Dubai: Oman Oil Refineries and Petroleum Industries Co. (Orpic) will seek as much as $1 billion in financing to expand its largest crude-processing plant, at the port of Sohar, Chief Financial Officer Nazar Al Lawati said.
The state-owned company, known as Orpic, may try to complete the agreements as early as the fourth quarter of this year, Al Lawati said in an interview yesterday at a conference in Dubai. HSBC Holdings is advising Orpic on the project, which will cost about $1.5 billion, he said.
Oman, the largest oil producer in the Arabian Peninsula that's not a member of Organisation of Petroleum Exporting Countries (Opec), is exploring for crude and natural gas while developing energy-intensive industries such as chemicals and metals manufacturing. The Sultanate, which sells oil mainly to China, boosted crude output by one per cent last month to almost 927,000 barrels a day, according to data from the Oil Ministry.
Orpic plans to add a hydrotreater and so-called delayed coker at the refinery to improve efficiency and the output of light fuels such as gasoline, Al Lawati said.
The project will increase processing capacity at the 116,000 barrel-a-day plant by 60,000 to 70,000 barrels a day, the company has said.
Orpic's other refinery, at Mina Al Fahal near the capital Muscat, processes 85,000 barrels of Omani crude a day.