OQ advances studies on slate of major Oman projects

MUSCAT: Having invested in excess of $20 billion in an array of strategically vital projects across Oman’s energy value chain, OQ — the Sultanate of Oman’s integrated energy group — is advancing the development of a new set of equally landmark initiatives designed to optimise value creation from the country’s hydrocarbon resources.
OQ Group CEO Ashraf bin Hamed al Maamari said the proposed projects represent “strategic priorities” to support the next phase of the wholly state-owned group’s growth.
“OQ’s strategic priorities focus on activating its growth strategy and delivering targeted financial returns through the development of new projects, expansion initiatives and the acquisition of new assets”, Al Maamari said.
“OQ is currently conducting detailed studies on several new projects in preparation for final investment decisions. Among the most prominent are the Oman Petrochemical Complex, the Natural Gas Liquids Extraction Project, the Nahada–Ras Markaz Oil Pipeline, as well as the Ras Markaz Crude Oil Storage Terminal”, he stated in an interview featured in the latest edition of ‘Enjaz & Eejaz’, the quarterly newsletter of the Oman Investment Authority (OIA).
Earlier this year, OQ Group issued a FEED tender for the Saih Nihayda NGL extraction plant, a key component of an integrated value chain linking upstream gas extraction with processing, fractionation, storage and export infrastructure at Duqm. The project includes a 230-km pipeline and a downstream fractionation complex to produce ethane, propane, butane and condensates for domestic and regional markets. With a planned capacity of up to 48 million cubic metres per day, the facility will supply critical feedstock — particularly ethane — for the proposed Oman Petrochemicals Complex, strengthening Oman’s gas value chain, supporting industrial growth and enhancing value realisation from natural gas resources.
Separately, OQ is studying a proposed pipeline to serve as a critical midstream link connecting Oman’s Main Oil Line at Nahada in central Oman to the Ras Markaz storage hub near Al Duqm. Estimated at roughly 360–440 km in length, the pipeline would effectively create a second crude export route for Oman, bypassing traditional terminals and enhancing flexibility in crude logistics. It would also enable blending and direct delivery of crude to Ras Markaz for storage and export, reinforcing Duqm’s emergence as a strategic energy corridor.
The new portfolio of investments, alongside those planned in solar, wind and green hydrogen, will have transformational benefits for the national economy, the Group CEO noted.
“These projects are expected to accelerate economic growth through multiple pathways, most notably by creating direct and indirect employment opportunities, stimulating supply chains and supporting services; and enhancing the competitiveness of the national logistics ecosystem and related sectors such as ports and aviation. They will also support the continued development of Duqm and its surrounding industrial zone”, he stated.
OQ’s portfolio features a range of major strategic assets, including the Liwa Plastics Industries Complex (now the OQ Polymer Complex), the Duqm Refinery, LPG and ammonia plants in Salalah, as well as infrastructure entities such as Oman Tank Terminal Company (OTTCO) and Marafiq. Together, these developments represent investments exceeding RO 7.7 billion (around $20 billion).