The Duqm Refinery will occupy around 9km2 (the equivalent to 833 football pitches) and will have an oil processing capacity of 230,000 barrels a day from a variety of crude mixtures. Primary products will be naphtha, jet fuel, diesel and LPG.
The project will be part of the Special Economic Zone of Duqm (SEZD) – the next industrial and economic hub in Oman. The area will have up to $15 billion invested over the next 15 years, will generate 12,000 jobs (10% of which will be for Omani nationals), and will be one of the largest industrial zones in the Middle East. Significant investment already in the area includes a new airport (the Duqm Jaaluni Airport), a new dry dock, roads and hotels. The Oman Tourism Development Company (OTDC) is looking to also boost tourism in the area and aims to increase the population from 11,200 in 2010 to 100,000 by 2020.
The Duqm Refinery project is currently a joint venture (50:50) between Oman Oil Company (OOC), which is state owned and aims to seek investment opportunities in the energy sector both in Oman and other countries; and the International Petroleum Investment Company (IPIC), which was formed by the Abu Dhabi government in 1984 to invest in energy related sectors across the world. The relationship started with an agreement between OOC and IPIC in 2009 to assess the feasibility of building an oil refinery. After this had been completed it lead to the creation of the joint-venture company: the Duqm Refinery and Petrochemical Industries Company (DRPIC).
However, at the time of writing, the OOC have signed a memorandum of understanding with Kuwait Petroleum Corporation (KPC) for partnership instead of IPIC.
In November 2015 the project invited 7 applications to tender for the EPC contracts to design and build the refinery. The tender is made up of two contracts, with the larger one responsible for all the equipment and structures required to process the crude oil and the smaller one responsible for the facilities, utilities, buildings and tankages that are needed to support the refinery process. The Duqm Refinery project team are still assessing these bids for the construction packages.
Site preparation works were scheduled to be completed by the second quarter of 2016 and involved the excavation and backfill of the site, digging canals to drain rainwater, and fencing. A total of 540 pieces of machinery and 950 people working on this stage at the peak.
The project is estimated to come online in late 2020.
Duqm Refinery Jobs with NES Global Talent
NES are well placed to recruit for jobs at the Duqm Refinery project. We have a strong relationship with key members within the Duqm Refinery office in Muscat and have already made a number of contract placements in the corporate team. We are also well placed to be involved in the EPC and PMC due to our track record in Oman and some of the EPC contractors bidding on work with Duqm.
NES also have a strong presence in Europe and Asia, where there is also a strong possibility that design work will take place. We have been involved in some of the EPC pricing tenders in these regions.