Mar 25 2012
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NMC mulls IPO, major expansion
"Since the company is embarking on expansion of its activities which require huge sum of investment, the board of directors is looking into the possibility of changing the legal entity of the company to public shareholding company with initial public offerings (IPO)," said the company's chairman Jamal Said Rajab Al Ojaili.
NMC has plans for major expansion and diversification of its activities, said a company release. NMC operated quarries have huge reserves of high purity white limestone and are situated at Wadi Al Burga, near Sohar. To exploit the full potentials of these quarries NMC has set up an ultra modern plant with the capacity of 2,500 tonnes per day to produce limestone in various grades and sizes.
"There has been a growing demand for the limestone products in the region and its products are not only supplied across Oman but also exported to the United Arab Emirates (UAE), India and other Gulf countries. Limestone is used for various applications like metallurgical processes, production of quick lime and hydrated lime, glass manufacturing, drilling mud, production of calcium carbonate, animal and poultry feeds, desalination and water treatment, construction industry, soil stabilisation and asphalt mixes," Paul Shajimon, Group General Manager of NMC , said.
The company is also engaged in extraction of chrome ore in Dakhliya region which is mainly exported to China for use in ferro-chrome, alloy and stainless steel production. There has been big demand in China and India for chrome ores and Oman is one of the major suppliers of to these countries.
NMC provides employment opportunities to Omani nationals in various occupations and the company intends to employ more Omani nationals in the future, he added. The company has been giving annual increment to all its employees and suitable employees have been promoted to higher positions according to their talents and capabilities.
NMC has set up a subsidiary company named Industrial Minerals Co. (IMC) and its new plant producing calcium carbonate is situated in the Sohar Industrial Estate. "Calcium carbonate products are in great demand in the Sultanate as well as in the neighbouring Gulf countries. Micronised calcium carbonate has wide applications in paint manufacturing, oil drilling and as industrial fillers.
Coated calcium carbonate is used in PVC, plastic and rubber products. IMC's products are supplied in substantial quantities in Oman and UAE. In the near future it will be extending the supply to other countries in the region." Shajimon said.
The company has plans to set up a lime plant to produce quick and hydrated lime with an investment of around RO6 million. The feasibility study for setting up the lime plant has been completed and short listing the suppliers of fuel efficient lime kiln is under process, he added.
The government approval for setting up the lime plant has already been granted and various sources of service providers are being explored.
The company has already invested a considerable amount in modern mining infrastructure, including sophisticated crushing units, high efficiency screening plants, storage silos for bulk products, and logistic support for prompt delivery of materials.
Despite the economic recession NMC has been doing good business and has generated excellent profits in all the years since its inception. It foresees continued good prospects in the future.
Al Ojaili is optimistic of the company's expansion taking place successfully in the near future. This will provide more employment opportunities to Omani nationals and contribute to the industrial growth of the country, he added.
NMC was established by the well-known Omani entrepreneur, the late Said Mohammed Rajab Al Ojaili with a vision to achieve global eminence in mining and mineral processing activities. Adil Said Mohammed Al Ojaili is the operational consultant of NMC and Ojaili family members are the major shareholders of the company.
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