MUSCAT: OQ Base Industries (OQBI) — a subsidiary of Omani-owned integrated energy group OQ — has emerged as a key player underpinning Oman’s non-oil export growth, with methanol and ammonia products leading a strong first half of 2025.
The state-backed petrochemical producer reported revenue of RO 112.4 million for the six months to June, up 7.7% from the year earlier. Methanol sales surged by 46% to add RO 3.7 million, while ammonia grew by 38% to contribute RO 3.1 million. Together, the two commodities accounted for the bulk of OQBI’s revenue gains.
Plant performance exceeded expectations, with utilisation running at 103% for methanol and 104% for ammonia, supported by average availability of 99.3%. This enabled total production of 780,460 metric tonnes, up 3.9% from last year and above internal business plan targets.
“These figures show that Oman’s industrial exports are increasingly anchored in methanol and ammonia, reinforcing their importance to the national economy beyond oil and gas”, said an analyst reviewing the results.
While net profit rose sharply to RO 23.4 million, much of the financial upside was supported by operational efficiency and loan refinancing. Yet the underlying story, observers say, is the quiet role of these two products in strengthening Oman’s balance of trade and non-oil diversification goals under Oman Vision 2040.
Publicly-listed OQBI, the only integrated producer of methanol, ammonia and LPG in the Sultanate of Oman, also reported a 16% rise in LPG revenue, aided by higher sales from carry-over inventory. With global demand for ammonia in fertilisers and methanol in clean fuels and chemicals continuing to grow, Oman’s petrochemical exports are expected to sustain momentum into the second half of the year.
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