Duqm refinery to be finished on time despite Coronavirus

52 percent of project is completed

  
Image used for illustrative purpose. Samsung Engineering's joint venture with Petrofac has landed a $2 billion contract package for work at the new Duqm refinery in Oman.

Image used for illustrative purpose. Samsung Engineering's joint venture with Petrofac has landed a $2 billion contract package for work at the new Duqm refinery in Oman.

Samsung Engineering/Handout via Thomson Reuters Zawya

Duqm Refinery and Petrochemical Industries, a joint Oman-Kuwait venture, will be completed on schedule in 2021 despite the spread of Coronavirus in the Sultantate, a project official was quoted on Tuesday as saying.

About 52 percent of the project on the Southeastern coast of Oman has been completed since it was launched in mid 2018, the venture's deputy CEO Yousuf bin Mohammed Al-Jahdami told Oman's Arabic language daily Al-Watan.

He said the three-package project is progressing as scheduled and that there would be no delay in its execution after the company took preventive measures for its workers.

"The project is taking shape after several facilities have been completed, including infrastructure, roads, ground pumps, oil tanks and some engineering work," he said.

"We expect to finish the project on time despite the challenges from time to time, including the spread of Coronavirus...we have managed to push ahead with the project through a series of measures to protect our workers," he added.

He said the refining and petrochemical complex, a joint venture between Oman Oil Company and Kuwait Petroleum International, would be ready before the end of 2021 and that it has a refinery capacity of 230,000 bpd.

The three packages, with a total cost of about $5.7 billion, were awarded to several international firms in 2018, including Petrofac of the UK, South Korea's Samsung Engineering and Daewoo, Spain's Técnicas Reunidas and Saipem of Italy.

Dubbed by Oman as a strategic refining and petrochemicals unit, the project is located in the Duqm Special Economic Zone nearly 600 km south of the capital Muscat.

(Writing by Nadim Kawach; Editing by Anoop Menon)

(anoop.menon@refinitiv.com)

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