EXCLUSIVE: Oman weighs port expansion options

08 July 2018
Engineering and design contract for three berths at Oman’s Salalah port has not yet been awarded

Oman’s Transport and Communications Ministry (MOTC) is still considering options for the expansion of Salalah port, according to Nabil al-Bimani, group chief, Ports and Free Zone of Oman Global Logistics Group

“While Salalah [port] continues to grow, it has yet to reach full capacity,” Al-Bimani tells MEED. “A final decision [on the planned expansion] will have to come from the MOTC.”

However, Al-Bimani says that berths 7, 8 and 9 at the Port of Salalah are available for development and that the government could consider public-private partnership (PPP) as a potential option.

The port's container terminal handled 3.9 million twenty-foot equivalent units (TEUs) in 2017, up 19 per cent over the previous year. The container terminal has the capacity to handle up to 5 million TEUs.

MEED reported last year that bids for the engineering and design contract for berths 7, 8 and 9 were under review.

However, the contract has yet to be awarded due to “many business issues,” a source familiar with the project told MEED.

The project is part of the long-term expansion strategy for the port, one of Oman’s major logistics assets.

Over 3,200 vessels call at the port annually, taking advantage of the port’s strategic location on the Indian Ocean. The port lies almost equidistant to the markets of East Africa, the Indian subcontinent and the Arabian Gulf.

The port is gradually returning to normal operations, following major disruptions caused by cyclone Mekunu.

Northern Ireland’s Telestack recently won a €5.7m ($6.7m) contract to supply the port a mobile ship-loading system, which will be used to load limestone, gypsum and cement clinker.

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