Orpic, Oman Gas sign LNG Extraction Plant operation and maintenance deal

Sohar: Oman Oil Refineries and Petroleum Industries Company (Orpic) on Monday signed an agreement with Oman Gas Company for the operation and maintenance of the LNG Extraction Plant and the associated pipelines – a package of Liwa Plastic Industries Complex.
The agreement signing ceremony was held under the auspices of Dr. Ali bin Masud Al Sunaidy, Minister of Commerce and Industry in the presence of a number of public and private sectors’ officials. It was signed by Ahmed bin Saleh Al Jahdami, CEO of Orpic and Sultan bin Hamad Al Bartamani, Acting Executive General Manager of Oman Gas Company.
According to the agreement, Oman Gas Company will provide specialised service for the operation and maintenance of the new Gas Plant in Fahoud, which was designed as integrated plant as part of Liwa Plastic Industries. Oman Gas Company will take over the management of the plant and the operation of 14-inch pipeline linking the gas liquids extraction plant in Fahoud with Liwa Plastic Industries Complex in Sohar.
The merger for the C2 extracted from the natural gas from Fahoud plant with the chemicals extracted from Orpic will enhance integration and flexibility of the company’s operations and helps in ensuring optimum use of the raw materials.
Ahmed bin Saleh Al Jahdami, CEO of Orpic said that the project is one of the strategic growth projects for the company and one of the manufacturing industries projects underway in the Sultanate. About 67 per cent of the project worth of $ 6.7 billion have been completed. The project will produce more than 1000 products that are used in the different plastic industries.
On his part, Sultan bin Hamad al-Bartamani, Acting Executive GM of Oman Gas Company said that the project is one of the resources that will add important value. The agreement aims at having a specialized company to operate the local pipelines network and merge it in the downstream model for the gas facilities on the long term.
It should be noted that the gas liquid extraction plant is the second lant operated by Oman Gas Company after Salalah LPG Plant. The company is building a new 22-inch gas pipeline parallel to the existing 32-inch pipeline between Fahoud and Sohar to meet the growing demand for natural gas at Sohar Port area and ensure natural gas supplies for Ibri area.