Muscat: Bank Nizwa has signed a financing agreement with Oman National Engineering & Investment Company (ONEIC) to establish Sahalnoot sanitation network for Salalah Sanitary Drainage Services.
The project, valued at OMR 45 million, is one of the most identified key projects that will support overall development in the Dhofar region and follows the national direction of encouraging more private sector investments in the country’s infrastructure.
Bank Nizwa said it will support this essential Salalah infrastructure project by providing Sharia-compliant financing to the tune of RO20 million. The finance agreement was signed at Bank Nizwa headquarters by Sheikh Khalid bin Abdullah al Khalili, Chairman of Bank Nizwa and Sheikh Aiman bin Ahmed Al Hosni, Chairman of ONEIC in the presence of Khalid al Kayed, CEO of Bank Nizwa and Dr. Rashid al Ghilani, CEO of ONEIC as well as Bank Nizwa’s senior management including GM, AGMs and Head of Dhofar business division and other senior officials.
The project is the first of its kind in the country being awarded on a build, operates, and transfer (BOT) basis and represents another milestone in the Public and Private Participation (PPP) of large infrastructure projects in the Sultanate of Oman.
The project involves the construction, operation, and delivery of the sewerage network project in the Sahalnoot area in Salalah. It covers the construction, operation, and delivery of the sewer network that includes upgrading and extending more than 70 km of sewerage pipes covering key population areas as well as much needed main pumping station to accommodate the flows of Sahalnoot and future neighboring areas.
The project’s implementation period is 30 months followed by 15 years of operations and maintenance period. The first package of the project is expected to serve 5,500 properties and is expected to provide new employment opportunities to citizens.