Oman’s $1.35bln polysilicon project signs up service providers

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MUSCAT - The developers of one of the biggest polysilicon manufacturing plants in the Middle East, currently in the early stages of development at Sohar Port and Freezone in the Sultanate of Oman, have tapped a number of leading local utilities and service providers to support the landmark venture during the construction and operation phases.

Oman-based United Solar Holding Inc recently broke ground on a first-of-its-kind 100,000-tonnes per annum capacity polysilicon project at Sohar Freezone estimated to cost USD 1.35 billion. The strategically significant project is expected to not only catapult Oman into the ranks of global producers of high-quality polysilicon – a key ingredient in the solar PV supply chain – but also catalyse investments in downstream manufacturing linked to the country’s ambitious renewable energy development goals.

Given the scale and technological complexity of the project, a number of utility companies have been signed up to provide dedicated support infrastructure and services necessary to sustain the polysilicon venture upon its commercial launch in 2025.

Earlier this week, Majis Industrial Services (MIS) – the integrated water solutions provider at Sohar Port - announced the signing of the water services agreement with United Solar Polysilicon. MIS – part of OQ Group – operates a modern water solutions platform that provides water for industrial cooling, process water, potable water, irrigation water, effluent management and other sustainable water solutions.

Earlier, in June, Monenco Consulting Engineers Oman, well-known electrical engineering consultancy services firm, signed a contract for the provision of engineering services and design review of a major grid station that will supply the project with electricity.

The client is the China Energy Engineering Group Shanxi Electric Power Engineering Company (CEEC- SEPEC), which is the EPC contractor for the 400/220 kV grid station linked to the polysilicon project. SEPEC representative Li Peng signed the agreement with Saeid Tamaddon, Managing Director of Monenco Consulting Engineers (Oman) at the latter’s Muscat office last month.

Other utilities that have committed to building the requisite support infrastructure for the project include Oman Electricity Transmission Company (OETC), and Nama Electricity Supply, among others.

At the project’s ground-breaking in March, high-level Omani officials also highlighted the venture’s potential to attract investments in domestic solar panel manufacturing and other industries across the production value chain.

On its heels came the announcement, just last month, pertaining to a provisional agreement signed by Oman Investment Authority (OIA) with Chinese solar photovoltaic manufacturer Hainan Drinda New Energy Technology on the establishment of a first-ever photovoltaic cell manufacturing plant in Oman.

Haikou-headquartered Drinda said in a filing to the Shenzhen Stock Exchange that it would invest around $700 million in the construction of a high-efficiency photovoltaic cells plant in Oman. An ‘Investment Intention Agreement’ signed by the two sides envisions the development of a PV cell plant with an annual production capacity of 10 gigawatts to be built in two phases of 5 GW each.