Going High-Tech: Oman Gas to build state-of-the-art Liquefied Petroleum Gas plant in Salalah
The new liquefied petroleum gas plant is designed based on state-of-the-art technology and strict health, safety and environment principles
Oman Gas Company (OGC) on Sunday signed a memorandum of understanding (MoU) with both Salalah Free Zone (SFZ) and Port of Salalah (POS) for building a world class liquefied petroleum gas (LPG) processing plant at SFZ and the storages and export facilities at the port.
The new liquefied petroleum gas plant is designed based on state-of-the-art technology and strict health, safety and environment principles, which allows for very high recovery of propane, butane and condensates.
This vibrant project will require 1,000 indirect employees during construction phase and 170 direct permanent employees during operation of LPG plant.
The new facilities include the extraction plant to extract LPG from natural gas, which is transported by OGC, inside the SFZ while the LPG and condensate storage facilities and export Jetty will be located at the Port of Salalah. The project will also involve increasing the length of Gas and liquid pipeline network in Salalah.
Project expected to go on stream by 2018
Eng. Yousuf Al Ojaili, chief executive officer of Oman Gas Company, said that the project is expected to be on stream by 2018 and will provide employment and industrial growth opportunities in Salalah area. It will also secure supplies of cooking gas to the Dhofar area, instead of current supplies by trucks from oil field locations. The Minster of Oil and Gas directed to study this project earlier and hopes that similar projects will be pursued in other locations in Oman soon.
"The MoU to construct this vital project in the Salalah region comes from the strategic goal of exploiting the natural resources of the Sultanate to create projects, which will add value, and broaden the horizons for other industries that are located downstream of the LPG value chain. This project will bring with it a lot of advantages, including help in creating employment training opportunities for Omanis in the region.
Furthermore, the project will also help in development of opportunities for SME's," noted Eng. Awadh Salim Al Shanfari, CEO of SFZ.
Ahmed Akaak, Deputy CEO at the Port Of Salalah said; "Gas has increasingly becoming a critical energy resource for the current as well as future development of the Sultanate and surrounding region. As a vital supplier and catalyst for new businesses and new job opportunities to come into Salalah Free Zone and the Port, we welcome Oman Gas Company and look forward to having the project's expansion storage facilities here in the Port of Salalah."