Usufruct agreements signed for wind turbine plant at Sezad

Business Monday 26/January/2026 17:04 PM
By: ONA
Usufruct agreements signed for wind turbine plant at Sezad

Muscat: The Public Authority for Special Economic Zones and Free Zones (Opaz) signed on Monday a usufruct agreement with Mawarid Turbine to establish a wind turbine manufacturing and assembly plant in the Special Economic Zone at Duqm (Sezad), alongside two additional agreements to install six wind turbines to generate power required to operate the plant.

The agreements were signed on behalf of Opaz by Qais Mohammed Al Yousef, Chairman of Opaz, and on behalf of Mawarid Turbine by Mustafa Mohammed Al Hinai, CEO of the company.

Under the agreements, Mawarid Turbine was granted usufruct rights over three plots of land: the first for the construction of the wind turbine manufacturing and assembly plant, the second for the installation of a single wind turbine, and the third for the installation of five wind turbines. The company also plans to reserve additional land to support future expansions of the project.

The project aims to localise the wind turbine industry in the Sultanate of Oman in line with Oman Vision 2040 targets for green energy. The plant’s expected production capacity ranges between 800 and 1,000 megawatts. The company is also currently developing an initial concept for a battery production project to support energy storage systems.

This agreement represents a strategic step that reflects the Authority’s commitment to supporting renewable energy projects and strengthening the localisation of clean industries in the areas under its supervision. It contributes to attracting high-quality international investments, transferring advanced technologies, creating sustainable employment opportunities, and reinforcing Duqm’s position as a leading regional hub for green industries and a low-carbon economy.

The first phase of the project is valued at approximately OMR70 million and includes the manufacturing of several wind turbine components and blades. The second phase will involve the establishment of a specialised factory for the production of wind turbine towers and other components within the renewable energy value chain, in integration with local enterprises.

Eng. Ahmed Ali Akaak, CEO of Sezad, said that the zone holds competitive advantages that make it an ideal environment for renewable energy projects, citing the availability of wind and solar resources, robust infrastructure, and ample industrial land. He noted that the zone’s 2025–2030 strategy focuses on positioning Duqm as a preferred hub for renewable energy and future industries, welcoming the wind turbine factory as a project with sustainable economic and industrial impact.

He added that the Special Economic Zone at Duqm welcomes Mawarid Turbine and the wind turbine plant, which will benefit from the zone’s significant capabilities to support and market its products locally and internationally through exports via Duqm Port, which has previously handled oversized cargo shipments.

He expressed hope that the project would achieve its goals and, together with other renewable energy projects in Duqm, contribute to building a sustainable energy ecosystem in the Special Economic Zone at Duqm, which has become one of the region’s and the world’s preferred investment destinations, with investments surpassing OMR6.3 billion.

Meanwhile, Mustafa Mohammed Al Hinai, CEO of Mawarid Turbine, said the project represents an extension of the company’s vision to localise renewable energy industries and build a national industrial base capable of supporting Oman’s energy transition. He noted that the selection of the Special Economic Zone at Duqm reflects the zone’s competitive advantages in terms of location, infrastructure, and integrated supply chains, enabling the development of the wind turbine industry in accordance with the highest international standards.

He added that the company places knowledge transfer and national capacity building at the core of its strategy through technical partnerships and training and qualification programmes, contributing to sustainable value creation and strengthening Oman’s position as a regional hub for renewable energy industries.

Ashraf Hamad Al Ma’amari, CEO of OQ Group, said the Group’s contribution to the project falls within its commitment to its national role as a key partner in Oman’s energy transition ecosystem and its support for initiatives that promote the localisation of renewable energy–related industries. He explained that OQ’s investments in localising industries related to renewable energy, including wind turbines, are aligned with the group’s strategy aimed at achieving a well-considered balance between energy security, sustainability, and maximising economic value. He added that these strategic partnerships enhance the Sultanate of Oman’s readiness for the next phase of energy transformation and contribute to building a national ecosystem capable of competing regionally and globally, in line with the objectives of Oman Vision 2040.

Additionally, Mawarid Turbine is implementing an integrated programme to train and qualify Omani talent, in cooperation with Shanghai Electric Wind Power Group as the technology provider. The programme includes training courses to be conducted in China starting from the first quarter of this year, in addition to the development of educational and training programmes in collaboration with Omani universities and colleges to strengthen national skills in the green energy sector.

It is worth noting that Mawarid Turbine signed a number of agreements and memoranda of cooperation last year related to technology licensing, the establishment of a research centre, knowledge transfer, preliminary design, and Omanisation and training programmes.