Firms prequalify for Salalah ammonia plant

19 March 2015

Takamul expected to tender chemicals project in second quarter

  • Proposed plant to produce 1,000 tonnes a day
  • Will use feedstock from nearby methanol plant
  • South Korean, Japanese and European groups prequalified

Oman is expected to float a tender for a proposed ammonia plant in Salalah during the second quarter of 2015, after prequalifying several companies to bid.

Takamul Investment Company, a state-owned industrial investment vehicle, plans to build a plant to produce 1,000 tonnes a day (t/d) of ammonia, a chemical mainly used to make nitrogen-based fertilisers and cleaning chemicals, and for fermentation.

Companies prequalified to bid for the engineering, procurement and construction (EPC) tender are thought to include:

  • Daelim (South Korea)
  • GS Engineering & Construction (South Korea)
  • JGC Corporation (Japan)
  • Mitsubishi Heavy Industries (Japan)
  • Saipem (Italy)
  • Samsung Engineering (South Korea)
  • SNC Lavalin (Canada)
  • Tecnicas Reunidas (Spain)

Germany’s Linde has completed the project’s front-end engineering and design (feed) study.

The proposed ammonia plant will use feedstock from the nearby methanol plant operated by Salalah Methanol Company, in which Takamul has a 10 per cent stake.

The scheme is expected to cost “several hundred million dollars”, according to a previous announcement by Takamul.

Companies have also been prequalifying for the EPC tenders on the proposed $3.6bn Liwa Plastics petrochemicals complex in Sohar. The operator, Oman Oil Refineries & Petroleum Industries Company (Orpic), is expected to float the tenders for four packages in the second quarter of 2015.

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