MUSCAT, JAN 13
The Public Authority for Special Economic Zones and Free Zones (OPAZ) is preparing to launch a drive to attract industrial investments specifically in the petrochemicals sector, with the aim of harnessing opportunities linked not only to the now operational Duqm Refinery, but also to an ambitious petrochemicals complex planned downstream of the refinery.
According to a key official of OPAZ, petrochemicals still remains a priority sector for targeted investment despite a strategic shift towards more emerging economic sectors and technologies, notably green energy based downstream industries and Artificial Intelligence. Also in its sights for local and international investment are: Food and fisheries industries, Green steel and iron (downstream), Medical and pharmaceutical industries, and Green energy (downstream).
“In 2025, the Authority plans to launch a programme specifically to attract petrochemical industries,” said Dr Said bin Khalifa al Quraini, Director General of Investment Development at OPAZ. “As the zones develop in the coming years, we will continue to attract investments in other high-value sectors, such as Information and Communication Technology (ICT), heavy machinery and equipment manufacturing, and recycling industries.”
This emphasis on petrochemicals, made in an interview featured in the latest edition OPAZ’s newsletter Duqm Economist, underscores the potential for robust new investments that seek to maximize downstream value creation from commodities produced by Duqm Refinery, and a future petrochemical complex currently in the feasibility study phase.
The partnership of OQ (the Omani owned integrated energy group), Saudi Arabia’s SABIC (one of the world’s largest petrochemicals companies), and Kuwait Petroleum International (KPI), is currently exploring the viability of establishing a full-fledged petrochemicals hub at Duqm SEZ downstream of the Duqm Refinery. The proposed petrochemicals complex will source its feedstock needs from Duqm Refinery, which was brought into operational early in 2024 with a capacity of 230,000 barrels per day.
OPAZ, which oversees all of Oman’s SEZs, free zones, industrial cities and specialized parks, has so far attracted around RO 20.10 billion in investments across its portfolio as of 2024-end, said Dr Al Quraini.
A further 250 prospective projects, distributed across various manufacturing and industrial sectors, are currently being ‘tracked’ before they can be converted into solid, confirmed investments. They include 48 initiatives linked to renewable energy and green hydrogen, and 41 in the industrial sector, he noted.
Further with the goal of capitalizing on the overall value proposition offered by its diverse investment hubs, OPAZ is also targeting investments in emerging sectors, including Artificial Intelligence and crypto-mining, said the official.
“The Authority is working to attract investments in artificial intelligence, including drone technologies and aquaponics. It is also developing the AI Zone in Duqm to serve as a research hub, contributing to transforming Duqm into a smart city.”
Additionally, in line with the goal of adopting advanced technologies, the Authority has successfully localised cryptocurrency mining investments in coordination with relevant authorities, he added.
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