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Sohar Port and Freezone Charts a Decarbonised Future

by Ahmed Alsir
January 28, 2026
in Companies, Local News, Regional News
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Sohar Port and Freezone Charts a Decarbonised Future

LIONEL RABIN

Founder & Managing Director – HALTIQA Bridging Energies company

Green Hydrogen Expert & Low-carbon investment adviser

Sohar Port and Freezone, Oman’s most advanced industrial hub and one of the Gulf’s fastest-growing ports, is moving decisively to align its expansion with the national net-zero agenda. In a wide-ranging conversation between Engineer Lionel Rabin and Dr Abdullah Al Abri- Vice President for Sustainability at Sohar Port and Free Zone, for the Energy Talks series, the two energy transition specialists explored the port’s integrated roadmap toward carbon neutrality by 2050, its emerging role in regional hydrogen and clean-tech manufacturing, and the strategic advantage Sohar holds as Oman deepens its transition to a low-carbon economy.

In response to Lionel Rabin’s questions about how Sohar’s strategy aligns with national climate commitments, Dr. Al Abri, who brings experience from the International Energy Agency in Paris, and earlier roles at Petroleum Development Oman and Woodside Energy in Australia, framed decarbonisation not merely as an environmental necessity but as a competitive strength that will shape the next chapter of industrial development in the Sultanate.

Oman’s transition, he said, is grounded in the country’s Vision 2040, built on three pillars: a prosperous population, a competitive economy, and a sustainable environment. The government’s adoption of a 2050 net-zero target has catalysed a progression from broad environmental aspirations to detailed sectoral roadmaps.

“The Vision serves as our compass,” Dr. Al Abri explained. “The net-zero goal defines our destination.”

He highlighted the establishment of the Oman Net Zero Center earlier this year as a foundational step. The Center is developing pathways for all major sectors—industry, mobility, power, and oil and gas—to reach carbon neutrality, underpinned by clear governance structures.

These national frameworks guide Sohar’s own approach, he added. As Oman’s largest industrial cluster, hosting metals, petrochemicals, logistics, and food sectors, Sohar has created a detailed decarbonisation roadmap centred on energy efficiency, renewable integration, electrification, biofuels, hydrogen, and carbon capture, utilisation and storage (CCUS). “We view sustainability and decarbonisation as drivers of competitiveness. That’s our focus,” he said.

Sohar’s Strategic Positioning

Eng. Lionel Rabin noted Sohar’s significant scale and asked Dr Al Abri to contextualize the port’s economic contribution. Sohar’s contribution to Oman’s economy is substantial. More than US$30 billion in investment has flowed into the port and free zone over the past two decades. Today, Sohar handles over 70% of Oman’s trade—meaning seven out of every ten products entering the country pass through its terminals.

Sohar’s position just outside the Strait of Hormuz gives it a unique geostrategic advantage: connected to global east-west shipping routes, but without the chokepoint constraints of the narrow strait. Its partnership with the Port of Rotterdam ensures high standards in governance, transparency, and operational excellence.

“We’re not selling promises—we’re selling progress,” Dr. Al Abri emphasised. “We’ve built strong integrated supply chains, and we’re becoming an anchor for Oman’s energy transition.”

Throughout the dialogue, the two experts discussed a wide portfolio of initiatives already underway. Sohar’s decarbonisation is cumulative and systemic, ranging from efficiency upgrades to groundbreaking pilot technologies.

Energy Efficiency

Drawing on his experience in the industrial gases industry implementing energy efficiency programs, Eng. Lionel Rabin probed the practical measures Sohar is deploying. With one of the Gulf’s fastest growth rates—operating near full capacity after only 20 years—efficiency remains a major opportunity. Sohar estimates a 5% reduction in energy use by 2030 through initiatives such as: Night-on-demand lighting across the port area; Optimisation of cooling and wastewater systems; Resource-efficiency collaborations under the Sohar Alliance; and Reusing existing infrastructure instead of creating new systems

These measures, Dr. Al Abri noted, not only reduce emissions but improve the competitiveness of industries operating at the port.

Hydropower and Waste Heat

When Eng. Lionel Rabin asked about renewable energy solutions tailored to Sohar’s unique industrial context and how the port and free zone are also exploring unconventional renewable solutions, Dr Al Abri revealed. A cooling-water canal running through the port provides a constant high-volume flow, enabling the potential installation of turbines for steady, non-intermittent hydropower—a rarity in the Gulf’s geographical context.

The port has completed a detailed mapping of exothermic and endothermic industrial processes, laying the groundwork for a centralised waste heat recovery system. Excess industrial heat could be repurposed to support nearby facilities, including those operated by Vale and Jindal Shadeed. “It’s a major opportunity,” he said, and one that blends efficiency, innovation, and circular-economy principles.

Biofuels, Shore Power, and LNG Bunkering

Sohar’s maritime decarbonisation efforts are equally ambitious. The port is: Using biofuels to reduce emissions from tugboats by 20%; Installing shore power systems allowing vessels to shut down engines at berth; and Hosting the Marsa LNG project, the Gulf’s first LNG bunkering facility. These initiatives position Sohar as a regional leader in clean shipping.

Looking ahead, Dr. Al Abri unveiled plans for a major clean-technology manufacturing cluster. Key developments include: a US$1.6 billion polysilicon plant nearing commissioning; A solar PV manufacturing facility under construction; and Efforts to attract investments in ingots, wafers, wind components, and electrolyzers.

“Our strategic focus rests on three pillars: bold moves, decarbonisation that boosts competitiveness, and industrial growth through clean-tech manufacturing,” he said. This cluster will help Oman strengthen its presence across the renewable-energy value chain.

Positioning Among Regional Peers

When Eng. Lionel Rabin asked how Sohar differentiates itself from other GCC ports, Dr. Al Abri argued that Sohar’s integrated industrial ecosystem sets it apart. Unlike transshipment-focused ports, Sohar’s strength lies in interlinked supply chains where inputs and outputs flow between tenants.

Upcoming infrastructure—such as the rail link connecting Sohar to the rest of Oman and the GCC by 2028—will add new competitive layers. “The more supply chains develop, the better for everyone,” he said. “That’s the lesson from the oil and gas sector.”

Sohar is also emerging as a prime candidate to anchor a regional green shipping corridor linking Oman, the UAE, Qatar, and Kuwait, thanks to its existing LNG bunkering, shore power, biofuel use, and renewable integration.

Hydrogen: Blue, Green, and Natural

A key focus of the Eng. Lionel Rabin-Dr Abdullah Al Abri discussion centered on hydrogen—a topic where both experts share deep knowledge and past joint experience on the initial national green hydrogen strategy and implementation road map back in 2019. Hydrogen is central to Sohar’s vision. Oman is already the third-largest hydrogen producer in the Middle East, largely through grey hydrogen used in refining, petrochemicals, and steel manufacturing. Sohar plans to lead the transition toward cleaner forms.

A consortium comprising OQ and OQ Alternative Energy is developing a port-wide CCUS ecosystem. About 85% of the conceptual work is complete. Sohar expects a two-million-ton CO₂ capture facility by 2030, serving as the backbone for blue hydrogen production and industrial decarbonisation.

Eng. Lionel Rabin, who has been in discussion with the Ministry of Energy and Minerals of Oman on in-country natural hydrogen perspectives, engaged Dr Abdullah Al Abri on that hydrogen pathway. Dr. Al Abri expressed keen interest in white hydrogen, also known as natural hydrogen found in geological formations. Oman is believed to be among the world’s most promising regions for exploration. Sohar has already signed partnership agreements with companies holding exploration permits.

“If discoveries materialize, it could be transformative for Sohar and for Oman,” he said.

Sohar is positioning itself as a national hub for green hydrogen production. A first-phase investment case is being finalised to install 80–100 MW of grid-connected electrolyzers supplying key industries. The electric grid, already 11% renewable and expected to reach 30% by 2030, ensures stable non-intermittent hydrogen production without the need for costly storage.

Sohar has also partnered with a Swiss consortium to develop a green corridor between Oman and Switzerland, aligned with the 2023 bilateral framework agreement.

Hydrogen, he stressed, is part of a broader ecosystem that includes methanation, SAF production using biogenic CO₂, and renewable-energy-driven industry.

Partnerships

Eng. Lionel Rabin, drawing on his 20-year sustained experience with public-private partnerships in Oman, explored the collaborative frameworks driving Sohar’s transformation. Partnerships remain central to Sohar’s strategy. Beyond its foundational joint venture with the Port of Rotterdam, Sohar is part of the Sohar Net Zero Alliance and a member of the global Alliance for Industry Decarbonization. Its industrial and energy trade relationships span Europe, Asia, and the Far East.

“We’re seeing strong interest from Japan, South Korea, and China,” he said, noting that these markets view Sohar as an early mover and “conversion-ready” industrial hub. Discussions are ongoing to align Sohar’s decarbonised outputs with future import demand.

As the conversation concluded, Eng. Lionel Rabin reflected on the significance of Sohar representing a compelling case study of how industrial decarbonisation can be both systematic and commercially driven, integrating efficiency, renewables, hydrogen, and CCUS—within a functioning industrial ecosystem.

As Oman prepares to host the Green Hydrogen Summit Oman from 30 November to 4 December, Dr. Al Abri delivered a clear message to global investors and technology partners:
Come to Oman — and visit Sohar.

“Sunshine in Oman is not just a slogan; it’s a cost advantage,” he said, citing IEA findings that Oman has some of the world’s best complementary wind and solar resources. With renewables making up 70% of total hydrogen production costs, Oman’s natural advantages translate directly into competitiveness.

“Sohar is a plug-and-play environment where progress is tangible. The switch is on. There are enormous opportunities for partnership.”

LIONEL RABIN

Tags: DMEomanUAE
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