Nawras prepares for launch

21 January 2005
Nawras Telecom, the 70:30 joint venture led by Qatar Telecomand Denmark's TDC Mobile International awarded the sultanate's second mobile licence in June, plans to roll out services in the first quarter of 2005, says Nawras' chief executive Ross Cormack. Financing for the RO 40 million ($102.6 million) licence is close to completion, led by Qatar National Bankand involving Gulf International Bankand Bank Muscat.

At launch services will cover about 60 per cent of the population, located in and around Muscat, along the Al-Batinah coast and in Salalah. Within five years, some 96 per cent of the population will have access to Nawras' services. 'We believe that penetration has the potential to rise to at least 65 per cent, from about 35 per cent today,' says Cormack. The operator is investing about $160 million and Sweden's Ericssonhas been appointed as equipment supplier. 'We are more than 70 per cent organised for the roll-out and already have 230 employees, mostly Omani nationals,' he says.

Nawras has a three-year period of exclusivity before the government can choose to issue a third licence. 'The TRA [Telecommunications Regulatory Authority] has done a good job of creating a competitive environment, and the fact that more than 25 operators, including some of the world's biggest names, applied testifies to that,' says Cormack. Q-Tel is also looking at other overseas opportunities in partnership with TDC in the Middle East & North Africa and in Eastern Europe, either by acquiring a new licence or by investing in an existing operator.

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