Muscat, November 21 - Neftegaz.RU. Oman, a Persian Gulf producer with 1 million bpd of oil production and not a member of OPEC, is integrating 2 of its government-owned companies to create one large refining and trading firm.
Oman Oil Company and Oman Refineries and Petroleum Industries Company (ORPIC) are integrating their downstream businesses as phase one of their merger plan. The boards of directors of the 2 companies appointed Musab Al Mahruqi as the Group CEO.
The integration of the 2 companies will take place in several stages, taking into account the specifics of each business. ORPIC has 2 refineries, a polypropylene plant, and an aromatics plant in Oman. The 2 refineries, Mina Al Fahal and Suhar, have a combined production capacity of 222,000 bpd.
Oman Oil plans to build a refinery in Duqm, in which Oman is joined by Kuwait in the project. Oman Oil also has a 26% stake in Bharat Oman Refineries Limited (BORL), the company that owns and operates the Bina refinery in India with capacity of 120,000 bpd, and 7 % in Hungary’s oil producer and refiner MOL Group. Oman Oil is also the majority owner of Oman Trading International, which trades crude oil, petroleum products, petrochemicals, and LNG.
According to Bloomberg estimates, the Oman Oil-ORPIC merged company will hold a combined 1.1 million bpd of refining capacity in Oman, India, and Hungary and oil and gas production in Oman.
