Oman Merges Oil Companies to Create Refining-to-Trading Business
(Bloomberg) -- The largest Persian Gulf producer that’s not an OPEC member is combining state-run oil investment and refining companies to form a business that spans pumping crude and natural gas to processing and trading fuels.
Government-owned Oman Oil Co. and Oman Oil Refineries & Petroleum Industries Co. named Musab Abdullah Al Mahruqi as chief executive officer of the merged group starting from Dec. 2, a further step in combining their management and operations, according to a joint statement posted on the Twitter account of the refining business.
Key Insights
Merged company will have combined stakes in about 1.1m b/d of refining capacity in Oman, India and Hungary and oil and gas production in Oman Orpic has 222k b/d refining capacity; Oman Oil plans 400k b/d refinery at Duqm; Oman Oil also has stakes in 120k b/d Bharat Oman Refineries facility in India and a holding in Hungarian oil producer and refiner Mol Oman Oil is majority owner of Oman Trading International, which markets fuel and chemicals from Orpic plants and trades crude and refined products Middle East oil producers are developing and expanding refining and petrochemical capacity to earn more profit from their crude by selling higher-value products; state companies are developing trading divisions and expanding abroad to secure markets Oman abuts the Strait of Hormuz, a key transit point for regional crude exports; country is a member of Gulf Cooperation Council along with Saudi Arabia; also maintains relations with Iran, has plans for pipeline to import Iranian gas Oman can pump about 1m b/d of crude, cooperates with Organization of Petroleum Exporting Countries and other producers to manage supply and prop up prices; Oman Oil Minister Mohammed Al-Rumhy said this month the producers think market is oversupplied and that they may need to cut output
Get More
As CEO of Orpic from 2010 to 2016, Al Mahruqi consolidated Oman’s two domestic refineries with petrochemical businesses into one company; expanded chemicals production; Al Mahruqi also served as chief investment officer of Oman Oil in 2008
--With assistance from Abbas Al Lawati, Archana Narayanan and Dinesh Nair.To contact the reporter on this story: Anthony DiPaola in Dubai at adipaola@bloomberg.net To contact the editors responsible for this story: Nayla Razzouk at nrazzouk2@bloomberg.net Bruce Stanley, Amanda Jordan
WHAT DO YOU THINK?
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
- ExxonMobil Racks Up Discoveries in Guyana Block Eyed by Chevron
- Oil Market Sentiment Has Improved Significantly
- EU, US Eye Collaboration on Nuclear Materials
- USA Driving Activity to Increase to All-Time Highs
- EU Electricity Export to Ukraine Up 94 Percent in Two Years
- China Coal Output Falls for First Time since Government Ordered More
- TC Energy to Sell Prince Rupert Gas Pipeline Project to First Nation
- BP Pulse Buys One of Europe's Largest Truck Stops
- UK CCUS Plans Outdated: Think Tank
- I Squared Eyes Full Ownership of Europe Gas Storage Firm
- Norway Regulator Blasts Proposal to Halt New Oil and Gas Permits
- Chinese Mega Company Makes Major Oilfield Discovery
- EIA Drops 2024 Henry Hub Gas Price Forecast
- EIA and Standard Chartered Offer Up Latest Oil Price Predictions
- Red Sea Region Sees Another Watershed Incident
- Chevron Oil Project in Kazakhstan to Cost $48.5B
- OPEC Voices Encouragement after IEA Affirms Support for Oil Security
- Biden Govt Bares Strategy for Freight Charging, Hydrogen Fueling Infra
- Ukraine Hits Third Russian Refinery In Escalating Drone Strikes
- Rystad Looks at the Buzz Around White Hydrogen
- VIDEO: Missile Attack Kills Crew Transiting Gulf of Aden
- Norway Regulator Blasts Proposal to Halt New Oil and Gas Permits
- Chinese Mega Company Makes Major Oilfield Discovery
- What Is the Biggest Risk to Offshore Oil and Gas Personnel in 2024?
- Is Peak Oil Demand Close?
- Vessel Sinks in Red Sea After Missile Strike
- JP Morgan, Standard Chartered Reveal Latest Oil Price Forecasts
- Exxon Rights in Stabroek Do Not Apply to Hess Merger with Chevron: Hess
- Rystad Forecasts Net Production of Top Permian Producers in 2024
- Analysts Reveal Latest Oil Price Outlook Following OPEC+ Cut Extension