A major petrochemicals complex being developed by Oman Oil Duqm Development Company at the Duqm Special Economic Zone (SEZ) will feature 10 large-scale plants involving several billion of dollars in investment, a report said.
The company provided an overview of the scope and strategic nature of this initiative at the 2nd Oman Downstream Exhibition & Conference (ODEC) which opened at the new Oman Convention & Exhibition Centre in Muscat, said the Oman Daily Observer report.
Hilal Al Kharusi, executive managing director, was quoted by the report as saying the dedicated zone earmarked for the development will host 10 plants producing over 20 products.
The products will range from commodities to specialty products and pave the way for more than 30 chemical processing downstream businesses.
The centrepiece of the ambitious development is the Duqm Refinery, a greenfield refinery. Oman Oil Company (OOC) and Kuwait Petroleum Corporation are the 50:50 equity joint venture partners in the estimated $6 billion venture.
A formal partnership agreement will be signed in Muscat for the project on April 10.
Once the refinery is completed, it will have the capacity to process around 230,000 barrels of crude oil per day. Diesel, jet fuel, naphtha and LPG are to be its primary products.
Duqm Refinery has completed its 900 hectares site preparation work and received the final technical submissions from bidders for EPC packages one and two, which are the process units package and the utilities and offsites package, respectively.
The technical evaluation is now completed and bidders have been invited to submit their commercial bids. Invitation to tender has been sent to prequalified bidders for EPC package 3 (offsite facilities) consisting of the product storage and export terminal in Duqm, crude storage tanks in Ras Markaz, and the 80 km crude pipeline from Ras Markaz to the refinery complex.
Duqm Refinery will be one of the growth engines for the special economic zone. It will provide development opportunities for new projects that will directly and indirectly interface with the refinery. These projects will look to benefit from the refinery’s products as well as provide different logistic services to the refinery.