By: Zawya

OQ Alternative Energy has signed a joint development agreement with Naqaa Sustainable Energy Company to invest in wind energy projects in Duqm in Al Wusta and Mahout and Sadah in Dhofar.

The projects are expected to generate up to 1,100 megawatt of electricity using wind turbines manufactured locally by Mawarid Turbine Company.

The agreement is part of efforts by OQ Group to support the clean energy transition by developing an integrated value chain and encouraging the growth of national industries. It also aims to support emerging businesses involved in renewable energy, according to an OQ statement.

The deal was signed by Said al Masoudi, Chairman of OQ Alternative Energy, and Mustafa bin Mohamed al Hinai, CEO of Naqaa Sustainable Energy Company. The signing took place in the presence of H E Salem bin Nasser al Aufi, Minister of Energy and Minerals.

Masoudi said the agreement reflects the government’s policy of promoting renewable energy and supporting sustainable development goals. He added that OQ plays a key role as a national investment arm in the energy transition, contributing to electricity grid stability and  development of clean energy infrastructure.

Hinai said the partnership aligns with national efforts to diversify energy sources and utilise Oman’s natural wind resources.

In April, OQ Group signed a memorandum of understanding with Mawarid Turbine to establish a manufacturing facility in Special Economic Zone at Duqm.

The first phase of the factory will have production capacity of up to 1,000MW a year, with investment exceeding US$200mn. Commercial operations are scheduled to begin in 2026.

The plant is expected to be the first of its kind in the region and will support localisation of renewable energy technologies. It is projected to generate more than 1,000 jobs.

Mawarid Turbine has partnered with Shanghai Electric Wind Power Group for technology licensing, research and development, and the technical design of manufacturing systems. The collaboration will also provide wind turbines for several pilot farms.