Oman Secures $900M for Middle East's Largest Solar Factory

A solar manufacturing breakthrough is taking shape in Oman, and it could reshape how the world gets its clean energy materials.

United Solar Holding has secured more than $900 million in financing to complete its groundbreaking polysilicon factory in Oman's Sohar Freezone. The $1.6 billion facility will be the largest of its kind in the Middle East, capable of supporting production for up to 40 gigawatts of solar panels annually once it reaches full capacity.

That's enough solar power potential to meet the electricity needs of roughly 12 million homes. The factory is scheduled to begin operations in the first quarter of this year.

The financing package includes $480 million from the International Finance Corporation and its partners, plus over $400 million from local banks. Future Fund Oman, an investment arm of the Oman Investment Authority, increased its stake from $156 million to around $260 million, showing strong confidence in the project's impact.

The 100,000 metric ton facility will produce fully traceable polysilicon that meets leading international standards, including strict U.S. requirements. This matters because polysilicon is the essential raw material for solar panels, and right now, production is heavily concentrated in one country.

The Ripple Effect

This factory represents more than just manufacturing capacity. It's a strategic move to diversify the global solar supply chain, which currently relies overwhelmingly on Chinese production.

For Oman, the project marks a significant step in economic diversification beyond oil and gas. The facility will create jobs, build industrial expertise, and position the country as a key player in the renewable energy supply chain.

For the world, it means more options. Solar manufacturers will have access to high quality, traceable materials from a new source, potentially making solar projects more resilient and easier to finance globally.

"We are building the infrastructure needed to strengthen the global solar supply chain," said United Solar Founder and Chairman Sam Zhang. The goal is ensuring manufacturers have reliable access to materials that meet the world's most rigorous standards.

The International Finance Corporation emphasized its commitment to strengthening Oman's export capacity while supporting global clean energy growth. The project will significantly expand polysilicon exports and contribute to worldwide renewable energy production.

As solar energy continues its rapid expansion worldwide, having multiple sources of quality materials makes the entire industry stronger and more sustainable.