Strategic entry to Gulf renewables
Shanxi Installation Group Co., Ltd. (stock code 02520.HK), a Hong Kong-listed Chinese engineering firm, signed the EPC general contracting deal on 14 July 2026, according to the company’s Hong Kong stock exchange announcement, for the Al Kamil Phase I 500MW photovoltaic project. The contract is valued at about RMB 1.5 billion, or roughly US$222 million.
The project sits in the Al Kamil Wal Wafi area of Oman, approximately 230 kilometres from Muscat International Airport and about 440 kilometres from Sohar Port. This siting links the utility-scale plant to established logistics and export infrastructure, while anchoring new capacity close to the national grid.
Al Kamil I is being developed by a consortium led by EDF Power Solution SA, a subsidiary of France’s EDF Group, together with Omani partners Oman National Engineering & Investment Company (ONEIC) and OQ Alternative Energy (OQAE), with Oman Power and Water Procurement Company (OPWP) acting as the power purchaser. OPWP’s role as the state-linked power purchaser (offtaker) under long-term contract underpins long-term revenue visibility. It fits with Oman’s wider programme to expand renewable power generation and diversify its fuel mix.
For Shanxi, the award is described in company disclosures as its first major project implemented in the Middle East new energy market. This signals a strategic breakthrough in the region’s new energy market. The firm has been building an international portfolio in solar, wind and storage, and now adds Oman to a footprint that already spans Asia, Africa and other emerging markets.
Full-scope EPC and O&M mandate
The Oman solar EPC contract gives Shanxi a broad technical and operational role across the project lifecycle. The scope covers design, manufacturing, procurement, supply, factory testing, transportation, installation and construction of the solar PV facility, as well as grid connection to the high-voltage substation, followed by testing and commissioning. The contract also explicitly includes two and a half years of operations and maintenance services after the plant enters service. That extended O&M remit deepens its integration into the asset’s performance. It also creates scope for longer-term technical collaboration with EDF and OPWP.
On completion, the 500MW Al Kamil I Solar IPP is expected to supply clean electricity into Oman’s national grid. It supports the sultanate’s drive to increase renewable energy capacity. The project forms part of a growing pipeline of utility-scale solar developments backed by government-linked offtake. This positions Oman as an emerging Gulf market for grid-connected renewables.
For investors, the mandate illustrates how Chinese contractors are using Oman solar EPC awards and similar Gulf projects to expand under the Belt and Road framework into higher-value clean energy infrastructure. As Shanxi moves from tender wins to execution with EDF Power Solution SA and OPWP, institutional capital will track delivery performance, the evolution of Oman’s renewables procurement and follow-on opportunities in large-scale PV and storage across the region.
