Raysut Cement Company’s new cement distribution terminal at Port of Duqm is likely to start operations in the third quarter of this year, said a top official of Port of Duqm Company.
Reggy Vermeulen, CEO of Port of Duqm Company (PDC), said the facility is currently at the pre-trial stage and the firm and various authorities, including Royal Oman Police, are testing equipment at the facility, including that used for fire-fighting. Once this process is over, trials will take place in Q3 of this year and operations could start in the same quarter, he added.
The terminal will help distribution of cement in the region where several infrastructure, housing and hotel projects are planned.
Vermeulen said the terminal will prove very useful as currently cement was brought there by trucks. Once the terminal is operational, cement will be brought in large quantities by sea from Salalah, at a much reduced cost, he added.
Vermeulen said the liquid berths terminal tenders are closed and Special Economic Zone Authority of Duqm (Sezad) is expected to award the contracts soon. The contract estimated to be worth $1 billion will involve design, dredging, reclamation and jetty work for the facility.
The terminal will be large enough to cater to the bulk liquid volumes associated with a large refinery of 230,000 barrels per day capacity or more and petrochemicals hub envisioned at the Special Economic Zone (SEZ) adjoining the port.
Duqm Petroleum Terminal Company (DPTC) will be the logistics provider for the storage and handling of liquid products at the port. DPTC will facilitate the export of refined products like Jet A1, naphta, fuel oil, gasoil and Refrigerated Liquid Petroleum Gas. It will also export pet coke from a quay wall with special installations. Oman Oil is building a $50 million bunkering facility in Duqm and Vermeulen feels it usefulness will grow with the completion of the port and growth in shipping traffic, which will increase demand for fuel. The port does not need any dedicated infrastructure to handle cruise vessels, as it already has customs and immigration facilities, but it could still be sometime before such vessels dock, as tourist infrastructure in the region needs to be developed further, said Vermeulen.