Latest news with #OQGasNetworks
Muscat Daily
3 days ago
- Business
- Muscat Daily
OQGN awards EPC contract for RO105mn loop line project
Muscat – OQ Gas Networks Company (OQGN), the sole operator of Oman's natural gas transportation network, has awarded contracts for the engineering, procurement, and construction (EPC) works, as well as the supply of line pipes for its second 193km-long Fahud–Suhar Loop Line Project. In November last year, OQGN received regulatory approval to construct the new 193km loop line connecting Fahud to Suhar. The pipeline, which will have a diameter of 42 inches, is designed to strengthen Oman's natural gas infrastructure and support regional energy demands. 'OQ Gas Networks is pleased to announce the awarding of the tender for engineering, procurement, and contracting works for the 42-inch second Loop Line Fahud–Suhar Project to The Petroleum Projects Company Petrojet and Partners LLC,' OQGN said in a disclosure to the Muscat Stock Exchange on Wednesday. The agreement was signed on June 17. 2025, the company confirmed. As part of the project execution strategy, OQGN has also awarded the supply of 193km of line pipe to Jindal Saw Limited. 'It is worth noting that the total project cost is approximately RO105mn, with a planned execution period of 24 months,' the company added. The project cost will be incorporated into the company's Regulated Asset Base (RAB), and, like the rest of the RAB, the return on this investment will be calculated based on the weighted average cost of capital (WACC). The currently approved WACC under Price Control 3 is 7.79%, and it will remain in effect until 2027, according to OQGN. The company stated that the Fahud–Suhar Loop Line Project is in line with its growth strategy and vision of leading the energy infrastructure sector. Described as one of the largest initiatives sanctioned by OQGN since the implementation of the RAB framework, the project is expected to significantly boost gas supply capacity in the Suhar and Ibri regions. It supports Oman's long-term energy strategy and aligns with OQGN's infrastructure expansion objectives. According to OQGN's earlier disclosure, the Fahud–Suhar Loop Line Project is scheduled for completion in 2027. Once operational, the new pipeline will increase the capacity of OQGN's northern gas network by 9mn standard cubic metres per day, further solidifying the company's role in meeting the growing demand from key industrial and power sectors. OQGN, which operates the sultanate's only natural gas transportation network, currently manages over 4,000km of pipeline infrastructure across Oman. The network supplies gas to a wide array of critical industries, including power generation, water desalination, cement and aluminium production, fertiliser manufacturing, and petrochemical plants.
Observer
07-06-2025
- Business
- Observer
MSX market cap surpasses RO 28 billion
MUSCAT: The market capitalisation of the Muscat Stock Exchange (MSX) climbed to over RO 28 billion last week, supported by weekly gains of RO 79.3 million as several stocks ended higher. The MSX's main index closed at 4,578 points, up 17 points, maintaining the momentum seen over the past five weeks. The services sector index gained 5 points, driven by strong performances from Ooredoo, Omantel and OQ Gas Networks. In contrast, the industrial and financial sector indices dropped by 17 and 10 points, respectively, while the Shariah index recorded a marginal decline. The daily trading volume increased to RO 11 million, up from RO 10 million the previous week. The average daily number of transactions also rose, reaching 2,149 compared to 1,787. Trading was limited to four days due to the Eid Al Adha holiday. OQ Base Industries dominated activity with trades worth RO 10.58 million — 24 per cent of the week's total trading value of RO 44 million. Its share price rose by 4 baisas to close at 122 baisas. Bank Muscat followed with RO 5.49 million in trades, while OQ Gas Networks, Sohar International Bank, and OQ Exploration and Production rounded out the top five most traded stocks. Market performance remained buoyant with 34 securities gaining, 30 losing and 17 remaining unchanged. Muscat Gases posted the highest weekly gain at 18 per cent, closing at 118 baisas. Galfar Engineering rose 9 per cent to 72 baisas, while National Gas gained 8.8 per cent to 86 baisas. National Gas Company also announced the acquisition of an 80-per cent stake in Samharam Gas Company, which operates LPG bottling and distribution in Dhofar. The deal is expected to enhance the company's market position and profitability. In corporate news, Al Anwar Investments reported a surge in net profits from RO 532,000 to approximately RO 2.4 million for the fiscal year ending on March 31, 2025. Its board approved a 4-per cent cash dividend and a 4-per cent bonus share issue, subject to approval at the AGM on June 25. The share closed last week at 83 baisas, down 2 baisas. — ONA
Zawya
06-05-2025
- Business
- Zawya
Oman to boost gas pipeline capacity
MUSCAT: OQ Gas Networks (OQGN), the sole owner and operator of Oman's national gas transportation system, is targeting a significant expansion of its pipeline network to support both volume growth, as well as enable the strategic management of the countrywide gas supply grid. Future growth plans outlined by the publicly traded company – part of OQ Group – envision a 5.6 per cent rise in the network's current length of 4,235 km, and a 13.1 per cent increase in the network's current capacity of 70.48 billion cubic metres (BCM). This growth is proposed to be achieved by 2027, the company noted in its 2024 Annual Report. 'OQGN's business plans align with Oman Vision 2040, focusing on energy diversification, digital transformation, and sustainable growth. During the next three years, the Company aims to expand its total pipeline length to nearly 4,500 km and increase network capacity to nearly 80 BCM,' the company stated. Gas demand is anticipated to grow at a CAGR of 4.7 per cent between 2024 and 2030, according to OQGN. In 2024, the company delivery 42.98 BCM of gas, entailing a 3.5 per cent increase over the previous year's total. Consumers included LNG facilities, power and desalination plants, and industrial sectors throughout the country. Of the many suppliers channeling natural gas to OQGN, through state-owned Integrated Gas Company (IGC), the Unified Shipper, Petroleum Development Oman (PDO) contributed a 56.8 per cent share. The largest consumer was the LNG sector, accounting for 41.3 per cent of total gas consumption, followed by the industrial and commercial sectors at 27.6 per cent. Significantly, OQGN's new pipeline and capacity growth will be driven by around 10 ongoing projects, including the following strategic initiatives: Fahud-Suhar Loop Line: It entails the construction of an additional 193 km, 42-inch loop line from the Fahud Compressor Station to Block Valve Station-6 in the Al Dhahirah Governorate, running parallel to two existing 32-inch pipelines from Fahud Compressor Station to Suhar. The project also includes the construction of a 2 km, 16-inch spur line to supply gas to the proposed Ibri Industrial Estate GSS and the extension of six block valve stations. When completed in 2027, the project will boost capacity at Suhar by more than 26 per cent. Central Rich and Lean Gas Segregation Project (CRL): Centring on the development of a gas blending station in the Central Region for rich and lean gas segregation, this project also includes a 48-inch, 65km loop line extension from Block Valve Station 9 to the Sur GSS. Total investment in the project, which will enhance gas value by segregating rich and lean gas, is around RO 70.8 million. The project has been partly commissioned. Additionally, OQGN is rolling out a Long-Term Network Development Plan (LTNDP) designed to analyze and balance gas supply and demand. Updated annually, this tool provides a seven-year forecast to ensure the network can meet future requirements related to the rise in consumption due to population growth or large new industrial projects. 'This planning process helps identify bottlenecks, assess infrastructure adequacy, and guide investment decisions made by the Government of Oman, the Shipper (IGC), and the Regulator (APSR) to plan for network capacity, supply, and gas distribution to different regions. The current LTNDP covers the period from 2024 to 2031,' the company added. 2022 © All right reserved for Oman Establishment for Press, Publication and Advertising (OEPPA) Provided by SyndiGate Media Inc. (
Observer
05-05-2025
- Business
- Observer
Oman to boost gas pipeline capacity
MUSCAT, MAY 5 OQ Gas Networks (OQGN), the sole owner and operator of Oman's national gas transportation system, is targeting a significant expansion of its pipeline network to support both volume growth, as well as enable the strategic management of the countrywide gas supply grid. Future growth plans outlined by the publicly traded company – part of OQ Group – envision a 5.6 per cent rise in the network's current length of 4,235 km, and a 13.1 per cent increase in the network's current capacity of 70.48 billion cubic metres (BCM). This growth is proposed to be achieved by 2027, the company noted in its 2024 Annual Report. 'OQGN's business plans align with Oman Vision 2040, focusing on energy diversification, digital transformation, and sustainable growth. During the next three years, the Company aims to expand its total pipeline length to nearly 4,500 km and increase network capacity to nearly 80 BCM,' the company stated. Gas demand is anticipated to grow at a CAGR of 4.7 per cent between 2024 and 2030, according to OQGN. In 2024, the company delivery 42.98 BCM of gas, entailing a 3.5 per cent increase over the previous year's total. Consumers included LNG facilities, power and desalination plants, and industrial sectors throughout the country. Of the many suppliers channeling natural gas to OQGN, through state-owned Integrated Gas Company (IGC), the Unified Shipper, Petroleum Development Oman (PDO) contributed a 56.8 per cent share. The largest consumer was the LNG sector, accounting for 41.3 per cent of total gas consumption, followed by the industrial and commercial sectors at 27.6 per cent. Significantly, OQGN's new pipeline and capacity growth will be driven by around 10 ongoing projects, including the following strategic initiatives: Fahud-Suhar Loop Line: It entails the construction of an additional 193 km, 42-inch loop line from the Fahud Compressor Station to Block Valve Station-6 in the Al Dhahirah Governorate, running parallel to two existing 32-inch pipelines from Fahud Compressor Station to Suhar. The project also includes the construction of a 2 km, 16-inch spur line to supply gas to the proposed Ibri Industrial Estate GSS and the extension of six block valve stations. When completed in 2027, the project will boost capacity at Suhar by more than 26 per cent. Central Rich and Lean Gas Segregation Project (CRL): Centring on the development of a gas blending station in the Central Region for rich and lean gas segregation, this project also includes a 48-inch, 65km loop line extension from Block Valve Station 9 to the Sur GSS. Total investment in the project, which will enhance gas value by segregating rich and lean gas, is around RO 70.8 million. The project has been partly commissioned. Additionally, OQGN is rolling out a Long-Term Network Development Plan (LTNDP) designed to analyze and balance gas supply and demand. Updated annually, this tool provides a seven-year forecast to ensure the network can meet future requirements related to the rise in consumption due to population growth or large new industrial projects. 'This planning process helps identify bottlenecks, assess infrastructure adequacy, and guide investment decisions made by the Government of Oman, the Shipper (IGC), and the Regulator (APSR) to plan for network capacity, supply, and gas distribution to different regions. The current LTNDP covers the period from 2024 to 2031,' the company added.
Yahoo
05-05-2025
- Business
- Yahoo
Oman pushes cleaner energy with green hydrogen and gas projects
Oman is increasing its bets on cleaner energy, with another green hydrogen auction round and a low-emission liquefied natural gas (LNG) bunkering project. The latest hydrogen auction is focused on Duqm, where 300 square km is available for solar and wind plants needed to produce the fuel. Formal bids are due early next year. It's big business: two previous rounds drew pledges of $49 billion to develop 30 gigawatts of renewable power and 1 million tons per year of hydrogen capacity. OQ Gas Networks is planning a national hydrogen pipeline network to support the projects. Further north, TotalEnergies and OQ Exploration and Production broke ground on the $1.6 billion Marsa LNG project. This will produce up to 1 million tons per year of fuel for ships and will be powered by a 300 megawatt solar plant, which the partners say will make it the world's lowest-emission LNG plant.
