International.

China’s Sungrow Hydrogen is supplying alkaline water electrolysis systems to support the hydrogen production at the facility. The renewable energy infrastructure will include 3 gigawatts of solar and 500 megawatts of wind power to power the electrolyzers.

The 4.2 billion dollar ACME project expansion was among 10 investment agreements and memoranda of cooperation worth a combined 7.5 billion dollars signed by the Public Authority for Special Economic Zones in Duqm. The agreements cover projects spanning green hydrogen battery materials power generation petrochemicals industrial manufacturing tourism and residential infrastructure.

The signing ceremony was led by Qais bin Mohammed al Yousef Chairman of the Public Authority for Special Economic Zones and attended by senior representatives from investing companies from Oman India China South Korea Germany Egypt and the Philippines.

Hydrogen Omans portfolio has now expanded to nine large-scale green hydrogen projects across Al Wusta and Dhofar governorates with combined expected investments exceeding 50 billion dollars and an annual production capacity target of 1.5 million tonnes of green hydrogen by 2030. These projects will be powered by approximately 35 gigawatts of renewable energy coordinated through a centralized strategy to ensure scalability and international competitiveness.

The new commitments reinforce Duqms position as an emerging regional hub for clean energy manufacturing logistics and tourism while supporting Omans Vision 2040 goals for economic diversification and sustainable development.