15 May 2013
Muscat: Oman Oil Refineries and Petroleum Industries Company (Orpic) plans to conduct a study for a proposed steam cracker plant to produce polypropylene and polyethylene as part of its business development plans, its CEO said yesterday.
In an interview with Times of Oman, Orpic chief executive officer Musab Al Mahruqi said, "the proposed project will cost in the region of $3 billion to $4 billion and it will have the capacity to produce approximately one million tonnes per year of polypropylene and polyethylene."
He did not give the time frame of the project but said its completion might coincide a couple years after the proposed projects of improving the Sohar Refinery and a Muscat-Sohar pipeline project have been completed.
"The engineering work of the pipeline between Muscat and Sohar is in progress and we expect construction to start next year. The project will cost between $300 million and $400 million."
"As for the Sohar Refinery, the upgrade will raise current production by 70 per cent and we expect both projects to be completed in 2016," Al Mahruqi further said in the interview.
The 280-km pipeline will have a terminal in Jifnain, north of Muscat, and it will be a two-way facility to carry refined products to both cities. The pipeline will also supply Muscat Airport with jet fuel, petrol and diesel.
"We have hundreds of trucks carrying refined products between the two cities and the pipeline will reduce road congestion, cut down traffic accidents and increased safety and security," the Orpic chief explained. He also said that the demand for refined products in Oman is steadily increasing between 10 and 15 per cent a year. "We have started to import refined products this year and imports will keep increasing year by year until 2016 when the Sohar Refinery improvement is completed," noted Al Mahruqi.
The Sohar Refinery expansion will cost between $1.3 billion and $1.6 billion. It is currently producing about 116,000 barrels per day. The Mina Al Fahal refinery in Muscat is pumping out about 105,000 bpd.
Oman and Abu Dhabi are planning to build another refinery at Duqm with a proposed capacity of 200,000bpd. Orpic reported an operating profit of OMR96 million in 2012 against OMR150 million a year before.
Muscat: Oman Oil Refineries and Petroleum Industries Company (Orpic) plans to conduct a study for a proposed steam cracker plant to produce polypropylene and polyethylene as part of its business development plans, its CEO said yesterday.
In an interview with Times of Oman, Orpic chief executive officer Musab Al Mahruqi said, "the proposed project will cost in the region of $3 billion to $4 billion and it will have the capacity to produce approximately one million tonnes per year of polypropylene and polyethylene."
He did not give the time frame of the project but said its completion might coincide a couple years after the proposed projects of improving the Sohar Refinery and a Muscat-Sohar pipeline project have been completed.
"The engineering work of the pipeline between Muscat and Sohar is in progress and we expect construction to start next year. The project will cost between $300 million and $400 million."
"As for the Sohar Refinery, the upgrade will raise current production by 70 per cent and we expect both projects to be completed in 2016," Al Mahruqi further said in the interview.
The 280-km pipeline will have a terminal in Jifnain, north of Muscat, and it will be a two-way facility to carry refined products to both cities. The pipeline will also supply Muscat Airport with jet fuel, petrol and diesel.
"We have hundreds of trucks carrying refined products between the two cities and the pipeline will reduce road congestion, cut down traffic accidents and increased safety and security," the Orpic chief explained. He also said that the demand for refined products in Oman is steadily increasing between 10 and 15 per cent a year. "We have started to import refined products this year and imports will keep increasing year by year until 2016 when the Sohar Refinery improvement is completed," noted Al Mahruqi.
The Sohar Refinery expansion will cost between $1.3 billion and $1.6 billion. It is currently producing about 116,000 barrels per day. The Mina Al Fahal refinery in Muscat is pumping out about 105,000 bpd.
Oman and Abu Dhabi are planning to build another refinery at Duqm with a proposed capacity of 200,000bpd. Orpic reported an operating profit of OMR96 million in 2012 against OMR150 million a year before.
© Times of Oman 2013
