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$403M Ibri 3 Solar Project Construction: Oman Awards EPC Contract to Chinese CPECC for 500MW Plant

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Ibri 3 Solar Project

Ibri 3 Solar Project Construction has reached a major milestone after Oman confirmed the appointment of a Chinese engineering contractor for the 500MW independent power project (IPP). The estimated $403 million development will strengthen the sultanate’s renewable energy pipeline while introducing its first utility-scale battery energy storage system.

The project will rise in Ibri, Al Dhahirah Governorate, beside the operational Ibri 2 solar plant. Moreover, the award advances Oman Vision 2040 and supports national targets to increase renewable electricity generation over the coming decades.

China Power Engineering Consulting Group (CPECC) secured the engineering, procurement and construction (EPC) contract for the project. Meanwhile, a consortium led by Abu Dhabi Future Energy Company (Masdar) will develop the scheme alongside Korea Midland Power (KOMIPO), Al Khadra Partners and OQ Alternative Energy.

The 500MW photovoltaic facility will also incorporate a 100MWh battery energy storage system. Consequently, it will become Oman’s first utility-scale solar plant integrated with battery storage. Developers expect commercial operations to begin during the first quarter of 2027.

Ibri 3 Solar Project Construction strengthens Oman renewable capacity

The Ibri 3 development occupies a 10 million-square-meter site adjacent to the existing Ibri 2 solar IPP. Therefore, developers can leverage established grid infrastructure while expanding renewable electricity production in western Oman.

Nama Power and Water Procurement Company (Nama PWP) signed the power purchase agreement with the Masdar-led consortium in September 2025. The agreement followed a competitive tender involving several international renewable energy developers.

Furthermore, the project supports Oman’s strategy to generate 30% of its electricity from renewable sources by 2030. The government also plans to increase renewable generation to between 60% and 70% by 2040 before ultimately reaching full clean electricity production by 2050.

The battery storage system will improve grid stability by storing excess daytime solar generation for later use. As a result, the plant will deliver more reliable renewable electricity while helping balance power demand across the national network.

Developers expect the completed facility to supply enough electricity for approximately 33,000 homes. In addition, the project should prevent roughly 505,000 tonnes of carbon dioxide emissions annually, reinforcing Oman’s decarbonisation agenda.

Ibri 3 Solar Project Construction supports wider energy transition

Ibri 3 represents Oman’s fourth large-scale solar IPP and follows the successful commissioning of the Manah 1 and Manah 2 solar projects. Together, these developments continue transforming the country’s electricity mix through utility-scale renewable infrastructure.

Meanwhile, Nama PWP continues expanding its renewable energy program through additional solar and wind projects across the country. Current plans target approximately 8GW of renewable energy capacity by 2030, including around 4.5GW of solar generation and 1GW of wind capacity.

The appointment of an experienced Chinese EPC contractor also reflects the growing international competition for major Middle Eastern renewable energy contracts. Chinese engineering companies continue securing utility-scale projects through integrated engineering expertise and large-scale delivery capabilities.

For Oman, the Ibri 3 project delivers more than additional generating capacity. It introduces battery storage at utility scale while strengthening energy security and reducing dependence on conventional power generation. Consequently, the project marks another significant step towards achieving the country’s long-term clean energy ambitions.

Oman’s renewable energy programme is expanding beyond utility-scale power generation into other strategic infrastructure. The appointment of the contractor for the Ibri 3 solar project complements initiatives such as the Sharqiyah desalination plants solar power facility, which integrates clean energy with water production. Together, the projects demonstrate the country’s broader commitment to decarbonising critical infrastructure while advancing its long-term energy transition goals.

Ibri 3 Solar Project

Project fact sheet

Name: Ibri 3 Solar Independent Power Project (IPP)

Type: Utility-scale solar photovoltaic plant with battery energy storage

Location: Wilayat of Ibri, Al Dhahirah Governorate, Oman

Estimated project value: $403 million (RO155 million)

Generating capacity: 500MW

Battery capacity: 100MWh

Site area: Approximately 10 million square metres

Power offtaker: Nama Power & Water Procurement Company (Nama PWP)

Commercial operation target: First quarter of 2027

Expected households served: Around 33,000

Estimated annual CO₂ emissions avoided: Approximately 505,000 tonnes

Strategic importance: Oman’s first utility-scale solar project with integrated battery storage

National objective: Supports Oman Vision 2040 and renewable electricity targets

Project team

Project owner/offtaker: Nama Power & Water Procurement Company (Nama PWP)

Developer consortium leader: Masdar (Abu Dhabi Future Energy Company)

Development partner:

  • Korea Midland Power (KOMIPO)
  • Al Khadra Partners
  • OQ Alternative Energy

EPC contractor: China Power Engineering Consulting Group (CPECC)

Power purchase agreement: Nama PWP and Masdar-led consortium

Host government authority: Ministry of Energy and Minerals, Sultanate of Oman

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