Oman Oil and Orpic Group to invest over $28.3bn in projects
Integrated Oman Oil and Orpic Group is going to invest over US$28.3bn over the next few years on completion of a number upstream and downstream projects taken by the group, a senior company official said on Tuesday.
While delivering a keynote address at the second day of the third edition of Oman Downstream Exhibition & Conference (ODEC), organised by Omanexpo and World Refining Association (WRA), Ahmed al Jahdhami, chief executive officer, downstream at Oman Oil Company and Orpic Group , said both groups put together have earmarked US$28.3bn for completing various projects both in upstream and downstream sector. Some of these projects are ongoing, while the work on some are yet to begin.
The ODEC event, which is taking place at Oman Convention & Exhibition Centre, started on Monday and will end today.
Jahdhami, however, insisted that maximum investments would be made on downstream projects only, and these investments will be made through a mix of debt, equity and contribution from other partners.
He said, towards the end of last year, the government has approved the merger of Oman Oil and Orpic to create the largest group in Oman. Now merged group has a number of investments in various projects both within and outside the country.
Speaking about the investment portfolio of the group, Jahdhami explained that Oman Oil’s portfolio is quiet wide spread and have made investments in 54 different projects across the world. Some of these investments are in upstream sector with some partners and also in various projects of Orpic.
Jahdhami also revealed their investment figures doesn’t include various agreements signed recently between the government and multinational companies for projects such GTL and others. He said the synergies between both companies will help generating more jobs in the country.
H E Salim bin Nasser al Aufi, Undersecretary at the Ministry of Oil and Gas also addressed the gathering as a keynote speaker. He explained that downstream could help country in creating large number of jobs.
He said, the country’s future is posing two main challenges, one is the commercialisation of natural resources and second is to create meaningful jobs for youths.
H E Aufi said every year 50,000 graduates are entering job market, and it is a challenge to provide jobs to all of them.
“Downstream could be a solution as upstream projects have very limited job creations whereas a slight value addition in downstream could add significant number of jobs in the country,” he said.