In a significant step towards Oman’s ambition to localise hardware production for its massive green hydrogen initiatives, Chinese solar photovoltaic manufacturer Hainan Drinda New Energy Technology has signed a provisional agreement with Oman Investment Authority (OIA) to establish the country’s first photovoltaic cell production facility.
Hainan Drinda, headquartered in Haikou, announced in a Shenzhen Stock Exchange filing that it plans to invest approximately $700 million to construct a high-efficiency photovoltaic cell plant in Oman.
The “Investment Intention Agreement” signed by the parties outlines the development of a PV cell facility with an annual production capacity of 10 gigawatts, to be completed in two phases of 5 gigawatts each.
According to reports, founded in 2003 as an automotive parts manufacturer, Hainan Drinda transitioned into large-scale solar PV production in 2020 after acquiring a 51% stake in Shangrao Jietai New Energy Technology, a leading solar cell producer. By 2022, Drinda had fully acquired Jietai.
Last year, Drinda became the first specialised solar cell manufacturer to mass-produce N-type TOPCon cells, which are known for their high efficiency and bifacial capability, allowing energy to be generated from both sides of the module. In 2023, Drinda dominated the global market for TOPCon cells, holding over 57% of the market share.
For Oman, which is on the brink of a major transition to renewable energy and green hydrogen production, the establishment of a large-scale solar PV manufacturing plant significantly boosts the country’s In-Country Value (ICV) objectives.
Oman aims to produce 1.38 million tonnes of green hydrogen annually by 2030, necessitating approximately 35 gigawatts of renewable energy capacity from solar and wind sources. According to Hydrom, the leading entity for green hydrogen development, Oman will need around 40 million solar panels and over 6,000 wind turbines to meet its renewable energy goals.
Localising part or all of this substantial requirement will bring numerous benefits to Oman’s economy, including job creation, technology transfer, the use of local resources, and the growth of small and medium-sized enterprises (SMEs).