GlassPoint Solar, a leader in solar enhanced oil recovery (EOR), has announced a $53 million equity investment from the State General Reserve Fund (SGRF), the largest sovereign wealth fund of Oman, Royal Dutch Shell (Shell) and the firm’s existing investors.

The funding will be used to accelerate the deployment of GlassPoint’s solar steam generators, which can reduce an oilfield’s natural gas consumption by up to 80 per cent, said a statement.

Rod MacGregor, president and chief executive officer, GlassPoint, said: “Solar-powered oil production will save valuable gas resources that can be used to establish new industries and create new jobs for Omanis. The support from Oman’s largest sovereign wealth fund and Shell’s corporate venture arm, Shell Technology Ventures, validates solar enhanced oil recovery (EOR) and its role in driving economic growth.

“This strategic investment reinforces GlassPoint’s partnership with Oman and brings tremendous value as we look to develop a world-class solar manufacturing capability and local supply chain in the Sultanate.”

Abdulsalam Al Murshidi, executive president of SGRF, said: “GlassPoint’s technology can provide a multitude of tangible economic benefits to Oman and any country with abundant sunshine and a scarcity of alternative fuel for thermal EOR. By diverting natural gas from oil production to power new industries, we believe this investment will have profound implications on the economy beyond the direct impact it brings to the oil and gas sector.”

Geert van de Wouw, managing director of Shell Technology Ventures, said: “GlassPoint’s solar steam generators are a truly innovative response to the challenge society faces to deliver energy in a sustainable way to meet rising demand. Together with Petroleum Development Oman (PDO), we are pleased to support technology innovation while bringing tangible benefits to Oman, a country with which we have an 80-year partnership.”

Unlike solar panels that generate electricity, GlassPoint’s enclosed trough technology uses large, curved mirrors to concentrate sunlight on a boiler tube containing water. The concentrated energy boils the water to produce high-pressured steam, which is injected into an oil reservoir to heat heavy oil and boost production.

GlassPoint encloses the system inside a glasshouse structure to protect the solar collectors from the wind, sand and dust common in Middle Eastern oilfields. An automated washing system cleans the glasshouse to maintain performance in the dusty desert environment and reduce operation and maintenance costs.

Its existing investors who took part in the funding included Chrysalix Energy Venture Capital, Nth Power and RockPort Capital.

The firm has also welcomed Hisham Al-Sheedi and Peter de Wit to its board of directors, with this investment. Al-Sheedi, deputy investment manager, will represent SGRF and Wit is a Shell nominated independent director. - TradeArabia News Service