International Petroleum Investment Company (Ipic), Abu Dhabi’s government-owned energy investment arm, and Oman Oil Company (OOC) have signed an investment agreement, which could facilitate the development of a large downstream complex in Oman.

The agreement calls for joint investments in the oil, gas and petrochemicals sector, domestically and internationally, as well as for the exchange of industry expertise.

OOC chairman Nasser bin Khamis al-Jashemi told the official Emirates News Agency (Wam), that  the two partners would cooperate in building refineries and petrochemicals.

Ipic is currently undertaking a feasibility study for an integrated refinery and petrochemicals complex in Duqm, Oman, a project it aims to develop together with the OOC.

Earlier in April, Ipic awarded the project management consultancy contract to US-based Shaw Group, after having restarted the feasibility study for the Fujairah and Oman projects, as well as for a refinery projects in Morocco.

The investment arm had stalled on its refining ambitions as the oil price slumped during the global recession in 2009. Ipic’s interest in downstream projects was rekindled as oil prices rose started to climb again, currently ranging above $100 a barrel.