Oman Cement to build power plant in Duqm expansion

Dubai — Oman Cement Company has issued a tender for an engineering, procurement and construction contract for a planned new power plant, as it seeks to expand its operations to the port of Duqm, where an oil refinery is being jointly built by Oman and Kuwait.

"In order to achieve higher energy efficiency in the company's operations, a decision has been taken to install a new power plant with the latest technology," Oman Cement, stated in a 12 March filing to the Muscat Securities Market. "Offers from EPC contractors have been received and the evaluation is completed."

The company, whic his developing a new integrated cement plant in Duqm, did not state the intended capacity for the power plant.

It is also planning to install a waste heat recovery unit on its existing gas turbine power plant, and the tender for this is under preparation, the company said. The plant is situated in the Misfah Industrial Area, 32 km from Muscat International Airport.

Duqm special economic zone and port is the site of several energy infrastructure projects under development and construction. They include the 230,000 b/d Duqm refinery, which has been under construction since 2018, and expected it start up in 2022.

In February, Oman Oil Marketing Company (OOMCO) announced plans commission a new bunker terminal with 30,000 cu m of storage capacity at the port before the second quarter of this year.

As part of the $480 million investment in the project, Duqm Power is setting up a 326 MW combined cycle and gas-fuelled electricity generation plant alongside a 36,000 cu m/d reverse osmosis desalination plant, in addition to seawater supply and discharge facilities. Electricity from the plant will initially cater to the needs of Duqm Refinery.

In November, Duqm Refinery and Petrochemical Industries Company (DRPIC) announced the suspension of the Front-End Engineering Design (FEED) work for its proposed Duqm Petrochemical Project, due to market conditions.