Raysut Cement initiative to augment supplies
MUSCAT -- A floating cement terminal has commenced operations at Port Sultan Qaboos in a new initiative by Raysut Cement Company (RCC) to alleviate cement supply shortfalls in the local market. MV Eastmed Carrier, a specialised vessel equipped with bag and bulk cement discharging facilities, is now churning out an average of around 1,500 tonnes of cement per day to help support the ongoing construction and real-estate boom in the Sultanate, a senior RCC official said. RCC expects to increase this amount to 2,000 tonnes per day starting this month.
"The deployment of Eastmed Carrier stems from our commitment to the Oman Government and to the construction industry that cement supplies would be significantly augmented to help keep the country's overall economic and infrastructure development on track," said Mohammed al Dheeb, CEO, Raysut Cement. "With the floating terminal set to reach full capacity during September, combined with Raysut Cement's current efforts to boost deliveries from our Salalah plant, the domestic market is on course to being reasonably well supplied," he added in remarks to the Observer.
The Panamanian-registered 'floating silo' commenced operations last month following a deal with the Ministry of Commerce and Industry, which allowed Raysut Cement to supply an additional 200,000 tonnes of bagged and bulk cement over a three-month period. The vessel has the capacity to produce up to 60,000 tonnes of bagged and bulk cement per month, utilising ordinary Portland cement shipments, depending upon prompt deliveries. According to RCC officials, the floating terminal supplements the company's dedicated shore-based cement terminal at Mina Sultan Qaboos, which currently produces around 40,000 tonnes of bagged and bulk cement per month.
With the floating and land-based terminals, Raysut Cement endeavours to cover 50 per cent of the domestic market in Oman. Depending upon continuing demand for cement, Raysut Cement will be able to extend the operation of Eastmed until the end of this year, the official added. Raysut Cement expects domestic demand to increase by about 15-20 per cent this year against last year's consumption of 2.7 million tonnes. RCC cement capacity has increased with the addition of a fourth line, currently under commissioning, to 2.7 million tonnes per annum, and will increase to 3 million tonnes per annum at the beginning of 2008 upon completion of commissioning.
By Conrad Prabhu
© Oman Daily Observer 2007
