The Oman Future Fund (FFO), under Oman's sovereign wealth fund, has decided to invest 60 million Omani Riyals (USD 156 million) in United Solar Polysilicon (SPC) for the construction of a polysilicon plant in the Sohar Free Trade Zone, located between Dubai and Muscat, the capital of Oman.

The plant covers an area of 160,000 square meters and is expected to have a total investment of USD 1.35 billion (approximately RMB 9.4 billion), with an annual production capacity of 100,000 tons of high-purity polysilicon. The plant is scheduled to begin operations next year, following the groundbreaking ceremony held in March.

The establishment of this 100,000-ton polysilicon plant in Oman marks a significant expansion of China's photovoltaic (PV) manufacturing presence in the Middle East. It also introduces a new financing model, leveraging local Middle Eastern capital. United Solar Polysilicon is a China-backed company, founded by Mr. Zhang Longgen, who previously served as a key executive at two major PV giants, JinkoSolar and Daqo New Energy.

The investment fund supporting the project is part of Oman's sovereign wealth fund, which differs from private wealth. Sovereign wealth funds are public assets controlled by governments, usually accumulated through taxes or budget allocations and held in foreign currencies.

As global trade dynamics shift, Chinese PV companies are undergoing a wave of overseas capacity relocation, with the Middle East emerging as a key destination. Recently, Junda Co. announced a USD 280 million investment plan to build a 5 GW high-efficiency solar cell factory in Oman's Sohar Free Trade Zone. Another Chinese company, Qineng Solar, is entering Oman's PV industry through a joint venture, planning to build an 8 GW advanced PV module and 2 GW solar cell facility in the Sohar Free Trade Zone, with products covering TOPCON and HJT technologies.

Source：BJX Solar