Oman Gas Company (OGC) expects to complete its Salalah liquefied petroleum gas (LPG) extraction plant in 2018 before building similar plants in other locations, according to the group’s chief executive officer (CEO) Yousuf Bin Mohammad Al-Ojaili.

OGC plans to extract high-value LPG from pipeline gas and use it to supply downstream industries in the southern port of Salalah.

“The facility will produce something like 700-800 tonnes of butane, propane and condensate from the gas system,” said Al-Ojaili speaking at the MEED’s Oman Projects Forum in Muscat on 29 October. “We take this LPG out of the gas pipeline and we get methane for industrial consumers in the Salalah free zone region and petrochemicals industries based on the LPG itself.”

Al-Ojaili said the first LPG extraction project would be in Salalah, but this would be followed by other locations.

“Many downstream industries can be using LPG feedstock,” he added.

According to market sources, OGC is preparing to tender the front-end engineering and design (feed) contract for the Salalah LPG extraction plant.