PetroChina to arrange offtake from Oracle's Pakistani green H2 hub

Oracle Power PLC (LON:ORCP) and a Dubai-based unit of PetroChina International Ltd will establish a cooperation focused on the offtake of green hydrogen from the former's 400-MW project in Sindh, south-east Pakistan.

Under the terms of a newly-signed Memorandum of Understanding (MoU), oil trader PetroChina International (Middle East) Co Ltd (PCME) will help Oracle commercialise the project. PCME has agreed to arrange offtake for the green hydrogen as well as for the trade of the associated carbon credits.

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The PetroChina subsidiary will have the right of first refusal (ROFR) to sign a long-term or spot cargo deal to buy a portion or the entire 55,000-tonne green hydrogen output and carbon credits. The cooperation is non-binding and will last for five years, with an option to be extended.

Oracle’s plan envisages the installation of a 400-MW electrolyser in Thatta, as well as up to 700 MW of solar and 500 MW of wind power plus battery storage. The green hydrogen plant is expected to begin operations in the final quarter of 2026. A 30-year land lease deal was signed with the Government of Sindh for a 7,000-acre (2,833-ha) site in November 2022.

In February, Oracle unveiled a MoU with aluminium producer Emirates Global Aluminium PJSC (EGA) for the potential offtake of about 50,000 tonnes of green hydrogen from the complex.