06 September 2011
MUSCAT -- Construction work on a 30,000 tonnes-per-annum-capacity sulphur bentonite fertilizer project is expected to commence at Sohar before the end of this month. The project -- a first of its kind in the Sultanate -- is being developed by Takamul Investment Company SAOC, the majority owned downstream investment arm of Oman Oil Company, in partnership with local and international investors.
Together, the partners have established the joint venture Sohar Sulphur Fertilizers LLC to manage and operate the complex.
According to officials, a plot of land within Phase 5 of Sohar Industrial Estate has been earmarked for the establishment of the facility. Civil works are scheduled to commence in the coming weeks, with a tender for the Engineering-Procurement-Construction (EPC) contract likely to be awarded soon. Well-known local engineering consultancy firm Simon Engineering has been appointed by Takamul to provide architectural, structural and MEP consultancy services for the project.
As a value added venture, Sohar Sulphur Fertilizers will process molten sulphur -- sourced from the Sohar Refinery complex of Oman Oil Refineries and Petrochemical Industries (Orpic) -- into sulphur bentonite, demand for which is growing globally as an economical and environmentally-friendly alternative to natural gas based fertilizers.
Sohar Sulphur Fertilizers' entire requirement of sulphur as feedstock will be met by Sohar Refinery under an agreement concluded last year. Molten sulphur is a by-product of the crude oil refinery process at Sohar Refinery.
Significantly, all of the plant's output of sulphur bentonite and micronutrients will be exported under an offtake arrangement reached with Dubai based RNZ DMCC. A likely market is India which ranks among the world's biggest consumers of sulphur bentonite fertilizer. Other high-growth target markets include Northern Africa, the Mediterranean region, Europe and Australia.
Takamul has a 55 per cent shareholding in Sohar Sulphur Fertilizers LLC. Local Omani firm Awtad Projects and Development, which is the investment arm of Al Nahdha Group, has a 25 per cent stake. Awtad is already an emerging player in Oman's mining and minerals sector, oilfield services, industrial services and property development.
Also enjoying a shareholding in the venture is the US firm CoreSulphur which will provide the technology and know-how for the project. The California-based company describes itself as the world's premier, full-service sulphur forming and sulphur bentonite fertilizer project operator. Through its Core-Drop Turnkey Sulphur Solutions, CoreSulphur provides Engineering, Procurement and Technology (EPT) services around the globe.
The sulphur bentonite project, due to be operational by the third quarter of next year, is yet another addition to Takamul's growing portfolio of downstream ventures. The company was set up in 2006 to develop a sustainable downstream chain to support Oman's industrial sector. Its core objective is to promote and invest in value-added economically viable projects that feed off local upstream industries that include metals, petrochemicals and minerals.
Takamul owns Aluminum Rolling Mill Company LLC, which is developing a 140,000 tonnes per annum project at Sohar with an investment of around $384 million. The company also has a major stake in Oman Aluminum Processing industries LLC (OAPIL), which operates a modern plant at Sohar.
In the petrochemicals arena, Takamul is exploring investment opportunities linked to the potential use of feedstocks such as methanol, paraxylene, benzene and polypropylene granules. The company has also identified a range of opportunities to develop local mineral-based projects in cooperation with local and international partners.
Takamul is 90 per cent owned by Oman Oil Company, with the remaining shares owned equally by Abu Dhabi Water & Electricity Authority and Al Maha Strategic Industries for Investments LLC.
MUSCAT -- Construction work on a 30,000 tonnes-per-annum-capacity sulphur bentonite fertilizer project is expected to commence at Sohar before the end of this month. The project -- a first of its kind in the Sultanate -- is being developed by Takamul Investment Company SAOC, the majority owned downstream investment arm of Oman Oil Company, in partnership with local and international investors.
Together, the partners have established the joint venture Sohar Sulphur Fertilizers LLC to manage and operate the complex.
According to officials, a plot of land within Phase 5 of Sohar Industrial Estate has been earmarked for the establishment of the facility. Civil works are scheduled to commence in the coming weeks, with a tender for the Engineering-Procurement-Construction (EPC) contract likely to be awarded soon. Well-known local engineering consultancy firm Simon Engineering has been appointed by Takamul to provide architectural, structural and MEP consultancy services for the project.
As a value added venture, Sohar Sulphur Fertilizers will process molten sulphur -- sourced from the Sohar Refinery complex of Oman Oil Refineries and Petrochemical Industries (Orpic) -- into sulphur bentonite, demand for which is growing globally as an economical and environmentally-friendly alternative to natural gas based fertilizers.
Sohar Sulphur Fertilizers' entire requirement of sulphur as feedstock will be met by Sohar Refinery under an agreement concluded last year. Molten sulphur is a by-product of the crude oil refinery process at Sohar Refinery.
Significantly, all of the plant's output of sulphur bentonite and micronutrients will be exported under an offtake arrangement reached with Dubai based RNZ DMCC. A likely market is India which ranks among the world's biggest consumers of sulphur bentonite fertilizer. Other high-growth target markets include Northern Africa, the Mediterranean region, Europe and Australia.
Takamul has a 55 per cent shareholding in Sohar Sulphur Fertilizers LLC. Local Omani firm Awtad Projects and Development, which is the investment arm of Al Nahdha Group, has a 25 per cent stake. Awtad is already an emerging player in Oman's mining and minerals sector, oilfield services, industrial services and property development.
Also enjoying a shareholding in the venture is the US firm CoreSulphur which will provide the technology and know-how for the project. The California-based company describes itself as the world's premier, full-service sulphur forming and sulphur bentonite fertilizer project operator. Through its Core-Drop Turnkey Sulphur Solutions, CoreSulphur provides Engineering, Procurement and Technology (EPT) services around the globe.
The sulphur bentonite project, due to be operational by the third quarter of next year, is yet another addition to Takamul's growing portfolio of downstream ventures. The company was set up in 2006 to develop a sustainable downstream chain to support Oman's industrial sector. Its core objective is to promote and invest in value-added economically viable projects that feed off local upstream industries that include metals, petrochemicals and minerals.
Takamul owns Aluminum Rolling Mill Company LLC, which is developing a 140,000 tonnes per annum project at Sohar with an investment of around $384 million. The company also has a major stake in Oman Aluminum Processing industries LLC (OAPIL), which operates a modern plant at Sohar.
In the petrochemicals arena, Takamul is exploring investment opportunities linked to the potential use of feedstocks such as methanol, paraxylene, benzene and polypropylene granules. The company has also identified a range of opportunities to develop local mineral-based projects in cooperation with local and international partners.
Takamul is 90 per cent owned by Oman Oil Company, with the remaining shares owned equally by Abu Dhabi Water & Electricity Authority and Al Maha Strategic Industries for Investments LLC.
© Oman Daily Observer 2011
