Oman has officially launched construction of the $1.6 billion Marsa LNG project in Suhar, marking the largest joint investment between France’s TotalEnergies (80%) and OQEP (20%). The groundbreaking ceremony, held under the patronage of Eng. Salim bin Nasser al Aufi, Minister of Energy and Minerals, was attended by senior government officials, investors, and business leaders.
Speaking to the Oman Observer, Minister Al Aufi emphasized that while the terminal is designed with potential for expansion, the decision to proceed with a second phase will depend on gas availability and the results of an economic feasibility study. He confirmed that essential infrastructure—including the loading jetty, storage tanks, and electrical capacity—is already in place.
The Marsa LNG project positions Oman as a regional hub for clean marine fuel. As the first of its kind in the Middle East to supply ships with LNG, it supports efforts to reduce emissions in the maritime sector. It also plays a vital role in advancing Oman’s Vision 2040 by attracting foreign investment, enhancing in-country value (ICV), and supporting clean energy development.
“This project shows that LNG can be low-carbon,” said Patrick Pouyanné, Chairman and CEO of TotalEnergies. “It sets a new standard for next-generation plants while offering a cleaner marine fuel option at the gateway to the Gulf.”
OQEP CEO Eng. Ahmed al Azkawi added, “Marsa LNG is a bold step that uses cutting-edge technology and strategic collaboration to build a cleaner, more affordable energy future.”
A Dual-Component Project
The project features both upstream and downstream components. Gas will be produced from Block 10’s Mabrouk North-East field at a rate of 150 million standard cubic feet per day (scf/d) and transported to Suhar via the national gas network.
On the downstream side, a state-of-the-art LNG plant is being constructed at Sohar Port with a capacity of 1 million tonnes per annum (Mtpa). This will be supported by a 300 MW solar farm, which will meet 100% of the facility’s energy needs—making it the world’s first fully electric, zero-scope emissions LNG plant. The solar array will span 450 hectares and include 500,000 high-efficiency bifacial photovoltaic modules.
Marsa LNG will also house a 165,000 m³ storage tank and a 500-meter jetty for bunkering vessels and LNG carriers. LNG production is set to begin in Q1 2028, primarily serving the marine fuel (LNG bunkering) market in the Gulf.
Environmental Leadership and Marine Innovation
The facility is expected to emit less than 3 kg of CO₂ equivalent per barrel of oil equivalent, setting a new benchmark for emissions in the sector. The integrated design will avoid over 200,000 tonnes of CO₂ equivalent annually compared to traditional facilities.
To support the bunkering effort, TotalEnergies has commissioned a new LNG bunkering vessel, Monte Shams, named after Oman’s highest peak, Jabal Shams. The vessel, with an 18,600 m³ capacity, will begin service in mid-2028 and will feature high-efficiency engines, continuous emissions monitoring, and state-of-the-art environmental controls.
Monte Shams will serve a wide range of maritime vessels including containerships, tankers, and cruise ships, further reinforcing Oman’s leadership in clean energy and sustainable maritime infrastructure.
Source: Oman Observer
