MUSCAT: Investments by Oman’s integrated global energy group OQ and its joint venture partners in Duqm Special Economic Zone amount to over $10 billion, underscoring the government’s efforts to drive economic diversification and attract foreign direct investments.
Benefiting from these investments are the Duqm Refinery (a joint project of OQ and Kuwait Petroleum International), Marafiq (a partnership with Thailand‘s Gulf Energy Development), the Ras Markaz Crude Oil Storage and Export Hub (100 per cent OQ owned), and the Fahud – Duqm gas supply project.
Hilal bin Ali al Kharusi, CEO of Commercial Affairs, Refineries and Petrochemicals at OQ, said: “These investments reflect the government’s plans to expand economic diversification policies in accordance with the “Oman 2040” vision, which aims to optimally exploit natural potential and promote sustainable development. These investments represent a qualitative leap for the industrial sector. Specifically, the manufacturing industries. All projects were successful, their construction stages were completed, and they entered into operations, production, and exports outside the Sultanate of Oman“.
In a statement to ONA, he added: “The economic projects in Duqm – thanks to its proximity to international shipping routes – facilitate access to global markets, contribute to enhancing economic growth, attracting investments and facilitating trade exchange, pointing out that the projects of OQ and its partners reflect the desire to diversify sources of income and increase Exports, and providing means of storage and distinguished services. These projects also work to add value to oil production and expand investment opportunities in the Duqm Economic Zone for the coming periods.”
Approaching commercial launch is Duqm Refinery, trial operation of which is now in an advanced stage, Al Kharusi said. The first shipments of high-quality diesel have been exported in accordance with international specifications. The refinery is designed to process 230,000 barrels of crude oil per day. This doubles the production and export capabilities of the Sultanate of Oman as one of the leading powers in the field of energy.
The Ras Markaz project, built by Oman Tank Terminal Company (OTTCO), leverages Duqm’s proximity to Asian and African markets. The terminal project has so far received 10 shipments of crude oil since its start of operation in January 2023 to secure the needs of the Duqm Refinery after linking the refinery to Ras Markaz via an 80-kilometre pipeline. Eight huge tanks have been built at Ras Markaz for storing crude oil for the refinery. The project aims to store and blend all types of crude oil in large quantities. With its infrastructure capable of meeting the needs of local and global markets, the company will increase its absorptive capacity according to growing demand from investors.
Commenting on Marafiq, Hilal al Kharusi said the company provides infrastructure and services, such as: electricity, water and wastewater treatment in the Duqm SEZ. A power and water project now offers 326 MW of power capacity and 36,000 m3 of desalination capacity.
OQ’s investments in the Duqm SEZ include a gas supply station to support future investments in the zone. A 221-kilometre pipeline from Fahud supplies 25 million m3/day of gas. (ONA)
Source: ONA
Date: 14 Oct 2023
