OQBI posts RO 43.3m H1 profit as revenue surges

MUSCAT, AUGUST 17

OQ Base Industries (SFZ) SAOG (OQBI), a majority Omani state-owned company, reported a sharp improvement in financial performance for the six months ended June 30, 2026, with consolidated net profit rising to RO 43.3 million, compared with RO25.8 million in the corresponding period of 2025, an increase of around 68 per cent. The Sultanate of Oman’s only integrated producer of methanol, ammonia and LPG products said the result was achieved despite supply chain and logistical challenges and a scheduled maintenance shutdown of its LPG plant in January.

Consolidated revenue climbed 45.4 per cent to RO 163.35 million, from RO 112.37 million a year earlier, while gross profit increased to RO 59.42 million from RO 33.27 million.

OQBI’s Chairman, in his report accompanying the unaudited results, attributed the strong performance to effective strategic execution, operational discipline and the underlying strength and adaptability of the company’s business model. He said the Board remained focused on prudent governance, robust risk oversight and sustainable value creation amidst shifting geopolitical developments and continuing uncertainty across global markets.

The Chairman also pointed to continued investor confidence in OQBI’s strategic direction and long-term growth prospects. The company’s share price closed at RO 0.248 on June 30, representing a substantial increase from its initial offering price. The report said the share-price performance reflected sustained market support for OQBI’s vision, as well as confidence in its governance, financial stewardship, operational resilience and long-term growth strategy.

Listed on the Muscat Stock Exchange and part of OQ Group, OQBI operates an integrated complex in the Salalah Free Zone with combined nameplate production capacity of 1.816 million tonnes per annum. Its three core business divisions are methanol, ammonia and LPG products, reported financially across the Methanol Plant segment — which includes the ammonia plant — and the LPG Plant segment.

The company operates a 1.095 million-tonne-per-year methanol plant, a 365,000-tonne-per-year ammonia facility and a 356,000-tonne-per-year LPG plant producing propane, butane, condensate and cooking gas. Around 90 per cent of LPG output is exported, with the balance sold domestically as cooking gas.