Oman Gas Company (OGC) has asked interested contractors to bid for a gas loopline project, which will supply the area around Salalah in the south of the sultanate.

The state-owned gas group has set a 27 July deadline for companies to submit proposals for the project’s engineering, procurement and construction (EPC) contract.

The estimated $40m project covers the construction of a 32-inch wide, 85-kilometre pipeline to meet increasing demand for gas in Dhofar governorate. The EPC contract is expected to be awarded in November 2012 and completed by the end of 2014.

The loopline will complement the recently-completed Nimr gas-pumping project, which has increased the volumes of gas pumped to chemical and industrial plants around Salalah.

Earlier this month, Petroleum Development Oman (PDO) tendered a gas loop pipeline project at the Barik field in Al-Wusta governorate, central Oman.