Dr. Mohammed bin Hamad al Rumhi, Oman's Oil and Gas Minister, board chairman of Omani Aromatics Co. and deputy chairman of Oman Oil Co. board has signed the Engineering and Construction Agreement for the construction of the Aromatics Factory at Sohar Industrial Estate in cooperation with GS Engineering and Construction Co. of Korea and LG. International.
K.R. Kim, President and Chief Executive Officer signed on behalf of G.S. Co. and G.A. Young, executive vice-president on behalf of LG. International, ONA reported.
Dr. Al Rumhi stated that the project is a new approach of Oman oil company to develop the petrochemical sector in the Sultanate. He added the project would endeavour to promote and develop the down-stream projects in Oman serving a wider range of local investment and providing employment opportunities to the Omani youth.
Dr. Al Rumhi said that engineering and construction of the plant will start on August 6th and production will start in the second half of 2008.
He added that oil and gas projects being executed by Oman Oil Co. will increase the Sultanate’s national income and transform Oman from a crude oil and LNG producing country to manufacturer of oil derivatives.
It should be mentioned that Oman Aromatics Co. is a joint investment venture, Oman Oil Company has 60% stakes, Oman Refinery Co. and LG International 40% equal stakes. The total cost of the project is estimated by US$ 1.6 Billion.
The Aromatics factory will be built at Sohar industrial estate.