Muscat: Oman's market is very well placed for investors in the region, especially from the UAE, according to a senior executive of the top emirate firm.
"The companies in the UAE are capable and they have easy proximity to Oman," Khalil N. Al Khouri, CEO of NSCC, said during a press conference to announce a joint venture with Qurum Business Group address the piling and other foundation engineering requirements of Oman.
Little impact
He added that Oman was a very important place for business. "Oman had had little impact of the global economic recession unlike the other GCC countries," he said, justifying regional players' keenness to enter Oman market.
"We are here for a long-term commitment as we see great business potential in Oman," Al Khouri said, adding that stability in Oman was a major plus for business opportunities.
"Our joint venture [to be known as NSCC] will have an initial investment of $5 million and we would like to increase it to $20 million (Dh73.44 million) in next three years," said Abdul Aziz Al Hosni, the QBG Vice-Chairman and Managing Director.
He added that the new company will look to generate $10 to 15 million in business in first year.
The Omani company will hold 30 per cent share and NSCC will have 70 per cent share in the joint venture with management also in capable hands.
"The government decision to increase investment in the eighth five year plan will help flourish businesses and we see a good opportunity to compete in the piling jobs," Al Hosni said.
"The joint venture will address the piling and other foundation engineering requirements of Oman and will be well positioned to compete in an increasingly dynamic and competitive environment," said Al Khouri, who also praised fair business practices followed in Oman.
Holding company
QBG, since the 1990s, has its businesses in a wide spectrum of projects and industries in Oman and the GCC including operational offices in Dubai, Abu Dhabi and Saudi Arabia.
QBG is a holding company for many successful ventures and also has in its stable a range of agency products and Services. NSCC, founded in 1968, first opened its doors for business as a marine contractor specialising in sheet piles, marinas, jetties and slipways.
Committed to staying abreast of all of the latest trends and technologies, NSCC was the first to introduce piled foundations to the UAE in the early 1970s through the use of driven piles, precast and cast in-situ — mainly using diesel and drop hammers.
The joint venture will provide the broadest possible access to Piling, HDD, retaining walls, and ground anchors.
"For NSCC, entry to Oman is strategically compelling and will generate attractive synergy and value to the customers," added Al Khouri.
