Oman’s OTCCO to build key oil terminal

MUSCAT, July 6, 2017 – Plans for Oman’s Ras Markaz crude oil storage terminal moved ahead on Wednesday as officials signed an agreement for its construction with the Oman Tank Terminal Company (OTTCO).

The agreement was made between the Special Economic Zone Authority at Duqm, or Sezad, and OTTCO, a joint venture between Oman Oil Company (90%) and Takamul Investment Company (10%).

OTTCO can opt to undertake the full five-phase project itself or to contract out parts of the work, Oman News Agency reported.

The terminal, also known as the Ras Markaz crude oil storage park, is high-priority for Oman as it will create an alternative route for oil transportation. The project aims to replace the overcrowded Strait of Hormuz route, which hosts almost 40% of the world’s oil tanker traffic.

The project’s value has been estimated at USD 1.8 billion. Its first phase, expected to be operational in 2018, is targeting a capacity of 6 million barrels of crude.

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