Overview of Auction Phase A

Hydrom intends to award land blocks for green hydrogen projects in 2023, in order to meet the 2030 production target of 1 MTPA of green hydrogen. Phase A will be divided into two bid rounds:

• Round 1: Two blocks will be awarded in Duqm area by April 2023
• Round 2: An additional two to four blocks will be awarded in Dhofar area by end of Q4 2023

Oman expects the winning developers to deliver integrated projects, covering the full green hydrogen value chain:

• Renewable Production: Developers are expected to propose a wind/solar mix that ensures a competitive Levelized Cost of Hydrogen (LCOH). The technology mix can evolve over time
• Hydrogen Production: Developers are free to propose the electrolyzer technology of their choice (e.g. PEM vs. alkaline electrolyzers)
• Hydrogen Derivatives Conversion: The choice of end-product (e.g. hydrogen, ammonia, methanol) is also left at the discretion of developers
• Offtake: Developers are expected to secure the offtake for their projects

Developers are expected to bid as consortia and partner with a Government-owned entity post-award.

Process, timeline and fees :

Each bid round shall consist of a separate pre-qualification ("RFQ" - Request for Qualification) and bid submission (“RFP” - Request for Proposal) processes. Phase A Round 1 will follow an accelerated timeline, with an overlapping RFQ and RFP processes. Under the proposed approach, the interested bidders will be allowed to submit their pre-qualification documents beyond the official launching date of the RFP process (target launch date at the beginning of December). The qualification and bid submission process will run until 15^th March 2023, subsequently followed by the project evaluation over March-April 2023.

1^st Bid Round

2^nd Bid Round

Applicants will be requested to register on an online auction platform, sign a Confidentiality Undertaking and pay a registration fee to obtain RFQ documents. After a qualification round, qualified bidders will be requested to pay a fee to obtain RFP documents and then a fee for each bid to be submitted.

Applicants will be evaluated in three stages:

• Minimum Qualification Criteria: Criteria to ensure that only capable and committed bidders with strong financial capabilities and proven track record in renewables and process industries can bid.
• Minimum Bid Criteria: Criteria to ensure projects fulfill the minimum requirements and hence the ambition of Oman, including a credible business case and project plan, a robust strategy to secure financing and offtake as well as demonstrated commitment to build local supply chains, create local jobs and partner with Omani companies
• Evaluation Framework: Framework comprised of criteria and sub-criteria, to evaluate bids and select the winner(s)

Register on Auction Platform