Oman signs concession pact with Belgium port


March 22:



Tenders would be floated in the coming months for infrastructure and superstructure of both container and general cargo terminals of the port. — Supplied picture

Duqm: Oman has signed a final concession agreement with the Consortium Antwerp Port (CAP) to operate, develop and manage the Port of Duqm Company (PDC) and its industrial land for the next 28 years. 

With this pact, PDC — a 50:50 joint venture between CAP and Oman government — will have the overall responsibility for further development, management and commercialisation of Duqm Port facilities, including the industrial zone.

Two other pacts – one for grant of usufruct and the other one for developing the port area – were also signed by the two countries, on the sidelines of the visit of Princess Astrid, the Representative of King of Belgium, to Duqm port on Thursday. The Belgium princess led a delegation of high-ranking government officials and businessmen to Oman.   

Princess Astrid and Yahya bin Said Al Jabri, chairman of the Special Economic Zone Authority at Duqm (SEZAD), have laid the foundation stone for the first phase of the industrial zone in Duqm and inaugurated the logistics service complex in Duqm Port. 

"The first warehousing complex will materialise in the coming months, giving a boost to the local light industry," said Dr Ahmed bin Mohammed Al Futaisi, Minister of Transport and Communications.  

As an active landlord, Duqm port will also provide training and coaching of port employees (dockers, pilots, management), develop global marketing initiatives and establish Duqm as a key petrochemical hub in the region with a focus on the Middle-East, India and West African market. 

The agreements were signed by Dr. Al Futaisi and Al Jabri on behalf of the Sultanate and Marc Van Peel, Port of Antwerp and Marc Stordiau, chief executive officer of Rent-A-Port, on behalf of Belgium. 

Addressing the gathering at the signing ceremony, Dr Al Futaisi said that Duqm is situated within 300 kms of the largest mineral resources and also within 300 kms of 70 per cent of the country's oil and gas reserves. The minister also noted that the partnership with Antwerp port, which is a globally recognised 
port with over 100 years of experience, would help the Sultanate to market Duqm port effectively and bring in necessary technical knowledge to train Omani professionals.

Liquid berth constructionHe said tenders would be floated in the coming months for infrastructure and superstructure of both container and general cargo terminals of the port. Simultaneously, the port will team up with international terminal operators to prepare future concessions. "Liquid berths and storage capacity along the inside of the Northern Lee Breakwater is in the process of FEED engineering for refinery and petrochemical industry." And the construction of this is expected to start by year-end. 

The minister also said that the port has 9 km of breakwater and 5.5 km of berthing and terminal space. "This is only the first phase of the port development," he said, adding; "At its final stage of development, the port will have around 28 km of quay walls. The port is also the deepest port of Oman with a draft of 18 meters at the quay." 

Dr Al Futaisi added that Duqm port is strategically located near all international and regional shipping routes and has a potential to become a transshipment hub. "Duqm is also intends to become one of the largest crude oil and refined products distribution centre for the Sultanate," noted the minister. 
$55m investment for utilities

The authorities are working with the ministries concerned to prepare plans for implementing services required for the industrial area to be developed in the first phase, which will be ready by early 2016. 

Estimated cost to complete the services and infrastructure for the first phase of industrial zone is around $55 million, which include road network, lighting, drainage, water network, communication network and the internal network of gas.  

In fact, the total area is of Duqm zone is around 1,770 square kilometres. The first phase of the industrial area is about 250 hectares, and will focus on metallurgy and those associated to mining as the port is close to mines and quarries.

This will be followed by the second phase.  

Source: http://www.timesofoman.com/News/Article-31414.aspx#

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