A Canadian investment firm spearheading the development of an ultra-low sulphur fuel oil refinery in the Sultanate says the project will be “one of a kind” in the world, based on cutting-edge green technology. Ottawa-based Canada Business Holdings Inc (CBH) is driving the establishment of a 300,000 barrels per day (bpd) capacity oil refinery at the Special Economic Zone (SEZ) in Duqm with an investment of around $1.5 billion. Ultra-low sulphur petroleum products from the plant will be primarily targeted at the marine industry, which is mandated by the International Maritime Organization (IMO) to switch to cleaner-burning fuels in place of high-polluting bunker fuel.
In a statement issued by the company earlier this week, CBH confirmed that it is pressing ahead with its plans to set up the ‘green refinery’ at Duqm. It quoted Moses Solemon, Chairman and CEO, as affirming that the refinery plans are “on time and going well”.
“We are proud of the level of business cooperation that the Omani authorities are showing. We are overwhelmed by the keen interest and effort levels on their side’’, said Solemon, adding that Canada Business Holdings Inc has been granted a licence to produce refined oil products in the Duqm SEZ.
Distinguishing the proposed CBH project from refineries currently in operation or development in Oman and elsewhere in the wider region are its “green” credentials. The refinery will incorporate leading Canadian technologies to produce high-quality fuel oil production with near zero sulphur content while emitting near zero nitrogen oxides as well.
“Although we are not a typical refining company by default, we have gathered the best world-class team to make it happen. This refinery is a game changer in terms of business and in the end-product,” Solemon stated. A specialist in the delivery of large projects based on the Private-Private-Partnership (PPP) model, CBH Inc says the Duqm project will be established on a PPP programme designed by the company and its partners.