Naseem Dhofar to spearhead Oman’s 125 MW Dhofar II Wind IPP

Muscat, Oman – October 2026: Naseem Dhofar SAOC, a joint venture between Singapore-based Sembcorp Industries and OQ Alternative Energy (OQAE), is progressing with the development of the 125-megawatt (MW) Dhofar II Wind Independent Power Project (IPP), marking another significant investment in Oman’s expanding renewable energy sector.

The project will be developed near Fatkhait in the Wilayat of Shaleem and Al Hallaniyat Islands in Dhofar Governorate. Sembcorp Utilities holds a 75% stake in Naseem Dhofar, while OQAE, the renewable energy arm of OQ Group, owns the remaining 25%.

With an estimated investment of RO43 million, the wind farm will comprise 20 turbines, each with a generation capacity of 6.25 MW. The development will occupy approximately 12 square kilometres within Petroleum Development Oman’s Block 6 concession area.

Dhofar II is expected to strengthen the governorate’s renewable energy infrastructure, complementing the existing 50 MW Dhofar I Wind Farm and supporting Oman’s objective of generating approximately 30% of its electricity from renewable sources by 2030.

The project is being implemented under a 20-year Power Purchase Agreement signed with Nama Power and Water Procurement Company (Nama PWP) in November 2025, ensuring the supply of renewable electricity to Oman’s power network.

China Energy Engineering Corporation (CEEC), through its Shanxi Institute subsidiary, has been appointed to undertake the engineering, procurement and construction (EPC) works. The contract includes the development of the wind farm, a 400 kV step-up substation and approximately 3.7 kilometres of transmission infrastructure.

Construction commenced in June 2026, with commercial operations scheduled to begin in the third quarter of 2027.

According to the project's environmental and social impact assessment, the development will also include approximately 18 kilometres of 33 kV overhead collection lines connecting the wind turbines to a dedicated 33/400 kV substation. Electricity generated by the facility will be transmitted to the national grid through the Oman Electricity Transmission Company (OETC) network.

Beyond expanding renewable electricity generation, the Dhofar II project is expected to contribute to reducing natural gas consumption in the power sector, allowing additional gas resources to be directed towards industrial and other economic activities.

The development reflects Oman’s continued investment in diversifying its energy mix, strengthening renewable energy infrastructure and advancing its long-term commitment to achieving net-zero emissions by 2050.

Naseem Dhofar to spearhead Oman’s 125 MW Dhofar II Wind IPP - Oman Observer