Oman Oil Company and International Petroleum Investment Company (Ipic) are close to appointing a financial adviser for the development of a planned refinery at Duqm, in Oman.

France’s Credit Agricole is understood to be the favourite to win the mandate and was shortlisted along with the UK’s HSBC in June. The sponsors had held meetings with potential advisers in late May.

The refinery is the first phase of an estimated $15bn development plan, including the $6bn refinery and a $9bn petrochemicals complex feed by the refinery. Once completed, the refinery is set to have a capacity of 230,000 barrels a day and is expected to be completed by 2017. The Oman Oil and Gas Ministry says it is one of the sultanates most important investment projects.

Credit Agicole’s last financial advisory role in the Middle East was the $9.6bn Saudi/French Saudi Aramco & Total Refining & Petrochemical Company (Satorp) deal completed in 2010. HSBC is already working as financial adviser on three major refinery projects around the region: Ipic’s $3bn refinery in Fujairah; the Oman Oil Refineries & Petroleum Industries Company expansion project; and with France’s BNP Paribas on the $6bn Bahrain Petroleum Company (Bapco) expansion scheme.