Oman is to award contracts worth $630 million for key sections of Adam-Thamrait Road dualisation project, which is a principal carriageway linking north Oman with Dhofar Governorate in the south, it has been announced.

According to a report by Oman Observer, construction work on packages 3,4 and 5 of the dualisation project is expected to proceed concurrently with each contractor given three years for completion, apart from a 90-day mobilisation period.

Parsons International & Company is the consultant for the Ministry of Transport in the tendering and supervision of the road dualisation project.

The report added that Packages 1 and 2, which cover the dualisation of 317km of the carriageway, are making headway in their implementation, with key stretches already opened for traffic during 2019.

These three parts, aggregating a total distance of around 400km, account for the lion’s share of the 717.5km Adam-Thamrait Road, it concluded.

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Muriya has started construction of a new 400-key branded five-star hotel in Hawana Salalah, its flagship destination in the Governorate of Dhofar.

The developer says this milestone, along with the planned opening of the first phase of the hotel in December 2020, reinforces its position as the largest private contributor to the development of four and five-star hotels in Oman.

The company says it is continuing with its strategy to meet the growing influx of European and regional tourists visiting Salalah, and creating long-term value for the tourism, real estate and leisure sectors.

“We closely and continuously collaborate with the Government of Oman and our partners at Omran to contribute to the long-term and sustainable 2040 vision of the sultanate for the tourism sector, which will be a major contributor to economic diversification, as well as direct and indirect job creation for Omanis.

Salalah in particular has manifested over the past six years that it possesses all the components of being an enticing and growing international tourist destination,” says Samih Sawiris, chairman of Muriya and of Orascom Development Holding (ODH) AG.

Sawiris adds, “Muriya’s investments have already reached $750m to date in Oman, and the addition of our new five-star luxury hotel to Hawana Salalah is a clear indication of our increasing commitment and plans for further investments in the sector. Once completed, the hotel complex will make Hawana Salalah the only destination in Oman that offers five unique hotel and lodging propositions across 1,500 luxury rooms.”

The hotel will offer 400 deluxe guestrooms and suites and is said to boast state-of-the-art architecture and interior designs; incorporating multiple themes throughout the property. Muriya states that the surrounding areas will feature landscaped areas in keeping with the native environment and will offer views of the ocean and the mountains.

The statement also said that the property will cover 105,000sqm of beachfront land overlooking the Indian Ocean, and is part of a complex featuring fine dining restaurants, bars, swimming pools, a recreational fitness and leisure club, meeting and conference facilities.

Sawiris elaborates, “The tourism sector is primarily an engine for economic growth and job creation, and Muriya has continuously spearheaded such growth, tying in hotel development into the already existing multitude of facilities within its destinations, including real estate offerings. We have also been attracting Foreign Direct Investment into the sultanate, where many of our hotel guests are increasingly investing in freehold properties. Muriya has succeeded in 2019 alone to deliver some 600 properties ahead of schedule across two destinations mostly to foreign investors. Equally important, Hawana Salalah has become a solid platform for SMEs to start and thrive their businesses, with its expanding number of residents, retail outlets and hotel rooms.”

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Larsen & Toubro, the Indian engineering and construction contractor, has confirmed that it has secured a ‘significant order’ for the design and execution of a water infrastructure project in the Sultanate of Oman.

In a statement announcing the win, L&T Construction said the contract, which has been awarded to the group’s Water & Effluent Treatment business, is in the range of $136 million to $341 million. It added that the project was a repeat order from the Omani client, and that it had been secured under international competitive bidding.

The project is aimed at enhancing the second phase of Al Dhakhila Water Transmission System, the statement continued. The contractor’s scope of work will include the construction of 173km of pipelines for water transmission, with associated civil works, as well as the building of 18 RCC water storage reservoirs, five pumping stations with associated mechanical, electrical, control and instrumentation works.

As a major company engaged in technology, engineering, construction, manufacturing and financial services, L&T operates in over 30 countries worldwide and boasts over $21 billion in revenue.

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The State Grid Corporation of China (SGCC) has completed the 49% equity acquisition of Oman Electricity Transmission Company (OETC) from the state-owned Nama Group.

Following the acquisition, which was completed on March 11, 2020 in Muscat, Oman, Nama will continue to hold the majority share in OETC, a statement from the company said.

As a technical partner, SGCC will utilise its technologies and experience in grid operations management, with its local partners in the region, to continue improving the operational safety and distribution capacity of the country’s electric grid, the statement added.

SGCC added that it was committed to becoming a long-term and stable international investor in the industry – including being one that upholds sustainable development strategies. It asserted that it always insists on long-term, local and market-oriented operations, the statement continued.

“Through advanced power transmission technologies, management experience and strong brand, SGCC seeks to fulfil its social responsibilities to accomplish with better results. In its approach to international stock assets acquisition in the overseas power and energy sector, greenfield development projects and asset operation management, SGCC follows the principles of equality and mutual growth,” the statement said.

Since 2008, SGCC has successively acquired stakes in firms in the Philippines (NGCP, 40%), Portugal (REN, 25%), Australia (46.56% of ElectraNet, 60% of SGSPAA and 19.9% of AusNet), Hong Kong SAR (HKEI, 21%), Italy (CDP Reti, 35%), Brazil (CPFL, nearly 85%), Greece (IPTO, 24%) and Oman (OETC, 49%).

SGCC has won multiple greenfield investment bids, including the Teles Pires transmission lines and the Belo Monte Hydropower UHV transmission project.

All of SGCC’s projects overseas that total $65 billion in value is operating smoothly with excellent performance, it said.

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The Tender Board in Oman has awarded a $3.6 million contract for the construction of a hospital in the governorate of Dhofar in the sultanate, according to the state-owned Oman News Agency (ONA). The hospital is being constructed for the country’s Ministry of Health, and is among a number of new developments announced in Oman.

Earlier this month, the chief executive officer of Oman Investment Corporation (OIC), a private equity investment company, said that its first investment vehicle, Aman Healthcare Services, will begin construction on its first women and children hospital in Sohar this year.

“In the first phase, Aman Healthcare will develop two hospitals in Muscat and Suhar and we are close to achieving financial closure for our first hospital in Suhar and expect to start operations in 2022,” said Kalat Al Balushi, CEO Of OIC.

Aman Healthcare’s vision is to become Oman’s first regional healthcare services player by pursuing organic and inorganic opportunities in attractive healthcare sub-sectors in Oman and other GCC countries, he added.

Meanwhile, earlier this year, Iskan Oman Investment Company had announced expansion plans of its KIMS Medical Complex in Duqm to become an integrated specialised healthcare facility. ONA reported that the new hospital will consist of 50 beds and confirmed addition of new specialities within medical fields.

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Oman’s Ministry of Technology and Communications has announced that they have launched a pilot project for smart cities at the Knowledge Oasis Muscat (KOM) and is being implemented by Cisco and Bahwan Information Technology.

The pilot project is being implemented in partnership with Oman Telecommunications Company (Omantel) and the Public Establishment for Industrial Estates (Madayn). KOM was established by Madayn in 2003 and has since played a pivotal role in aiding large and small companies to pursue their local and international visions.

The inauguration ceremony was held under the patronage of Azza bint Sulaiman al-Ismailia, Minister of Technology and Communications, reported the Oman News Agency. At the ceremony, officials talked about the work being done at smart cities.

Turki bin Saif al-Yahmadi, technical director at Cisco, gave a presentation on the benefits of implementing the project at KOM in controlling traffic and using an advanced database that enables rapid data analysis.

Meanwhile, Dr Salim bin Sultan al-Ruzaiqi, CEO at the Ministry of Technology and Communications, explained that the project aims to be an experimental model that contributes to providing an infrastructure for smart cities in the Sultanate. Decision-makers and various concerned authorities and institutions can benefit from it when implementing smart city projects in all governorates of the Sultanate, he added.

“The launch of the smart cities project at the Sas Centre for the 4th Industrial Revolution comes with the objective of launching Omani projects and institutions working in the field of the Fourth Industrial Revolution applications, such as Internet of Things, artificial intelligence, blockchain and others,” Dr Ruzaiqi concluded.

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The Oman Ministry of Tourism says that significant investments will go towards transforming ancient houses into heritage inns and guest houses. The move aims to boost tourism and promote the sultanate’s local heritage.

According to a statement, the preservation of ancient houses – which are considered architectural treasures that show Oman’s archaeological character – are central to national initiatives showcasing the unique heritage and rich history and civilization of the sultanate. The drive is said to be one of the ministry’s top priorities.

Saleh bin Ali Al Khaifi, director of Promotion and Marketing Department, Oman Ministry of Tourism, said that preserving heritage houses and building greenhouses aligns with the sultanate’s intensified tourism initiatives that are responsive to the rapidly changing global tourism community and to the international environmental sustainability calls. Oman also aims to sustain its top position on the list of the best cultural and heritage tourist destinations for 2019, he notes.

Ancient local neighbourhoods are already said to have been restored using innovative engineering and architectural techniques to turn them into attractive tourist destinations. The Ministry states that tourists can visit these communities, among others, to get a glimpse of the Omani way of life during ancient times, as well as gain a rich cultural experience by immersing themselves into activities that define authentic local traditions.

The ministry’s announcement is expected to result in higher tourist arrivals to meet the government’s goal of attracting 11m local and international visitors by 2040. Boosting domestic tourism will also lead to new job opportunities for citizens and a diversified national economy, the ministry says.

Al Khaifi adds, “Investing in heritage homes is a step in the right direction amid our continued efforts to entice more tourists from all over the world to come visit Oman. Therefore, we are moving forward with our mega tourism projects aimed at transforming old traditional homes into heritage inns with the best services, while preserving and protecting the old structures and the atmosphere of the neighbourhoods in our ancient areas.

“We will observe the highest standards in these projects, keeping sustainability and the finest hospitality in mind. We look forward to bringing the Oman experience of all tourists to new heights in conjunction with us promoting sustainability and heritage tourism, a sector that is fundamental to the sultanate’s development and global positioning.”

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India’s Larsen & Toubro’s construction arm has announced that it has won significant contracts in the Middle East and India as part of its power and transmission distribution business.

According to the terms of the contract, in Kuwait, L&T Construction was awarded the contract to upgrade substations and related power facilities in Kuwait National Petroleum Company’s Mina Al Ahmadi oil refinery.

The revamped network of distribution substations with the latest technology is said to enhance the reliability of power supply and facilitate expansion, the company said in a statement.

Meanwhile, in Oman, it will be responsible for a 400 kV Grid Station, a crucial element in the Sultanate’s major transmission initiative in interconnecting the grids in the south and north with the Petroleum Development Oman area.

The multinational company has also bagged an order to design, supply, construct and commission a 220 kV gas-insulated substation for an unnamed client in Egypt.

L&T Construction also stated that the renewable arm of the business had secured large engineering, procurement and construction contract on domestic and international fronts, to establish solar photovoltaic plants of more than 500 MW.

These grids connected to power plants entail related power evacuation and interconnection systems as well.

On the domestic front, an order was won to strengthen the urban HT distribution network in Chennai, India with Ring Main Units and Feeder Remote Terminal Units on a total turnkey basis. Also, fully automated, unmanned 33 kV Gas Insulated Substations will be established at select locations, L&T stated.

In addition to that, another order was secured to supply and install Medium Voltage capacitor banks with related accessories under different discoms in Uttar Pradesh.
The statement added: “Additional orders have been received for ongoing substations, transmission lines and renewable projects.”

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Muscat National Development and Investment Company (ASAAS) has awarded the contracts for the construction of two Rotana-branded hotels. Located in South Al Batinah, the hotels are part of ASAAS’s entertainment destination, Hayy Al Sharq, reported the Oman Observer.

Omani construction firm, Subhiah Trading and Contracting LLC, was selected by ASAAS to build two hotels in the sultanate. A 247-key three-star property under the ‘Arjaan by Rotana’ brand, and a 263-keys four-star hotel under the ‘Reyhaan by Rotana’ brand. Both properties are part of Hayy Al Sharq’s phase one offerings and will be completed by the first quarter of 2020.

According to official reports, Hayy Al Sharq is a one-of-a-kind destination, anchored by an integrated theme park, wildlife, and water park and edutainment centre. It will also feature a collection of three, four and five-star hotels, residential clusters, and a wide array of dining and leisure options. Additionally, the developer has also inked an agreement with retailer Carrefour, represented by Majid Al Futtaim Group.

The sprawling facility has been master-planned by Singapore-based Surbana Jurong, one of Asia’s largest urban and infrastructure development consultants. Meanwhile, ASAAS is also expected to award the operation and maintenance contract to a US-based group.

ASAAS has investments worth $2.59 billion in various stages of conceptualisation, design, development, and operation encompassing tourism, transportation, logistics and healthcare sectors in the country.

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Galfar Engineering and Contracting Company, the largest construction and contracting company in Oman, has said that it has secured a major contractor worth $24.4 million from Petroleum Development Oman.

The scope of work for the project includes the rehabilitation of Fuhad Runway Project in Sultanate, the company stated in its filing to the Muscat Securities Market.

Galfar pointed out that the project is due for completion by the end of March 2021, while the mobilisation period for starting the project is 45 days, it added.

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Dutch mobile tower crane brand Spierings has appointed Kanoo Cranes, a division of The Kanoo Group, as the exclusive dealer of Spierings Mobile Cranes for the UAE, Saudi Arabia, Oman and Bahrain.

According to a statement by The Kanoo Group, all sales activities for new models as well as aftermarket activities and service for Spierings products will henceforth be managed by Kanoo Cranes in the five GCC markets.

Koos Spierings, CEO of Spierings, said: “Kanoo Cranes is also a family company with the same core values as Spierings. Their market knowledge, skilled employees and logistic network will be essential to serve customers at the highest level. In close cooperation between our service department and Kanoo cranes, we’ll be able to maximise customer satisfaction.”

The statement added that Kanoo Cranes will handle the defined Spierings territory for sales, parts and services to increase the penetration of Spierings Mobile cranes products and to support Spierings Mobile cranes in the region. Kanoo offers engineered solutions for all lifting requirements and, with their existing focus on premium brands and products specifically designed for the rental industry, the company sees great potential to expand with the Spierings Mobile cranes range.

Mishal Kanoo, chairman, The Kanoo Group, said this is another exciting partnership to be added to the portfolio of high-quality distribution handled by Kanoo Cranes.

“Our strategy is to keep introducing new innovative equipment to the market. At Kanoo we are constantly exploring opportunities and improving, and we will never standstill,” he added.

Fahad Kanoo, CEO, The Kanoo group, said: “Kanoo is proud to become the exclusive dealer for Spierings Mobile cranes product, another market leading product. We take pride in our capability to work closely with principals to ensure that reliable cost-effective, long-term solutions are provided to our customers and partners. Kanoo works only with the very best and has a long history of forming close, successful partnerships over many decades, and we look forward to another successful relationship and bringing this quality equipment to the market.”

Netherlands-based Spierings, have been making mobile tower cranes for more than 30 years. The concept of the mobile tower crane, pioneered in the 80s by Leo Spierings, is considered among the most efficient mobile crane solutions in the construction and industrial environments.

Among the models Spierings has provided to Kanoo is the first SK1265-AT6 in Dubai. Said to be the biggest mobile tower crane on the market with a radius of 60m and a maximum tip load of 1.7t. It offers a maximum lifting load of 10t at a 13.2m radius.

According to Kanoo, the SK1265-AT6 is a “one-man” machine at all times — it can be easily driven, assembled and operated by a single operator. The crane can be fully operational within only 11 minutes.

Kanoo Cranes focuses on providing engineered crane solutions to the construction and industrial markets, as well as the oil & gas industry. The Kanoo Group has more than 100 years of experience of trade and shipping with a history going back to the 19th century. The company has established itself in the cranes segment in the region with the capability of taking on large projects and providing specific and innovative solutions.

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Sohar Port has agreed to be the first Middle Eastern port member of SEA-LNG, a coalition that is committed to the adoption of liquefied natural gas (LNG) as a marine fuel.

MARSA LNG, a venture comprised of TOTAL S.A. and OQ, is developing a state of the art LNG liquefaction plant and bunkering facility at the Oman port.

Sohar will now formally promote the n new LNG bunkering facility and the use of liquefied natural gas (LNG) as a marine fuel.

“This major LNG Bunkering project will generate in-country value and job opportunities, and will support industry diversification efforts by promoting shipping activities in Oman,” said Mark Geilenkirchen, CEO, Sohar Port.

“The establishment of this facility will make Sohar one of the key LNG bunkering facilities on the main shipping trade routes, alongside other strategic ports, many of whom are already SEA-LNG Members, such as the Port of Singapore. MARSA LNG will supply LNG sourced locally in the Sultanate.”

The switch from traditional marine fuel oils to LNG has accelerated following the implementation of new sulphur emission limits by the International Maritime Organization (IMO) in January 2020 and the IMO greenhouse gas emission targets set for 2030 and 2050.

The project will see the provision of LNG to the shipping lines calling at Sohar port

Peter Keller, Chairman of SEA-LNG added: “We are excited to welcome SOHAR to the SEA-LNG coalition.  SOHAR is our first Member from the Sultanate of Oman and will provide an attractive global offering once the marine bunkering project is completed.  From our perspective, this is an opportune time to develop LNG capabilities in Oman given the expansive growth of marine activity within the region.  We welcome SOHAR to our cause of furthering the use of LNG as an important, environmentally superior maritime fuel.”

Located close to the Strait of Hormuz and mid-way between Europe and Asia, Sohar is considered “ideally positioned” to become a major LNG bunkering hub in the Middle East.

In addition, SOHAR Port and Freezone feature deep-water drafts capable of handling the largest vessels in the world, noted the two organisations in a statement.

The liquefaction plant and bunkering project will be able to offer “attractive business conditions, further enhanced by access to a dedicated logistics chain” as well as large domestic gas reserves.

“As well as providing a means to comply with recently enforced sulphur limitations, LNG provides a clear pathway for the shipping industry to decarbonise through the introduction of biomethane and synthetic methane,” explained Keller. ” Now is the time to move forward with LNG as an important maritime fuel.  Inaction is not a plan and we cannot afford to wait decades for solutions that may never be realised.  Investing in LNG capable vessels now provides the shipping industry with a pathway to a low carbon future as well as significant and immediate environmental and health benefits.”

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A new facility building in Al Mazunah Free Zone is to be developed, following a deal between Oman’s Public Establishment for Industrial Estates (Madayn) and Shumookh Investment and Services.

The agreement was signed by Said bin Abdullah Al Balushi, director general of Al Mazunah Free Zone, and Eng Musallam bin Juma’a Al Hudaifi, CEO of Shumookh Investment and Services.

According to statement, the project will be built at a strategic and easily accessible location, on an area exceeding 11,000sqm and will cost $9.09 million. It will be implemented in two phases, with Phase One comprising four floors and Phase Two adding two more floors, as per market requirements at the time.

The project aims to offer integrated services and facilities required by investors, business owners and clients under one platform, in order to facilitate procedures and accelerate the pace of business the statement explained.

The building will include a mixed-use space, Masar Service Centre, restaurants, office space for import and export services and an area for investments. The project is expected to be completed during the first quarter of 2021.

The project is said to represent a continuation of the efforts by Madayn to boost investment movement and achieve added value at Al Mazunah Free Zone, which will contribute in diversifying income sources and advancing the national economy.

Madayn is also said to be implementing a number of other projects in the free zone including development of Phase One (second package) of the free zone, a power transmission network for companies, a broadband project, electronic surveillance systems and a cargo gates management system. The latter will control and manage the entry/exit of vehicles to/from the free zone.

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Oman’s Ministry of Heritage and Culture (MHC) has completed the restoration work on Saham Fort in the North Batinah region of the Sultanate, while work is in the advanced stages for Al Hazm Castle in South Batinah, it has been announced.

According to a report by Muscat Daily, the ministry continues to restore and maintain castles and forts that are distinguished by architectural diversity. These landmarks serve as important revenue generators, with figures from the tourism ministry highlighting that a total of 366,360 people visited forts and castles in Oman until the end of 2018, as compared to 319,163 in 2017 – an increase of 14.8%.

Located in the wilayat of Rustaq in South Batinah, Al Hazm Castle is an Islamic architectural masterpiece as it does not contain any ceiling rafters. Roofs are instead held up by columns, while the width of each wall is not less the three metres, the report stated.

The castle also has fortified towers and cannon openings in its upper storeys, and it has been built so that its various huge entrances are not opposite each other. It’s colossal wooden doors are equipped with receptacles for pouring boiling oil or date honey.

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Galfar Engineering and Contracting has announced Dr Hamoud Rashid AI Tobi as its new chief executive officer. In a filing to the Muscat Securities Market, the company said Al Tobi is an accomplished CEO with a track record of working on complex assignments and leading organisational transformations.

He succeeds Dr Hans Earlings who ended his employment with the Oman-based firm last month.

Al Tobi is said to be an industry veteran with over 16 years of experience working within the oil and gas industry, mainly with Petroleum Development Oman (PDO) and Royal Dutch Shell.

Over the past six years, he has led AI Shawamikh OiI Services as CEO, where he accomplished significant returns and achievements, the filing stated.

The company’s board of directors believe that Al Tobi will contribute to the further development and strengthening of the company, the filing said.

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Oman has floated a tender for the construction of the Ibri Science and Innovation Centre in the Al Dhahirah Governorate of the Sultanate, it has been announced.

According to a report by Oman Observer, the 1,565sqm project, which adjoins Ibri Hospital, is one of several sustainable social development projects being implemented by the private sector in various governorates of the Sultanate.

According to a statement issued online by Oman News Agency, “A tender has been floated for the construction works for the project of Ibri Centre for Science and Innovation , to be implemented in the wilayat of Ibri in Al Dhahirah Governorate, within the framework of sustainable social development projects that are implemented by the private sector in the governorates and wilayats of the Sultanate.”

“The project is funded by Okio Company and will be implemented over a total area of 1,565 meters next to the Ibri Hospital.”

“It will consist of a multi-purpose hall that includes a library, a theatre equipped with vocal and micro requirements, an astronomical dome, celebrations hall and a Centre for Science and Innovation,” the statement added.

Commenting on the project, Shaikh Dr Khalaf bin Salim al Ishaqi, Wali of Ibri, said the Ibri Science and Innovation Centre is funded by OQ within the framework of its corporate social responsibility under the supervision of Jusoor Foundation.

The project is considered as one of the leading projects coming up in Ibir beside the other projects that have already been implemented by private sector companies to the best interest of the community, he added.

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Oman’s Ministry of Transport has announced the opening of a 13-km portion and service roads as part of the Barkah-Nakhal dual highway project.

According to a report by Oman News Agency, the stretch – which starts from Al Saadiyah township in Nakhal region to Wadi Mastal – will help ease traffic movement and stimulate commercial activities between the wilayats of Nakhal and Wadi Al Maawi.

Earlier this year, Oman announced that it was to award contracts worth $630 million for key sections of the Adam-Thamrait Road dualization project, which is a principal carriageway linking north Oman with the Dhofar Governorate in the South.

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The start of the commissioning phase of Liwa Plastics Industries Complex (LPIC) has just been announced by state-owned energy firm OQ (formerly Oman Oil and Orpic Group).

The $6.7bn project is billed as transformational and is expected to put the Sultanate on the global petrochemicals map and enhance OQ’s portfolio, according to a report by the Oman Observer.

Located within Sohar Port, with an upstream Natural Gas Extraction (NGL) around 300km away in Fahud, Liwa Plastics is said to be OQ’s signature investment.

At full capacity, the complex will boost OQ’s production of polyethylene and polypropylene to 1.4m tonnes. According to the report, the product portfolio will include linear Low-Density Polyethylene (LLDPE), High-Density Polyethylene (HDPE) and Polypropylene (PP). The improvement of the product mix is said to help OQ’s partners address the growing global demand for innovative polymers.

In addition to maximising value addition to the nation’s hydrocarbon wealth, the facility will also drive investments in a wide array of downstream activities.

The LPIC steam cracker project will allow polyethylene (PE) to be produced in Oman for the first time, as well as strengthen the company’s polypropylene capabilities, the report said.

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A new package of incentives for investors and developers has been announced by Oman’s Public Establishment for Industrial Estates (Madayn). The incentives aims to help entities build, operate, manage, sell and lease industrial and commercial buildings and units within developments.

The move was made possible thanks to amended provisions of the investment regulations by Madayn, in bid to enhance its competitiveness in the investment environment, a statement said.

The amendments include granting activity licenses for those holding Riyada certificates from the Public Authority for Small and Medium Enterprises Development, as well as reducing fees for licensing the activity for small businesses that have not obtained Riyada certificate. It also includes granting a new development license, development license/sub developer and development license/operator.

“The decision to amend provisions of the investment regulations offers an added value for the industrial cities and gives an impetus for investors, business owners and SMEs from inside and outside the sultanate to localise their businesses in the industrial cities. It is in continuity of Madayn’s role to diversify income sources and support the national economy through providing a set of incentives that contributes to the advancement of the business environment in the sultanate,” said CEO Hilal bin Hamad Al Hasani.

He added, “These include allowing investors to rent buildings and facilities that are built on leased lands. Also the investors may involve new partners in the lease contract with Madayn, provided that the activity of the new partner complements the activity of the current investor.”

Additionally, Madayn said its board of directors has granted the authority to reduce fees at a rate not exceeding 50% and a period not exceeding five years, for fees of licensing and the services offered by Madayn, and the rents of lands and facilities in the new industrial cities or those industrial cities that require exceptional incentives and advantages.

The package also includes reductions of up to 70% in fees for licensing activities in industrial cities, Al Hasani remarked.

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Omani authorities have announced that much progress has been made on the delivery of the first infrastructure package for Khazaen Economic City, the Sultanate’s newest economic city, which is being developed on an area of land covering 51 million sqm in the Wilayat of Barka.

According to a report by Muscat Daily, the package is expected to be completed by the end of this year.

Furthermore, a number of major agreements for infrastructure services have been signed recently, with Oman Broadband Company and Oman Towers Company set to provide telecommunications and fibre optic infrastructure for the city.

Once completed, Khazaen Economic City will feature several facilities of strategic and national importance, including a dry port, a central vegetables and fruits market, a food city and other investment projects.

The first phase of the project will provide three million sqm of leasable area, the report added.

In order to boost economic activity, authorities from Khazaen Economic City have announced a raft of promotional incentives for local and foreign investors, including exemptions from annual lease for the first year, a 50% waiver on annual lease for the next two years, 50% discount on service charges for a period of two years, and an exemption from registration and the land Krookie fees, stated the report, citing a top official.

“We are proud of the continuous progress being made in implementing the infrastructure works for the city. The advancements made reflect our commitment to build a modern and integrated economic city that meets the needs of various investors,” remarked CEO Khalid Al Balushi.

“It also reflects our efforts towards supporting economic diversification initiatives in the sultanate,” he added.

The Economic City CEO pointed out that infrastructure and services were the key important factors taken into consideration by investors while making their investment decisions.

“As a result of the rapid progress in construction work for the first package and the initiation of key national projects in the city, such as a Dry Port, Khazaen will soon be ready to welcome investors to set up their businesses,” he added.

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