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ME-TRANSLOG 2016 transport show to be held in Oman

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ME-TRANSLOG 2016, Oman’s only and most comprehensive exhibition on transport and logistics, will be held from 5-7 September 2016 at the Oman International Exhibition Centre, Seeb, Muscat, in the Sultanate of Oman.

The Middle East Transport and Logistics Expo and Conference will showcase the entire spectrum of transport and logistics products and services including: Airport and Aviation, Rail and Metro, Ports and Maritime, Ship Building and Repair, Road Infrastructure, Tunneling and Underground Infrastructure, Smart City, Urban and Public Transport, Parking, ITS and Traffic Management, Transport Solutions and Management, Commercial Vehicles-Heavy and Light, Logistics, Cargo and Supply Chain, Storage, Warehousing and Materials Handling, Special Economic and Free Trade Zones, Oil and Gas Transportation, Storage and Handling, ICT Solutions, Safety and Security.

ME-TRANSLOG is supported by the MOTC-Ministry of Transport and Communications, PACA-Public Authority for Civil Aviation Oman, OAMC-Oman Airports Management Company, Royal Oman Police Customs Authority, Muscat Municipality, Ithraa – Public Authority for Investment Promotion and Export Development, PEIE-Public Establishment for Industrial Estates, Riyada – Public Authority for Small and Medium Enterprises Development.

The other supporters are UKTI – United Kingdom Trade and Investment, Middle East Association UK, The Netherlands Embassy, GS-1 Saudi Arabia and OABC – Oman American Business Center, acclaimed associations such as IHMA – International Harbor Master’s Association, IRU – International Road Transport Union, Logistics Executive, Oman Road Safety Association, Oman Road Transport Association and Supply Chain and Logistics Group are also supporting the show. The strategic partners are ISCEA – International Supply Chain Education Alliance, whereas the research partners are Oxford Business Group.

The Diamond Sponsors are: Port of Duqm, Port of Sohar, Port of Salalah, Sohar Free Zone, C. Steinweg Oman LLC, Oman International Container Terminal, Mwasalat – Oman National Transport Company and Khazaen Logistics Company.

The Platinum Sponsors are: Al Jarwani Hospitality-The Logistics partner and Oman Shipping Company.

The Gold Sponsors are: IHE-International Heavy Equipment and John Menzies Aviation PLC.
Our Associate Sponsors are: Kuehne + Nagel, National Ferry Company, PTV Group, TATI Oman -Technical and Administrative Training Institute and Wared Logistics.

On behalf of the team at Muscat expo, we welcome you to the show.

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Oman construction sector tipped for growth

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Oman’s construction sector is expected to post a healthy growth in the coming years, following major international investments into Duqm, analysts have said.

Global investors, mainly from China, have begun to fill the fundraising gap caused by low oil prices and the subsequent cuts to government spending on infrastructure projects.

According to a report by the Oman Daily Observer, analysts predict that the Sino-Oman Industrial City – the result of the Omani government’s efforts to involve private partnerships in major projects, will help underpin growth in the sultanate’s construction industry.

This will accelerate growth from an unexpected 2.4% this year – the lowest since 2000 – to 4.9% by 2019, the analysts said.

“Although Oman possesses a degree of private investment in its construction sector, the state still plays a pre-eminent role in funding infrastructure projects, and as oil accounts for approximately 85 per cent of government revenue, the collapse in price has had a negative impact on its ability to finance projects,” David Lee, an infrastructure research analyst at Business Monitor International, was quoted as saying in the report.

Meanwhile, a number of sectors are expected to show healthy growth, with transport, electricity and water projects all likely to see strong improvements over the medium term.

“Growth in Oman’s construction sector will come primarily from investment in transport infrastructure projects and the government’s push for private partnership to mobilise investment in the construction sector. This will become increasingly important as global oil prices remain low, curbing government spending,” Lee said.

Residential and non-residential construction is also expected to receive a boost, supported by a growing tourism industry and popular support for social infrastructure projects.

In May 2015, an agreement was signed between Oman and China, which would see a consortium develop three separate zones – heavy manufacturing, light manufacturing and a mixed-use area.

Oman-Iran gas pipeline cost ‘set to rise’

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The cost of a planned 400km gas pipeline between Iran and Oman is set rise because of a change in the subsea route, according to a Reuters report.

The subsea section of the pipeline could be rerouted and the design changed, the news agency said citing an unnamed source.

While the new proposed route will be shorter it could go deeper – up to 1000 metres, double depth of the earlier plan. Capacity may also be raised.

“We expect slight upward budget adjustment because of this change,” the source told Reuters. “But we have not finished the deep route survey yet.”

Despite the potential change, the project is not being shelved, the source added.

Iran and Oman in 2013 signed a gas-supply deal valued at $60 billion over 25 years. It would allow Oman to use Iranian gas for domestic needs as well as to export it to global markets as LNG.

Initial plans for the pipeline suggested it would cost between $1 billion to $1.5 billion to build, and include a 200km stretch under the Arabian Gulf, and another 200km onshore in Iran.

In June, it was reported that the Dutch offshore engineering firm Intecsea had submitted a proposal to participate in the construction of the proposed pipeline.

Oman: Atkins wins Duqm City consultancy deal

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WS Atkins International, the UK-based consultancy, says it has won the contract to provide the detailed master planning, market and feasibility study, and the design and preparation of tender documents for the first phase of Duqm City in Oman.

The contract was awarded by the Special Economic Zone Authority of Duqm (Sezad), which already completed the initial concept master plan for the city in 2014.

Atkins will be joined by sub-consultants on the project including Deloitte, Five Oceans Environmental Services, Kamel Establishment, Driver Consult and Design Urban.

Spread over an area of 150 sq km, Duqm City consists of five districts, inclusive of existing and upcoming residential, commercial, mixed-use, logistics and tourism developments.

The first phase is to be divided into four stages, and spread over a period of 30 weeks, a report in the Oman Tribune said.

The scope of work includes the detailed city master plan, a market and a technical feasibility study, a strategic environmental assessment, sustainability, assessment, concept design with engineering fit, tourism strategy, transport master plan and drainage plan.

Oman: Turkish firm wins $277m Duqm Port contract

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A Turkish engineering firm has been awarded a contract to build the infrastructure of the commercial quay at the Port of Duqm in Oman, according to reports.

Serka Taahhut Insaat, a subsidiary of Abdali Holding, was awarded the RO 107 million ($277m) contract, according to the Oman Daily Observer.

Works include the construction of roads and the development of a port operation zone, and are expected to complete by around 2019, it was reported.

Plans also include the creation of a 300-metre-long dry bulk terminal with a capacity to handle 5 million tons per annum of minerals, the newspaper said.

“The project consists of all necessary infrastructure like ground improvement, crane rails, power distribution, drainage and sewer systems, site lighting, pavements, roads, perimeter security systems, refer gantry systems and also the administrative buildings and warehouses on roughly 1 million square metres of land to serve as a container terminal at Port of Duqm,” a statement by Abdali Holding reportedly said.

Portuguese-Turkish consortium wins major Oman port infrastructure work

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A consortium of Portuguese engineering and construction company MSF Engenharia and Turkish contractor Serka Taahhut has won a major package of infrastructure works at the port of Duqm in Oman.

The $281 million contract, which was awarded by the Special Economic Zone Authority Duqm (Sezad), involves the construction of roads, infrastructure and buildings at the commercial terminal and operational zone areas in Port of Duqm.

The entire work is likely to be completed in 30 months, according to a statement from MSF. Under the agreement, the MSF consortium will complete work on infrastructures (potable water, firefighting, storm water drainage, sewerage, pumping stations, electrical and telecommunications networks).

The project also includes road and paving works, buildings (offices, electrical services buildings, warehouses, workshop and maintenance buildings), port crane beam and track works.

With this project, MSF makes it foray into Oman’s construction market. The Portuguese construction major has already made inroads in the GCC with big contracts in Qatar and the UAE.

Mega theme park planned in Oman – report

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Plans are underway to build a 1.5 million square metre theme park complex in Barka in northern Oman, according to media reports.

The multi-cluster development is being built by the Muscat National Development Company (ASAAS), the Times of Oman reported.

Plans include an integrated theme park, wildlife attraction, waterpark, equestrian centre and edutainment centre, the report said.

It will also feature multiple hotels, a residential zone and retail areas.

The master-planner is Surbana Jurong, an urban and infrastructure consultancy headquartered in Singapore.

Case appoints new equipment dealer for Oman

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Case Construction Equipment has appointed International Equipment and Contracting Co (IECC) as its new dealer in Oman to meet growing demand for construction machinery from contractors, government organisations and rental businesses.

The global construction machinery manufacturer, which is owned by Italy’s CNH Industrial Group, said in a statement that the move follows its anticipation of a boost in the sultanate’s construction equipment market based on rising oil prices and government investment in energy, manufacturing, transportation and utilities, as well as major public sector construction projects.

IECC, a Bahwan International Group company, was established in 1985 and has modern facilities in Mawaleh, Muscat, along with depots in Sohar and Salahah. The company has more than 100 staff with dedicated sales and service teams working in commercial vehicles, earthmoving, construction, industrial and surveying equipment and has become an important player in Oman’s infrastructure development, Case said in its statement.

IECC has committed to sell and support the full range of Case construction machinery throughout the sultanate, including the heavy and compact line and the new Case range of motor graders. The company has a dedicated and knowledgeable workforce, a substantial parts stockholding and fully trained technicians to provide service and maintenance to customers, both on their construction sites and in its workshops, the statement added.

“IECC is committed to being a dominant player in Oman’s infrastructure through the supply of world-class high-end technology and best in class after sales support,” said Sheikh Ahmed Suhail Bahwan, chairman of Bahwan International Group.

“Since its inception, IECC has catered for the construction sector by supplying various types of construction equipment for road building, bridges and general construction, pipelines and infrastructure projects. IECC is privileged to represent Case Construction Equipment in Oman, reaffirming the trust and value of the relationship that we have had with CNH Industrial Group over the last 10 years. We have built strong relationships with construction companies, contractors and rental organisations by providing high quality equipment backed by excellent after sales support.”

IECC already has a strong relationship with CNH Industrial Group as a distributor of road transport products from its group company Iveco, and has an established service network across the country, the statement added.

Commenting on the agreement, Franco Invernizzi, senior business director for CNH Industrial Africa and Middle East, said: “Case Construction Equipment is committed to delivering the highest quality service and support throughout the Middle East and I am delighted that IECC has agreed to become our exclusive dealer for the Sultanate of Oman.”


Oman: $13m works at City Centre Qurum mall complete

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The City Centre Qurum mall located in Muscat, Oman, has announced the completion of the final stage of its OMR5 million ($13m) redevelopment project.

The Majid Al Futtaim (MAF) owned and operated mall now features more outlets with a total of approximately 26,500 square metres of space, offering over 13 diverse dining and café options and 91 retail destinations, as well as various entertainment options, said a statement from MAF.

The redevelopment work, which began in April 2016, has added stores such as a 3,150 sqm Centrepoint – the multi-brand retail concept of the Landmark Group. The mall already features a strong line-up of retail, restaurant and entertainment options including Carrefour Hypermarket, VOX Cinemas, H&M and Magic Planet, etc, MAR said.

The expansion also includes 177 additional car parking spaces, bringing the total number of parking spaces available to 1055, MAF added.

“I am pleased to confirm that the redevelopment project is now complete and that we were able to deliver it in a timely and cost-effective manner,” said Watfa Humaid Al Harthy, Senior Mall Manager, City Centre Qurum. “Centrepoint is a welcome addition to City Centre Qurum’s comprehensive retail line-up and the latest addition is a testament to our commitment to introducing the latest retail concepts to meet the needs of our community while creating great moments for everyone, every day.”

According to the statement, the Centrepoint management added that since its opening, the multi-brand retail concept has performed exceptionally well and has witnessed an increase in both footfall and sales.

Oman real estate deals hit $454m in December

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The value of real estate traded contracts in Oman during December 2016 stood at $454m, according to the Oman News Agency (ONA).

The collected fees amounted to $13m, said Abdullah bin Salim al-Mukhaini, secretary of the real estate registry at Oman’s Ministry of Housing.

He added that the real estate activity involved 25,935 transactions, including sale, grant, inheritance, exchange, mortgage and mortgage redemption, usufruct and division transactions.

Al-Mukhaini pointed out that the Governorate of Muscat recorded the highest number of sales contracts compared to other governorates during December 2016, totalling 773 sale contracts, followed by North Al Batinah with 868, South Al Batinah with 661, and Al Dakhiliyah with 370.

A total of 17,462 title deeds were issued during December 2016, including those issued for the GCC citizens.

Oman issues new regulations to set up contracting firms

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Oman’s Ministry of Commerce and Industry has issued new regulations which make it simple for businesses to start companies and establishments in the contracting sector across the sultanate, according to new guidelines posted on its website.

Under the new rules, companies will no longer be required to show proof of capital when registering a new construction or contracting establishment.

Also, contracting activities will not require different commercial licences for different contracts. The decision was recently taken by the Minister of Commerce and Industry, Dr Ali Masoud Ali Al Sunaidi, to help create new local jobs.

With this ministerial decision, companies will be able to register different contracts under the same licence as their other existing projects, according to the report. Experts say that this will encourage the establishment of more firms in this sector, thus leading to stiff competition and creation of more jobs for the nation’s workforce, according to the Times of Oman.

Oman’s SEZAD awards infra contracts worth $220m

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The Special Economic Zone Authority in Duqm (SEZAD) has awarded contracts for infrastructure works to four local companies in Oman, according to a report by the state news agency.

Yahya bin Said al-Jabri, chairman of board of directors of SEZAD signed four agreements to implement infrastructure works in the Special Economic Zone in Duqm (SEZD) at a cost of approximately $220m. The signing of these agreements was part of SEZAD efforts to complete infrastructure projects within a five-year plan leading to 2020.

SEZAD signed a $129.1m contract with Serka and Rajab & Aidi Earthmoving Co in a joint venture, which stipulates the construction of two drainage channels.

In the agreement signed with Premier International Projects, the builder will construct two protection dams – one over Wadi Jarf and the other on Wadi Sai at a cost of $70.1m.

The contract awarded to Al Hajri Company, comprises the construction of Interface Roadway at Duqm at a cost of $18.7m.

The fourth contract, signed with Al-Sarooj Construction, is valued at $1.9m. Works include construction of a service road of 790m long along the tourism road in Duqm, with parking spaces for 63 buses, pedestrian paths and a 740m concrete channel for rainwater drainage.

Majid Al Futtaim breaks ground on Oman community mall

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Majid Al Futtaim has said its property arm has broken ground on a new community mall in Sur, the capital of the north-eastern Omani province of Ash Sharqiyah.

Located in one of Oman’s growing coastal cities in the eastern region, the $39 million, ‘My City Centre Sur’ is set to become a key destination for both residents and the increasing number of tourists visiting nearby attractions, said a statement from the company.

Majid Al Futtaim Properties has appointed a joint venture of Oman Shapoorji Company (Osco) and Shapoorji Pallonji Mideast (SPML) as the project’s main contractor.

The community mall, which is likely to be completed by next year, will offer 16,500 sqm. of gross leasable area with a tailored mix of practical and lifestyle-oriented stores and services. It will boast a 6,800-sq-m Carrefour hypermarket as well as 50 select stores including food and beverage outlets.

When marking Majid Al Futtaim’s 15 years of investment and relationship-building in Oman last year, the retail pioneer had announced plans to boost its total investment in the sultanate to $ 1.82 billion by 2020.

This includes the development of Mall of Oman, City Centre Sohar, My City Centre Sur, the continued development at Al Mouj Muscat, and the expansion of its existing retail and entertainment businesses including Magic Planet, Carrefour and Vox Cinemas.

Omani, Spanish firms to build $62m specialist hospital

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A joint venture between Omani and Spanish firms plans to set up a 70-bed, high-end, super-speciality hospital in Oman, with an investment of $62.33 million, it has been announced.

A report in the Oman Daily Observer said that Oman and Emirates Investment Holding Company (O&E), a Muscat-based listed company, is the local company involved with the project.

“O&E is promoting this project jointly with Spanish partners and has agreed to invest $4.79 million and take up a 15% equity stake in the company,” Awad Mohammed Faraj Bamkhalef, chief executive officer, was quoted as saying in the report.

The provisional plans for the hospital project include a 70-bed facility, which can be further expanded to 100-beds. It will offer state-of-the-art medical facilities, the report added.

It added that the proposed share capital has been fully booked by a number of institutional investors in Oman, and also by the Spanish partner, who will invest 15%, Bamkhalef added.

Oman targets 10% nationalisation in construction firms

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A senior Omani official has said that the Sultanate is working on a proposal to make it mandatory for construction companies to have an Omanisation rate of 10%, with the ruling likely to come into effect by the end of June 2017.

A report by the Times of Oman said that the proposal had been drafted by the Oman Society of Contractors (OSC) in December 2016, and that it was in the advanced stages of approvals, citing Shashwar Al Balushi, CEO of the society.

“There are a lot of processes involved before the law is passed. We have reached a good position. The ministerial decree has been drafted and is being looked into by legal affairs. There is permission required by the cabinet,” Al Balushi remarked.

“It is all being done now and we are expecting the law to be out in the first half of this year, if not sooner,” he said during an interview with the newspaper.

Furthermore, the proposal from OSC will reflect a gradual increase in the nationalisation rate in companies, from 10% in 2017, to 15% by 2020, he added.

Earlier this year, Oman’s Ministry of Commerce and Industry issued new regulations which make it simple for businesses to start companies and establishments in the contracting sector across the Sultanate, as per new guidelines posted on its website.

Under the new rules, companies will no longer be required to show proof of capital when registering a new construction or contracting establishment. Also, contracting activities will not require different commercial licences for different contracts.

The decision was taken by the Minister of Commerce and Industry, Dr Ali Masoud Ali Al Sunaidi, to help create new local jobs.


Section of new Saudi-Omani highway ready to open

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The Omani part of the 726km-long highway connecting Saudi Arabia directly with the Sultanate is now ready to open, a top government official has said.

In a report by Al Eqtisadiah, an Arabic-language newspaper, the unnamed government official said that the giant road project will reduce the travel distance between the two countries by more than 800km. The existing route runs through the UAE and is more than 2,000kms in length.

The new route runs through the Rub Al Khali (Empty Quarter) desert, and the Omani side of the project is around 160km long. It starts from Tanam in Ibri and ends at the Saudi border, according to Arab News.

On the Saudi Arabian side, it stretches for 247km from the Omani border to the Shaybah Oilfield, and 319km from there to the Batha-Haradh road, which leads on to Riyadh.

The total length of the road will cover 160km in Oman, with the remaining 566km in Saudi Arabia, the report added.

Genie supplies GTH-4018 telehandler to Oman’s military forces

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Powered-access specialist Genie has supplied a GTH-4018 telehandler to the Oman armed forces for supporting its infrastructure development work.

The Terex Group-owned firm said in a statement that its authorised distributor in Oman, Al Fairuz, delivered the machine to the Sultan of Oman’s Armed Forces Engineers (SAFE), which is the building and engineering division of the Sultan of Oman’s Armed Forces. The division is actively involved in the development of the country’s infrastructure, as well as in a wide range of military construction projects.

According to Genie, SAFE required a machine that could adapt to its heavy-duty needs as well as provide sufficient height and reach to assist in the installation of water tanks on the rooftops of housing up to at least four storeys high. Genie’s recommended solution – the GTH-4018 – is a model with high reach and rough-terrain capability, with optional bucket and forklift attachments. It is also backed by a comprehensive operator and maintenance training service package and warranty.

SAFE’s Equipment and Machinery representative said: “Provided at just the right price, complete with the training and after-market service that we were looking for, the Genie GTH-4018 telehandler is spot on with our specifications — including its special military camouflage livery.

“It has been in constant operation since it was delivered eight months ago and has performed without a hitch. However, should the need arise, we have every confidence in Al Fairuz to provide the skilled support we rely on as soon as we need it.”

Designed, tested and produced in Italy to European design standards the GTH-4018 model is among the largest of Genie’s telehandler models. Offering a maximum lift height of 17.61m, a maximum forward reach of 13.36m and a maximum lift capacity of 4t, the machine is powered by a 75kW (100hp) Stage IIIA compliant turbo diesel Perkins engine that delivers a maximum travel speed of 35km/h. According to Genie, it is designed for challenging jobs on difficult terrain, even when space is limited, and combines a class-leading 3.8m outside turning radius with the narrowest overall machine width in its category.

“Although this was the first time we had had a Genie telehandler in our hands, we found the Genie GTH-4018 telehandler easy and smooth to operate,” said a SAFE operator. “Comparatively speaking, added to its compact dimensions that we find make it easier to operate than other machines in this category, we were also particularly impressed by the machine’s transmission that provides just the right power/torque ratio to work at a safe yet efficient pace, well-suited to heavy handling in rough terrain conditions.”

118 road infrastructure projects underway in Oman

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77 interchanges and 41 bridges are under implementation in different governorates of Oman, the Omani Ministry of Transport and Communications has said.

According to a report in the Oman Observer, the projects being implemented this year include 23 flyovers, 67 underpasses, 34 pedestrian bridges and more than 2,900 viaducts.

The first phase and part of the second phase of the 200-km Bidbid-Sur road project, as well as the Mirbat-Hasik road rehabilitation project are expected to be completed this year, the Ministry added.

A total of 93km of the Al Batinah Expressway have been opened and the entire road spanning 282.5km will be open to traffic this year, the report added.

Damac to develop $1bn tourist port in Oman

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Dubai’s Damac International has been chosen by the Government of Oman to develop its Port Sultan Qaboos into a $1 billion mixed-use destination through a joint venture with Omran, the government’s investment, growth and development arm.

‘Mina Sultan Qaboos Waterfront’ is set to be redeveloped into an integrated tourist port and lifestyle destination that includes hotels, residences, as well as a dining, retail and leisure offering.

A Memorandum of Understanding was signed by Hussain Sajwani, Chairman of Damac Properties, and Dr. Ali bin Masoud Al Sunaidy, Deputy Chairman of the Supreme Council for Planning, Minister of Commerce & Industry and Chairman of Omran, in the presence of His Excellency Dr. Ahmed Al Futaisi, Minister of Transport & Communications and Omran board member, as well as other members of the Omran board and key dignitaries.

“This historic agreement reflects the vision of His Majesty Sultan Qaboos bin Said to transform Oman into a world-class tourism and investment destination,” said Sajwani. “As the second largest developer in the region and with a strong record of international experience, Damac is ideally positioned as the joint development partner of Omran. As part of its commitment to the project, Damac will contribute to the local road infrastructure, improving opportunities for local SMEs and Omani nationals, as well as enhancing the economic and social standing of the community as a whole.”

Al Sunaidy said: “Mina Sultan Qaboos Waterfront is based in the 200 year-old historical centre of commerce in Muscat and is one of the most visited tourist destinations in Oman. The redevelopment of the port by Omran will build renewed interest and focus to the area, while creating a strong investment proposition for the tourism, real estate and leisure industries.”

Mitsui-led consortium completes civil works at Oman projects

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A consortium including Japan’s Mitsui & Company, Saudi Arabia’s Acwa Power and Dhofar International Development and Investment Holding, has announced that it has completed civil works in the construction of two massive natural gas-fired power projects in Oman.

The Sohar 3 and Ibri Independent Power Project (IPP) projects will have a combined capacity of 3,219MW.

According to a Times of Oman report, after the completion of civil works at both sites, the turnkey EPC contractor, Shandong Electric Power Construction Corporation III (SEPCO III) hoisted two gas turbines at the Ibri project.

From April 2018, the Ibri project will deliver early power of 940MW, with the full 1,509MW generation expected to begin from April 2019. Sohar 3 is scheduled to deliver its full capacity of 1,710MW from January 2019, the report added.

The Mitsui-led consortium is on tight deadlines to complete these two projects as OPWP is trying to generate power within two years, it continued.

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