Orpic, Oman Gas sign pact

SUHAR: Oman Oil Refineries and Petroleum Industries Company (Orpic) on Monday signed an agreement with Oman Gas Company for the operation and maintenance of the LNG Extraction Plan and the associated pipelines — a package of Liwa Plastic Industries Complex.
The agreement signing ceremony was held under the auspices of Dr Ali bin Masoud al Sunaidy, Minister of Commerce and Industry, in the presence of a number of public and private sectors’ officials.
The agreement was signed by Ahmed bin Saleh al Jahdami, CEO of Orpic and Sultan bin Hamad al Bartamani, Acting Executive General Manager of Oman Gas Company.
As per the agreement, Oman Gas Company will provide specialised service for the operation and maintenance of the new Gas Plant in Fahud, which was designed as integrated plant as part of Liwa Plastic Industries.
Oman Gas Company will take over the management of the plant and the operation of 14-inch pipeline which extends for about 300 km linking the gas liquids extraction plant in Fahud with Liwa Plastic Industries Complex in Suhar.
The merger for the C2 extracted from the natural gas from Fahud plant with the chemicals extracted from Orpic will enhance integration and flexibility of the company’s operations and helps in ensuring optimum use of the raw materials.
Ahmed bin Saleh al Jahdami said that the project is one of the strategic growth projects for the company and one of the manufacturing industries projects under way in the Sultanate.
About 67 per cent of the project worth of $6.7 billion have been completed.
The project will produce more than 1,000 products that are used in the different plastic industries.
On his part, Sultan bin Hamad al Bartamani, Acting Executive GM of Oman Gas Company, said that the project is one of the resources that will add important value.
The agreement aims at having a specialised company to operate the local pipelines network and merge it in the downstream model for the gas facilities on the long term.
It should be noted that the gas liquid extraction plant is the second plant operated by Oman Gas Company after Salalah LPG Plant.
The company is building a new 22-inch gas pipeline parallel to the existing 32-inch pipeline between Fahud and Suhar to meet the growing demand for natural gas at Sohar Port area and ensure natural gas supplies for Ibri area. — ONA