BUSINESS REPORTER –
MUSCAT, June 17 –
The Sultanate’s first-ever polymer manufacturing plant was formally inaugurated yesterday, June 17, at a ceremony held under the auspices of His Highness Sayyid Asaad bin Tareq al Said, Deputy Prime Minister for International Relations and Cooperation Affairs and Personal Representative of His Majesty the Sultan.
The manufacturing plant, located in the Raysut Industrial City in Salalah, is the first of its kind in the Gulf region and has been built by ZL EOR Chemicals Oman — part of the international group ZL EOR Chemicals.
The polymers produced will be used for various applications, chiefly for improving oil production.
Local production of polymer for Enhanced Oil Recovery (EOR) operations was one of the opportunities identified in the In-Country Value (ICV) Oil and Gas industry Blueprint Strategy unveiled in 2013. It is one of a large number of industry opportunities that Petroleum Development Oman (PDO) has been leading in recent years.
The opening ceremony which was held in Muscat was attended by HH Sayyid Taimur bin Asaad al Said, HH Sayyid Adham bin Turki al Said, HH Dr Al Khattab bin Ghalib al Said, and a number of high level officials representing PDO and other oil and gas companies operating in Oman.
The 33,000 m2 facility, set up with an investment of around $20 million, is equipped with modern control, automation and polymerisation systems. The current plant capacity is 15,000 tonnes of polymer per year, with plans to expand it in stages to reach a total of 70,000 tonnes per year. It will serve Omani, GCC and North American markets.
PDO Managing Director Raoul Restucci said: “PDO is determined to support the implementation of the ICV Blueprint Strategy to diversify the economy and ensure more of the wealth of the oil and gas industry is retained in Oman.
“As we continue to invest in EOR technologies to sustain Omani oil production, we are delighted with the opportunity to source polymer locally, which once again shows our commitment to investing in Omani businesses and people.
“We are working all the time to ensure Omani companies play a greater role in the oil and gas sector and beyond so that we develop competitive, capable, professional and efficient local supply chains.”
EOR allows to extend the lifetime of mature oilfields and substantially increase the oil production. Polymer flooding is one of important EOR methods widely deployed worldwide and used in Oman where PDO runs several showcase projects including the Marmul Polymer phase 1 and 2 projects.
HH Sayyid Faisal bin Turki al Said, a partner in the firm, stated: “We are extremely happy to open the first-ever polymer manufacturing plant in Sultanate. ZL EOR Chemicals Oman already contribute to PDO world-class enhanced oil recovery projects by supplying polymer, and now locally manufactured chemicals will be used in these projects. We are looking forward to expand our successful partnership with PDO and other Omani companies. We would like to acknowledge the continuous support of PDO, our Omani partners and authorities as well as hard and dedicated work of our staff and contractors.”
PDO is regarded as a global centre of excellence in EOR and it is anticipated that EOR will constitute more than 20 pe rcent of its total production by 2025. ZL EOR Chemicals have been successfully supplying EOR polymers for PDO project for several year, and globally for the past 20 years.
In a statement, ZL EOR Chemicals Oman also thanked Alizz Islamic Bank for supporting its venture.
BUSINESS REPORTER –