Domestic Projects In Operation

1)     Oman India Fertilizer Company SAOC (OMIFCO)
2)     Oman Gas Company SAOC (OGC)
3)     UAE Gas Sales
4)     Oman Oil Marketing Company SAOG (OOMCO)
5)     Oman Shipping Company SAOC (OSC)
6)     Oiltanking Odjfell Terminals Co. LLC
7)     Al Mukhaizna Oilfield

Oman India Fertilizer Company SAOC
(OMIFCO)

Oman India Fertilizer Company is a joint company with 50% participation by Oman Oil Company and 50% participation by two Indian cooperative fertilizer companies.

OMIFCO has newly constructed a world scale ammonia/urea fertilizer manufacturing facility at Sur in the Sultanate of Oman. The plant comprises two ammonia production trains each with a capacity of 1750 metric tons per day and two urea production trains each with a capacity of 2530 metric tons per day, together with all the necessary infrastructure facilities. All the production, which will amount to 250,000 metric tons per annum of surplus liquid ammonia and 1,650,000 metric tons per annum of bulk granulated urea, is to be exported to India under long-term take-or-pay off-take agreements. 

Oman Gas Company SAOC
(OGC)

Oman Gas Company was established as a Closed Joint Stock Company in August 2000 by Oman Oil Company, which owns 20% and by the Government of Oman represented by the Ministry of Oil and Gas, which owns 80% of the Company.

OGC owns and operates the country’s gas transportation facilities, which mainly supplies the Power Generation Plants and other small consumers. In addition, in 2002 OGC completed the construction of two major pipelines, a 32" 300 km pipeline from Fahud to Sohar and a 24" 676 km pipeline from Saih Rawal to Salalah. The Salalah Pipeline is currently supplying the newly commissioned gas fuelled Power Station in Raysut in addition to Gas supply to Raysut Cement Plant. The Pipeline capacity is for approximately 4.2 mm cu m/day. The Sohar Pipeline capacity is approximately 12.7 mm cu m/day. The gas will be supplied to Major Industrial Projects in the Sohar Port Industrial Area. In 2005, OGC has delivered 6.0 billion sm3 of natural gas to its customers.

UAE Gas Sales

GCC’s first cross border gas sales deal.

Oman Oil Company entered into a gas sales agreement with Dolphin Energy Limited (DEL) to provide a 42 month supply of gas to DEL for use in its new Power and Desalination plant in Fujairah. The project required a 45 km pipeline to connect the Oman Gas Company pipeline running from Fahud - Sohar to the DEL system at the UAE border near Buraimi. The first gas sales took place in January 2004.

Subsequently, OOC signed the Gas Sales and Purchase Agreement (GSPA) with Dolphin Energy Limited (Dolphin Energy) of Abu Dhabi on 5^th September 2005 to deliver an average of 200 million standard cubic feet of gas per day (mmscf/day) to supply the Sohar industrial companies.

OOC has been supplying natural gas to Dolphin Energy since early 2004 by means of a spur line specifically constructed to enable the export and import of natural gas between two countries. The spur line which was financed by OOC and built and operated by its subsidiary, Oman Gas Company (OGC), connects the OGC system at Mahda to the Dolphin Energy system at Al Ain.  This junction was conceived and constructed so that in future years the flow of gas from Oman to the UAE could be reversed.

Omanoil Marketing Company SAOG
(OOMCO)

Oman Oil Company is the majority shareholder in this retail fuels marketing company of which there are 3 in Oman.  The shares of what was Bp Oman were acquired in December 2002 and the new company was launched together with a new brand identity in October 2003.  Omanoil is the only 100% Omani fuels marketing company and is able to combine world class performance with an in depth knowledge of the market and the people of Oman.This company is  publicly quoted on the Muscat stock exchange and is regarded as a "blue chip" investment

The company has four main areas of operations covering the Retail, Commercial, Aviation and the Lubricants markets. The retail business consists of 90 retail sites spread throughout the country selling approx 425 million litres of fuel per annum and having a 23% market share. The commercial or "B To B" business supplies all sectors of the economy and is particularly strong in the Civil Engineering and construction industry. The Aviation business has the largest market share at Seeb airport and is geared up to cater for the proposed expansion over the next few years. Finally, the Lubricants business markets the prestigious BP and Castrol brands of lubricants throughout the Sultanate.

Oman Shipping Company SAOC
(OSC)

Oman Shipping Company is a Closed Joint Stock Company owned 20% by Oman Oil Company and 80% by the Ministry of Finance.

Oiltanking Odjfell Terminals Co. LLC

Oiltanking Odjfell Terminals Co. LLC, is a joint venture owned 35% by Oiltanking, 35% by Odjfell, 25% by Oman Oil Company and 5 % by Seven Seas Co. LLC.

 Oiltanking Odjfell Terminals Co. handles the operation and management of tank terminals, marine facilities, and other logistical infrastructure necessary to provide independent storage handling and transportation services in relation to bulk liquid products in the Sohar Industrial Area.

The commencement of jetty operations is scheduled in Q3 in 2006 and the construction of terminals is planned in early 2007.

Al Mukaizna Oilfield

Al Mukaizna Oilfield project is owned and operated wholly by Occidental with a 40% interest, Oman Oil Company with a 20%, and Shell Oman Trading Company Limited owns 17% whilst Liwa Energy Ltd an investment company of the Government of Abu Dhabi owns 15% as well as E&P Oman owning 2% and Partex Oman 1%.

The planned $3 billion project plans to use steam-flooding to ramp up production from the current output of roughly 8,000 barrels of oil per day (bpd) to reach a target of 150,000 bpd within five years. Further, a recovery of 1 billion barrels of heavy oil in Mukhaizna from its present estimated reserves of two billion barrels.

International Projects In Operation
 

     1) Gulf Energy Maritime PJSC – Dubai, UAE (GEM)
     2) Caspian Pipeline Consortium (CPC)
     3) Compañia Logistica De Hidrocaburos S.A. (CLH)
     4) LG Energy
     5) Sagunto Regasification Terminal
     6) Oman Trading International (OTI)
     7) PTTCHEM

Gulf Energy Maritime PJSC – Dubai, UAE
(GEM)

Gulf Energy Maritime is 30% owned by Oman Oil Company, 35% owned by Emirates National Oil Company (ENOC), 30% by Abu Dhabi-based IPIC and 5% by Thales of France, under the UAE Offset scheme.

GEM, headquartered in Dubai is a new US$ 430 million joint venture shipping company, launched on May 6, 2004.

GEM currently has the fleet of 21 Trading and Newbuilding ships, which comprises of six modern panamax tankers, two Handymax coated tankers and nine chemical/product tankers, to be delivered between 2006-2009. In addition, GEM also manages a 4 vessel Newbuilding project for ENOC at Dubai Drydocks.  Thus the company is set to fill an expanding global niche for independent petroleum transportation, as global shipping laws have outlawed single hulled ships.

GEM transports petroleum products and chemicals, including naphtha, kerosene, MTB, methanol, jet fuel, MOGAS, and other hydrocarbons. GEM is staffed by industry professionals and an experienced team with a strong emphasis on recruiting and training.  GEM will aggressively target international best practice standards for every phase of its operations.

Caspian Pipeline Consortium
(CPC) 

Oman Oil’s shareholding in CPC is now 7% and the Company has a capacity rights to transport its potential oil production in Kazakhstan through the line.

The Government of Oman together with the Governments of Russia and Kazakhstan were equal Founding Members of the CPC, which was formed to construct a 1,600 km crude oil pipeline from western Kazakhstan to the Russian Black Sea port of Novorossiysk.

The pipeline, which began operation in October 2001, has a capacity of 28 million tones per year (approximately 560,000 barrels per day). As a result of increased shipment demand thru CPC, a feasibility study has commenced to expand the pipeline capacity to 67 million tonnes per year.

Compañia Logistica De Hidrocaburos S.A.
(CLH) 

Oman Oil Company holds 10% shares of Compañia Logística de Hidrocaburos S.A. (CLH), the largest petroleum and logistics company in Spain.

Spain is currently the fastest growing petroleum products market among economically developed countries and CLH along with its wholly owned subsidiary CLH Aviacíon are the dominant providers of petroleum product logistics and services. CLH owns and operates 100% of the petroleum product pipeline system in Spain and has a market share of approximately 85% of the overall logistics business. The Company also owns and operates an extensive network of tank farms, loading facilities, trucks and costal barges. In 2001, CLH generated before tax income from ordinary activities of EUR167 million on sales of EUR541 million and the Company employs approximately 2,400 people.

The current major owners of CLH are Repsol, Enbridge, Cepsa, Oman Oil Company, BP, Shell, Disa, Galp, Chian Aviation, and in addition there are a small number of shares of CLH traded in the Spanish Stock Market.

GS Power Korea

Oman Oil Company’s first direct investment in the power business

Oman Oil Company SAOC (OOC) signed on 7^th November 2004 the acquisition of 30% equity interest in LG Energy.  LG Energy was incorporated as a subsidiary of LG group under the laws of the Republic of Korea on October 9, 1996 to own and operate a power plant and its facilities in the Pyongtaek region of the Republic of South Korea.  Recently and based on the restructuring of LG Group, the shareholdings of LG Energy has change.  GS holdings holds 70% equity interest and OOC owns the other 30%. Accordingly the name of the company has changed to GS EPS.

The power plant has a capacity to produce up to 537MW.  The Plants sells its electrical energy on a take or pay basis to KEPCO, an electrical utility arm within Korea.    At the end of 2005, the board of GS EPS has approved and the company has achieved financial close of phase II expansion. The commercial operation of phase II scheduled during the first quarter of 2008 and the total installed capacity will be approximately 1070 MW.

Sagunto Regasification Terminal

Oman Oil Company signed an agreement with Unión Fenosa Gas and Unión Fenosa to acquire 7.5% of its shares in SAGGAS, which was incorporated to build Sagunto Regasification Terminal in Valencia, Spain with a total cost of US$ 432 million.

This agreement arises from the government of Oman efforts to enhance and develop investment cooperation with Unión Fenosa Gas which recently has acquired an interest in the Qalhat LNG project in Oman as well as one of the main off takers of the natural gas from Qalhat LNG terminal.

Unión Fenosa de Gas, considered one of the major companies in importing and supplying gas in Spain, is jointly owned by Eni of Italy and Unión Fenosa of Spain, both internationally recognized companies in the energy sector.   

The Sagunto Regasification Terminal consists of green field regasification terminal and port facilities to be constructed in the port of Sagunto, along with a gas spur line that will tie the terminal facilities to local industrial consumers and to the Spanish gas grid. 

The terminal scheduled to receive the first cargo on February 2006 and will start commercial operation in April 2006.

Oman Trading International

The agreement is joint effort between OOC and Vitol to establish a trading company that will trade crude oil and related products in the international marketplace.  The trading company, majority of which is owned by OOC, expects to commence trading activities in the beginning of 2006.

Oman Oil Company S.A.O.C. (OOC) and Vitol Group (Vitol) signed an agreement with Oman Refinery Company, LLC (ORC) on 4^th September 2005 that sets forth the key terms pursuant to which OOC and Vitol will off-take Omani refined petroleum products from the Sohar Refinery starting mid 2006. 

PTTCHEM

Formed in 2005 from the merger of two of the major players in Thailand’s petrochemical and chemical industry sectors – the National Petrochemical Public Company Limited (NPC) and Thai Olefins Public Company Limited (TOC). Oman Oil Company acquired 3% stake in TOC in 2004 and as a result of the merger, OOC stake in PTT Chemicals is reduced to 1.7%.

As a result of the merger, PTT Chemical is now Thailand’s largest producer of olefins and related downstream products, with the third largest production capacity in all of Asia. With combined potential output of 1,523,000 tons per year, PTT Chemical has the resources it needs to compete successfully in the world market.

PTT Chemical is a fully-integrated petrochemical manufacturer. Its core products – ethylene and propylene – are supplemented by a number of commercially valuable by-products that figure in the production of a wide range of downstream petrochemical products.