Galfar Engineering and Contracting

The Oman-based Galfar Engineering and Contracting provides engineering, procurement and construction services for the oil and gas sector; it also specializes in electrical, mechanical and civil contracting for infrastructure, environmental, residential and commercial buildings, and leases construction equipment, through a subsidiary.

The company’s core activity, onshore contracting for the oil and gas sector, generated 51% of its total 2008 revenues of OMR363 million (USD948.8 million). Most of its important onshore contracts were carried out in partnership with international oil and gas companies like the UK-based PetrofacPetrofac, with whom it constructed the Kauther Gas Plant, valued at OMR95.4 million (USD248 million), and completed in February 2009. Galfar and PetrofacPetrofac joined forced again to develop phase 2 of Petroleum Development Oman’s Harweel Cluster Facility. Estimated at OMR370.2 million (USD960 million), the project consists of developing the gas field facilities, including a new oil and gas processing station, with a gas enrichment/sweetening plant, and associated facilities for a capacity of 10,000 cubic meters, per day. It is expected to be completed in 2010.

The company’s secondary focus is civil works for infrastructure, the most significant project of which is the Southern Expressway, a project aimed at easing traffic by linking several residential and industrial areas. The project valued at OMR127 million (USD330 million) was due to be completed in September 2009. The company also specializes in environmental, commercial and residential construction for industries including oil and gas, as well as public authorities.

Galfar is the largest construction company in Oman and the second largest publicly listed Omani company in terms revenues, as of the close of 2008. It underwent an IPO on the Muscat Securities MarketMuscat Securities Market, in August 2007, which raised OMR60.2 million (USD156.7) for 40% of its shares. The proceeds were spent for financing its ongoing operations and expansion plan.

Traditionally focusing solely on the Omani market, the company acquired a subsidiary in India, in 2009, Galfar Engineering and Contracting (India) Private Limited, and plans to widen its footprint across the MENA region specifically focusing on Abu Dhabi and Libya.