Business & Finance Club Magazine - Oil & Gas Sector - MUSCAT — A Rusayl based specialist firm is executing oilfield equipment fabrication contracts worth over $100 million for Oman’s mainstay hydrocarbon sector, underscoring the growing capabilities of the country’s indigenous fabrication industry.
Oman Metals Industries & Contracting LLC (OMI) beat well-established players in the Gulf and Middle East region to win a series of orders for the fabrication of dozens of large-scale steam generators for key oilfields in central Oman.
According to a senior company executive, OMI’s success in securing the prestigious contracts attests to the growing sophistication and know-how of the local fabrication sector.
“It marks the first time that a local company has been awarded contracts to fabricate, supply and install complex oilfield equipment of this nature. Indeed, OMI is the only company in the Sultanate that has the engineering design and manufacturing capability to undertake such sophisticated fabrication orders to the standards expected by international oil companies operating in the Sultanate,” said Namiq Azhar Mohideen, OMI’s Business Development Coordinator.
Since 2007, OMI has been fabricating and delivering a number of ‘Once Through Steam Generators’ (OTSGs) for major Oman-based oilfield companies and contractors. Around 43 of these multi-million dollar OTSGs, each capable of generating 45 tons of steam per hour for enhanced oil recovery operations, have been supplied by OMI so far. The company has also delivered four Heat Recovery Steam Generators which generate steam from waste heat for oil recovery or power generation.
An additional ten OTSGs are currently on order for delivery through March 2011, said Mohideen, adding that further high-value contracts for similar oilfield equipment are also in the pipeline. Underlining its diverse engineering capabilities, OMI is also preparing to fabricate a glycol dehydration unit for a leading oil company operating in Oman, he added.
A subsidiary of the Shanfari Group of Companies, OMI has a joint venture collaborative arrangement with EN-FAB Inc of Houston for the engineering design and fabrication of such specialist oil and gas equipment at its Rusayl Industrial Estate workshop.
The company has invested in state-of-the-art material handling, welding, turning, rolling of steel, and other facilities as part of an upgrade of its Rusayl facility to cater to the domestic and regional markets. Its area of engineering design and fabrication expertise includes boilers, pressure vessels, process equipment skids and piping components.
“Having proven our capabilities locally, we are now looking to secure orders from the wider Gulf and Middle East market. Towards this goal, we have registered with a number of leading oilfield players in the region. Enquiries have already begun flowing in, and we’re very optimistic about the future,” Mohideen added.