Daelim’s First Entry into Oman with Super-Sized Plant Project
DATE 2013.11.25
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Daelim’s First Entry into Oman with Super-Sized Plant Project
Daelim wins USD 2.1 billion project to expand oil refinery jointly with British company
Daelim succeed in penetrating Oman by winning the super-sized oil refining plant expansion project for the first time in its history. Daelim inked a USD 2.1 billion contract to expand Sohar Oil Refinery at Oman’s Ministry of Oil and Gas building located in Muscat, the capital of Oman, on November 25, 2013. Out of the total contract amount, Daelim’s stake is USD 1.5 billion (KRW 1.114 trillion).
Oman’s Oil and Gas Minister, the CEO of Oman’s state oil refining and petrochemical company (the client), and Daelim’s employees attended the contract signing ceremony. Daelim will conduct and supervise the project and undertake the project jointly with British Petrofac.
The Sohar Oil Refinery project is set to build new plants producing high-quality naphtha, gasoline, and diesel through crude oil processing and expand the existing oil refinery. Daelim and Petrofac will provide comprehensive project services ranging from engineering/design and equipment and materials purchase to construction and test run in joint venture fashion. Daelim is in charge of the construction of eight core new plants, whereas Petrofac will carry out the maintenance/repair of existing plants and construction of work support facilities. The project site is located within Sohar Industrial Complex, 230km northwest from Muscat, and the project will be completed in 36 months. Once the project is successfully completed, Sohar Oil Refinery’s daily refined oil output is forecast to increase 70% to 187,117 barrels per day.
According to Daelim CEO Lee Chul-gyun, winning this project means that Daelim’s plant capabilities have reached world-class levels following its successful project undertaking experiences in Saudi Jubail Oil Refinery and Yanbu Oil Refinery. “This project is expected to be an opportunity to cement our status in the oil refining plant field through our success in market diversification as well,” he added.
