Masdar and Partners Reach Financial Close for Oman’s First Utility-Scale Solar and Battery Project

Masdar, a global clean energy leader, along with consortium partners Al Khadra Partners, Korea Midland Power Co. Ltd (KOMIPO), and OQ Alternative Energy (OQAE), have reached financial close for the Ibri III Solar Independent Power Project, marking the Sultanate of Oman’s first utility-scale solar project integrated with battery energy storage.

The project has secured financing from leading global institutions Natixis Corporate & Investment Banking (Natixis CIB) and First Abu Dhabi Bank (FAB), covering a substantial portion of the total estimated project cost of US$300 million. Developed for Nama Power and Water Procurement (Nama), the Ibri III project supports Oman’s Vision 2040 goals to diversify energy resources and achieve 30% renewable electricity generation by 2030.

The Ibri III project combines a 500-megawatt (MW) photovoltaic (PV) plant with a 100-megawatt-hour (MWh) battery energy storage system (BESS). It is expected to generate enough clean electricity to power approximately 33,000 homes while avoiding around 505,000 tonnes of carbon dioxide emissions annually.

Mohamed Jameel Al Ramahi, CEO of Masdar, said, “We thank our lenders and partners for enabling us to reach this significant milestone in the development of the Ibri III project, which highlights Masdar’s commitment to helping Oman achieve its energy transformation goals. We see great potential for battery energy storage to expand renewable energy deployment and look forward to leveraging our expertise in BESS and other advanced technologies to deliver clean, secure power for the Sultanate.”

The power purchase agreement (PPA) for Ibri III was signed in September. The project scope includes design, construction, ownership, financing, operation, and maintenance of both the solar plant and the battery storage system.

This milestone reinforces Oman’s push towards renewable energy adoption and demonstrates the growing role of solar-plus-storage solutions in the Middle East’s energy transition.