A partnership will be formed between Oracle Power PLC and a PetroChina International Ltd. entity based in Dubai with the goal of utilizing green hydrogen from the former’s 400 MW plant in Sindh, southeast Pakistan.
Oil trader PetroChina International (Middle East) Co Ltd (PCME), in accordance with the provisions of a recently signed Memorandum of Understanding (MoU), would assist Oracle in commercializing the initiative. The PCME has agreed to set up both the offtake of the green hydrogen and the exchange of the related carbon credits.
With regard to purchasing a share of the 55,000 tonnes of green hydrogen production and carbon credits, the PetroChina subsidiary will have the right of first refusal (ROFR) to sign a long-term or spot cargo agreement. The five-year cooperation is non-binding and has the potential to be extended.
According to Oracle’s plan, a 400 MW electrolyser will be installed in Thatta together with up to 700 MW of solar power, 500 MW of wind power, and battery storage. Operations at the green hydrogen plant are anticipated to start in the fourth quarter of 2026. In November 2022, a land lease agreement for a 7,000-acre (2,833-ha) property was reached with the Government of Sindh.
With regard to the prospective offtake of around 50,000 tonnes of green hydrogen from the complex, Oracle and aluminum manufacturer Emirates Global Aluminium PJSC (EGA) announced a Memorandum of Understanding (MoU) in February.