PDO’s ICV generates over $4.3 billion impact

JOMAR MENDOZA

MUSCAT: Petroleum Development Oman (PDO), the country's largest oil and gas producer, has reaffirmed its role as one of the key drivers of Oman’s economic diversification, with its In-Country Value (ICV) initiatives delivering an estimated $4.3 billion in economic impact to date.

According to PDO, the company’s ICV programme has become a cornerstone of national industrial growth, helping strengthen domestic supply chains, boost employment and expand local manufacturing capabilities in alignment with Oman Vision 2040.

Since the inception of its ICV framework, PDO has implemented seven major national projects designed to retain value within the Sultanate of Oman and reduce dependence on imports. These projects have played a vital role in developing local industries, enhancing workforce skills and promoting entrepreneurship across the energy ecosystem.

The ICV strategy, PDO noted, has led to the establishment of 83 manufacturing facilities in Oman, helping to expand the country’s industrial base. Around 42 per cent of PDO’s total supply chain spending is now retained locally, while 14 per cent of contracts are awarded to small and medium enterprises (SMEs) and Local Community Contractors (LCCs). Collectively, these initiatives have created more than 17,500 job opportunities for Omani nationals across various sectors.

PDO’s latest ICV partnerships further underscore this commitment. The company recently signed two key contracts aimed at reinforcing Oman’s industrial base — a five-year agreement with Oman Cables Industry for the local supply of high-voltage and instrumentation cables and an extended partnership with Flowline Valves LLC, a subsidiary of Technofit Trading LLC, for the local manufacture of ball valves.

Under these agreements, Omanisation levels are set to increase, with Oman Cables Industry expected to add eight new Omani employees and Flowline Valves expanding its national workforce from 22 to 55 employees. Both partnerships are designed to accelerate local production and raise the competitiveness of Omani-made products in regional markets.

PDO’s ICV Development Manager, Saoud al Jabri, said the company’s achievements reflect a deep-rooted commitment to national value creation. “Our ICV journey is a national mission. Every contract awarded, every job created and every factory established represents a step towards achieving Oman Vision 2040 and building a diversified, competitive and self-reliant economy”, he said.

To ensure sustainable impact, PDO continues to collaborate with key institutions such as the Ministry of Labour and the Oman Energy Association (OPAL) to deliver workforce training and development programmes for Omani engineers and technicians. It has also launched 15 Vendor Development Programmes to help local companies meet international quality and performance standards.

Looking ahead, PDO said its next phase of ICV transformation will focus on strengthening governance, enhancing collaboration and improving supply chain resilience. A new transparent framework will align with shareholder expectations and national priorities while supporting public-private partnerships to bolster Oman’s competitiveness in global energy markets.

Through these efforts, PDO’s ICV programme continues to demonstrate how targeted investment and local empowerment can generate lasting value for Oman’s economy and its people.