Joint venture to invest $200m in Sohar port

A joint venture company is expected to invest more than $200 million (Dh734 million) to develop a major tankage terminal at the Omani port of Sohar, a report said.

Work on the facilities, designed to handle petroleum products, chemicals and other liquids, will begin in 2006, according to a report yesterday in the government-owned English-language daily Oman Daily Observer.

Oiltanking Odfjell Terminals Oman has been awarded a concession by the Sohar Industrial Port Co to develop the storage terminal and operate liquid berths at the port of Sohar.

The company is a joint venture of Oiltanking GmbH of Germany, the world's leading provider of independent liquid storage facilities; Odfjell ASA of Norway, a global leader in chemicals and liquids transportation; and state-owned Oman Oil Co.

Oiltanking and Odfjell each hold a 35 per cent stake, while Oman Oil Co holds 30 per cent of the company's equity.

"Oiltanking Odfjell Terminals Oman is presently under formation and will be established as a limited liability company within the next four to six weeks," said Captain Raf van Steenbergen, managing director of Oiltanking Odfjell Terminals Oman.

Odfjell signed a contract with Sohar Industrial Port Co for the exclusive operation of liquid berthing facilities and the development of a storage terminal in Sohar.

A total of six deep-water marine jetties capable of handling up to 100,000 deadweight tonne vessels, are planned for the Omani port.