Egyptian group wins Duqm gas pipeline deal

30 November 2016

Oman starts project to connect the Saih Nihayda gas field with port of Duqm.

Egypt’s Petrojet has been awarded a near-$100m contract to build a gas pipeline in central Oman, according to sources familiar with the project.

Project owner Duqm Special Economic Zone Authority (Sezad) awarded the engineering, procurement and construction deal after receiving bids from several companies.

The project will install a pipeline connecting the Saih Nihayda gas field with the port of Duqm.

Petrojet is understood to have submitted the lowest commercial bid of $96m to build a pipeline with bids initially submitted toward the end of 2014. Oman’s Al-Hassan Group is thought to have submitted the second lowest price.

The scope of work includes: a 36-inch, 230-kilometre pipeline; valve stations; scraper launcher/receiver facilities, cathodic protection, leak detection system, and associated facilities.

The gas piped to Duqm will meet demand for power at the port, which is expected to grow significantly as the port’s population and industrial operations expand.

Oman has also received bids for building a new refinery and a liquid bulk terminal at Duqm.

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