Oman Oil & Orpic Group, an energy powerhouse resulting from the recent integration of Oman Oil Company and Orpic, seeks to ramp up the market capitalisation of its combined assets to $30 billion by the year 2030, up from around $16 billion presently.
The ambitious target, according to a senior official of the Group, is part of a slew of “aspirations and objectives” set by the newly integrated Group in line with a strategy to deliver sustainability and business excellence.
Ahmed al Jahdhamy, CEO — Downstream, said the Group also plans to start paying dividends to its shareholder — the Omani government represented by the Ministry of Finance — of a minimum of $1 billion per year with effect from 2029.
“We want to increase the actual value of our business,” said Al Jahdhamy. “The government has so far invested around $8 billion in our Group, and we have managed to double this value to around $16 billion presently. Our goal now is to more than double this value to $30 billion by 2030 in terms of market capitalisation.”
The official made the revelations at the Annual Media Briefing hosted by the Ministry of Oil and Gas yesterday. Also making presentations on different facets of the integration, and the underlying objectives, were Musab al Mahrouqi, Group CEO, Dr Salim al Huthaili, CEO — Duqm Refinery and Petrochemical Industries Company (DRPIC), and Talal al Aufi, Chief Commercial Officer — Oman Oil & Orpic Group. Also as part of its growth ambitions, the Group plans to increase the volume of hydrocarbons managed by its subsidiary entities and joint venture partners to 1 million barrels of oil equivalent per day (boepd), up from around 750,000 boepd. “The key thing for us is to add value to these volumes by increasing the added value to the processed crude by $25 per barrel (up from $15 per barrel presently) with a lot of this effort focused downstream, and as we go further into petchem and specialty chemicals. Customers will be at the focus of our strategy going forward,” Al Jahdhamy said.
Another key goal is to enhance the Group’s contribution to the country’s Gross Domestic Product (GDP), said the official “We hope to create value by supporting GDP growth. Our goal is to double our contribution to the GDP.
Today, we contribute around $8 billion in value; we want to more than double this to $20 billion by 2030. Our goal is to continue to partner with international and local private sector organisations to enhance the value, but also to create more opportunities within Oman,” he added.
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