Oman Railway Company (Oman Rail) could select and award the transaction advisory services contract for its planned mineral rail line soon.

“Things are moving again in Oman so hopefully they will be launching this project to the market soon,” a source tells MEED, citing that the independent nature of the mineral railway line is more favourable compared to the stalled $15bn national railway project, which was to connect to the planned GCC railway.

At least three teams comprising international technical and financial advisory firms are understood to have submitted an offer for the contract on 21 January. They include:

• Deloitte (US)
• Arup (UK)/ PwC (UK)
• Parsons (US) / HKA (UK)

The selected team or company will support Oman Rail develop the project using a public-private partnership (PPP) model.

Last year, Oman Rail awarded a joint venture of Rete Ferroviaria Italiana (Italian Railway State Company) and Italferr a consultancy contract for the scheme.

Two other firms – US-based Parsons and Lebanon’s Khatib & Alami – were shortlisted, but were not awarded the contracts.

Oman Rail had originally said it expects to award consultancy contracts, which will be on a call-off basis over a period of two years, to three consultancy firms.

Oman’s planned mineral rail line is envisaged to carry heavy freight from three locations in the Dhofar governorate to a central location, which will then link to a separate rail line that runs to the Duqm port, where the minerals will be exported to other markets by sea.

The line is envisaged to connect with Segment 4A, which, under the current Oman National Railway plan, will terminate in Amal. Amal will serve as the hub of the mineral line that will branch out to Shuwaymiyah, Manji and Thamrait. From Amal, a separate line will run to the Duqm port.

Mining Development Oman (MDO) said last year it expects to appoint a firm to conduct an exploration of gypsum and limestone reserves in the southern governorate of Dhofar.

The study is expected to take between three to six months. MDO was to undertake the study at the same time Oman Rail mobilises studies to determine the suitable operation and maintenance model, infrastructure, facilities and auxiliary services, among others, for the mineral railway.