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READERPOLL
The Khazzan
Whats and Makarem
the mood gas Big
like at The elds
5 project is one of the biggest in Oman. Credit: bejim / freedigitalphotos.net
construction show in Dubai?

Upbeat: There are lots of deals on

Despitethedeclineinglobaloilprices,Omanisntplanningtocutspendingon
the table
infrastructureprojects,especiallyonthoseseenasvitaltoeconomic
Good: Business is brisk
No change: Its about the same as
diversification.Hereare10ofthetopinfrastructureprojectsinthepipeline.
last year
Slow: Theres a gloomy outlook for
2016
IN PICTURES
1.KHAZZAN&MAKAREMGASFIELDSDEVELOPMENT
SUBMIT View Poll Result
Owner:MinistryofOil&Gas
Budget:$16bn
Progress:EPCcontracts
BPisdevelopingtightgasreservoirsinBlock61andtheKhazzanandMakarem
gasfieldsthatcoveranareaofsome2,800sqkm.TheKhazzanProjecthasthe In pictures: ME Consultant Awards
winners
potentialtodeliverupto30%ofOmansgassupplyin2020.Theformal Dubai

agreementbetweenOmanandBPforthedevelopmentoftheprojectwasratified In pictures: Big Project ME

Awards winners
inFebruary2014.BPplanstodrillaround300wellsover15yearstodeliver Dubai

plateauproductionof28.3Mcm/dofgasand25,000bpdofgascondensate.So In pictures: Big Project ME

Awards night
far,thecompanyhasawarded$4bnworthofcontracts,includinga$1.2bn Dubai
engineering,procurementandconstruction(EPC)contractforbuildingthe
centralprocessingfacility(CPF),andtwolongtermdrillingcontractstotalling
$730m.

2.OMANNATIONALRAILWAYPROJECT
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12/15/2015 Top10Omaninfrastructureprojects

Owner:OmanRailway
Company(ORC)
Budget:$15.5bn
Progress:EPCstage
Omansnationalrailwaynetworkcomprises2,244kmoftrackwith35kmof
tunnels,40kmofbridges,50terminalsandeightmarshallingyards.The
network,whichwillconnecttheportsofSohar,DuqmandSalalah,willcomprise
adoublenonelectrifiedtrackcarryingbothfreight(120km/hmaxspeed)and
passenger(220km/hmaxspeed)traffic.ThreeconsortiaKoreaRailNetwork
Authority(KRNA),TcnicasReunidasandParsonsInternationalhavebeen
shortlistedfortheProjectManagementConsultancy(PMC)contract,whichhas
yettobeawarded.ORCsEPCtenderforthe207kmPhase1stretchbetween
SoharandBuraimihasattracted18bidders.Theconstructioncontractis
expectedtobeawardedbymid2015.

3.BATINAHEXPRESSWAYCONSTRUCTIONPROJECT
Owner:MinistryofTransport&Communications
Budget:$3.9bn
Progress:Workunderway
OneofthebiggestroadprojectsinOman,theBatinahExpresswaywillactasan
extensionoftheMuscatExpresswayandrunfor265kmtotheOmanUAE
border.Tobecompleteby2018,theexpresswaywillhavefourlanesoneach
side,with75interchangesandtunnels.Thefirst11packages,includingsixmain
packages,havealreadybeenfloatedandareundervariousstagesofplanning
andconstruction.WorkhasstartedonPackages2,3and4,whilecontractsare
beingfinalisedforPackages6,7,8,9,10and11.ParsonsInternationaland
TurkeysBosphorousTechnicalConsultingCorporation(BOTEK)rendered
consultancyservicesfortheproject.

4.LIWAPLASTICSPROJECT
Owner:OmanOilRefineriesandPetroleumIndustriesCompany(ORPIC)
Budget:$3.6bn
Progress:RFQstage2
TheLiwaPlasticsplantwillbethecountrysfirststeamcracker,allowingitto
producearangeofproductsandprovidingseveralopportunitiesfordownstream
industries.Theclienthascompletedthefirstofthetwostageprequalification
processforthefourEPCpackagesan859KTAsteamcracker,880KTApolymer
units,anaturalgasliquids(NGL)extractionunitanda300kmlongNGL
pipeline.AccordingtoMuscatDaily,theInvitationtoTender(ITT)willalsobe
issuedintwostages.ThefirststageisplannedtostartattheendofJanuary
2015,withthebasicdesignengineeringpackageinformationandtheconditions
ofcontractissuedtothebidders.Thesecondstageisscheduledfortheendof
March2015,oncetheFEEDisfinalised.

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12/15/2015 Top10Omaninfrastructureprojects

5.SOHARREFINERYIMPROVEMENTPROJECT
Owner:ORPIC
Budget:$2.1bn
Progress:constructionunderway
SRIPaimstoovercometheexistingtechnicalconstraintsresultingfromthe
changeinthequalityoftheOmanExportBlend(OEB)andmeettheincreasing
demandforrefinedproducts.SoharRefinerywilladd82,000bpdtoitsexisting
capacityof116,000bpd,takingthetotalcapacityto198,000bpd.Theground
breakingfortheprojectwasdoneinJune2014.AjointventureofPetrofacand
DaelimwasawardedtheEPCcontractinNovember2013.Recentdevelopments
includetheappointmentofTrowers&Hamlinsaslegalcounseltoadvisethe
consortiumof21localandinternationalfinancialinstitutionsfundingthe
project.InNovember2014,MajisServiceswasawardedacontractforlongterm
supplyofcoolingseawatertotheproject.

6.DUQMOILREFINERYDEVELOPMENTPROJECTPHASE1
Owner:OmanOilCompany
Budget:$6bn
Progress:ExpressionofInterest(EoI)stage
TheprojectisbeingdevelopedbyDuqmRefineryandPetrochemicalIndustries
Company(DRPIC),a50:50jointventureofOmanOilCompanyandAbuDhabis
InternationalPetroleumInvestmentCompany(IPIC).InMarch,FosterWheeler
wasawardedtheFrontEndEngineeringDesign(FEED)contractforproject.
Thefirstphasewillseethedevelopmentofa230,000bpdgrassrootsmerchant
exportrefinerywithintheDuqmSpecialEconomicZone(SEZ).Designedasa
fullconversionrefinery,theplantwillusedelayedcokingtechnologyforbottom
ofthebarrelprocessing.Thesecondphaseisbeingplannedasanassociated
petrochemicalcomplex.

7.BIDBIDSURDUALCARRIAGEWAYPROJECT
Owner:MinistryofTransport&Communications
Budget:$1.1bn
Progress:Underconstruction
TheprojectconnectsthecitiesofBidbidandSurwitha247km,sixlanehighway,
andalsoincludesthebuildingofnineinterchanges,twounderpasses,two
overpasses,associatedretainingwallstructuresandabout171reinforced
concreteculverts.InFebruary2011,ajointventureofItalysAstaldiandTurkeys
OzkarInsaatwasawardedthe$325.2mPhase1A,whileaJVofUAEsHabtoor
LeightonandTurkeysSTFAwasawardedthe$300mPhase1B.Phase2was
awardedinFebruary2014,withthe$251mPhase2AgoingtoL&TOmanand
localKASConstructionbaggingthe$233mPhase2B.InAugust2014,Hill
InternationalwasawardedtheProjectManagementServicescontract.

8.PTA&PETCOMPLEXPROJECTSOHARPORT
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12/15/2015 Top10Omaninfrastructureprojects

Owner:OmanOilCompany
Budget:$600m
Progress:EPCawardin2015
TheprojectinvolvesanEPCcontracttobuildaPurifiedTerephthalicAcid(PTA)
plantwithcapacityof1.1MTPAandaPolyethyleneTerephthalate(PET)plant
withcapacityof500,000TPA.InDecember2012,theclientsignedaJoint
DevelopmentAgreementwithSouthKoreasLGInternational(LGI)to
implementthescheme.TheJVcompanyisowned70%bytheclientand30%by
LGI.Initiallyputonholdin2013,theprojectwasrevivedinMarchlastyearwith
theawardoftheprojectmanagementcontracttoWorleyParsonstooverseethe
EPCphase.InOctober2014,itwasannouncedthattheFEEDwasalmost
completeandtheclientwasplanningtotendertheEPCcontractatthebeginning
of2015.Lastmonth,SOHARPortandFreezonesignedadealwithOMPETtoset
upa0.25TPAPETfacility.

9.SURSTEELPLANTPROJECT
Owner:SunMetalCasting
Budget:$400m
Progress:Constructionunderway
Theprojectinvolvessettingupanintegratedsteelmillwithcapacityof2.5mt/y
ofliquidsteel,whichwillbeconvertedintofinishedsaleableproductssuchas
TMTrebars,lowalloyrounds,carbonconstructionandlowalloysections,and
stainlesssteelseamlesspipes.SouthKoreasPoscoEngineeringand
Constructionwillundertaketheprojectplanning,engineering,procurement,
constructionandoperationandmaintenanceoftheplant.JapansSojitz
Corporationhasbeenappointedasrawmaterialsupplierandfinishedproduct
offtaker.Sojitzwillalsosupplytheplantequipment.Mostofthesteelproducts
areforthedomesticmarketandthelargerGulfregion.Whenoperational,
tentativelyin2017,itwillbethefirstnonpetroleumbasedindustrialinvestment
inSurIndustrialEstate.

10.MUSCATSOHARPRODUCTPIPELINE
Owner:ORPIC
Budget:$300m
Progress:EPCstage
Theprojectinvolvesbuildinganew280kmproductpipelinetoconnect
refineriesinSoharandMuscat.LastmonthsawthesigningoftheEPCcontract
fortheprojectbetweenOrpicLogisticsCompany(OLC)ajointventure
betweenORPICandSpainsCompaaLogsticadeHidrocarburos(CLH)and
theconsortiumofOmansGulfPetrochemicalServices(GPS)andSpains
AbantiaandDiseprosa.Thefinancingagreement,whichwillcover70%ofthe
projectvalue,hasbeengiventoAhliBankandAhliUnitedBank(AUB).The
constructionofthepipelineandoiltanksfacilitywillstartinthefirstquarterof
2015,andtheprojectisduetobecommissionedinthesecondquarterof2017.
ThepipelineisexpectedtoreduceheavyfueltanktrucktrafficinMuscatby

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12/15/2015 Top10Omaninfrastructureprojects

70%.

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