05 October 2015
Salalah Methanol Company (SMC), which owns and operates a world-scale methanol scheme in Salalah Free Zone, has prequalified eight prominent international engineering firms to bid for a contract to build a major ammonia plant downstream of its facilities.
The state-run petrochemical company, jointly owned by Oman Oil Company (90 per cent) and Takamul Investment Company (10 per cent), plans to develop a 1,000 metric tonnes per day (MTPD) capacity ammonia plant using rich hydrogen purge gas fed from the adjacent 3,000 MTPD methanol plant.
Analysts have estimated the cost of the ammonia project at a ballpark $750 million.
Making the cut in the prequalification round are: Samsung Engineering Co Ltd, Daelim Industrial Co Ltd, Hanwa Engineering & Construction, GS Engineering & Construction Corp, L&T Hydrocarbon Engineering, CTCI Corporation, SNC-Lavalin, and Tecnicas Reunidas SA. They were selected at the end of a "comprehensive bid evaluation process", said Salalah Methanol in a statement.
An 'Invitation to Bid' is due to be floated in the current quarter, with efforts under way to finalise the tender documentation and obtain the necessary approvals, the company said.
It follows the completion of the project's Environmental Impact Assessment, it noted.
The successful bidder will secure a contract for the Engineering-Procurement-Construction-Commissioning (EPCC) of the ammonia project.
German-based Linde AG, a leading technology partner for plant engineering and construction worldwide, has completed the front end engineering design (FEED) for the ammonia project.
"The design has followed stringent environmental specifications to ensure no adverse impact to the society and nature," said Salalah Methanol.
The proposed project, it said, has been conceived as part of the company's growth strategy with the goal of contributing to value addition, as well as the nation's economic diversification.
"The project will provide greater opportunities for service providers both in construction and operation. In addition, it will support society through direct and indirect employment," it stated.
It is expected that the ammonia project will catalyse investments in a wider value-added chemicals cluster at the free zone.
This proposed downstream cluster, coupled with the base petrochemical projects already in operation or under development at the free zone, promises to stimulate the growth of a major liquids hub adjoining the Port of Salalah.
Salalah Methanol Company (SMC), which owns and operates a world-scale methanol scheme in Salalah Free Zone, has prequalified eight prominent international engineering firms to bid for a contract to build a major ammonia plant downstream of its facilities.
The state-run petrochemical company, jointly owned by Oman Oil Company (90 per cent) and Takamul Investment Company (10 per cent), plans to develop a 1,000 metric tonnes per day (MTPD) capacity ammonia plant using rich hydrogen purge gas fed from the adjacent 3,000 MTPD methanol plant.
Analysts have estimated the cost of the ammonia project at a ballpark $750 million.
Making the cut in the prequalification round are: Samsung Engineering Co Ltd, Daelim Industrial Co Ltd, Hanwa Engineering & Construction, GS Engineering & Construction Corp, L&T Hydrocarbon Engineering, CTCI Corporation, SNC-Lavalin, and Tecnicas Reunidas SA. They were selected at the end of a "comprehensive bid evaluation process", said Salalah Methanol in a statement.
An 'Invitation to Bid' is due to be floated in the current quarter, with efforts under way to finalise the tender documentation and obtain the necessary approvals, the company said.
It follows the completion of the project's Environmental Impact Assessment, it noted.
The successful bidder will secure a contract for the Engineering-Procurement-Construction-Commissioning (EPCC) of the ammonia project.
German-based Linde AG, a leading technology partner for plant engineering and construction worldwide, has completed the front end engineering design (FEED) for the ammonia project.
"The design has followed stringent environmental specifications to ensure no adverse impact to the society and nature," said Salalah Methanol.
The proposed project, it said, has been conceived as part of the company's growth strategy with the goal of contributing to value addition, as well as the nation's economic diversification.
"The project will provide greater opportunities for service providers both in construction and operation. In addition, it will support society through direct and indirect employment," it stated.
It is expected that the ammonia project will catalyse investments in a wider value-added chemicals cluster at the free zone.
This proposed downstream cluster, coupled with the base petrochemical projects already in operation or under development at the free zone, promises to stimulate the growth of a major liquids hub adjoining the Port of Salalah.
© Oman Daily Observer 2015
