State-owned Oman Oil Refineries and Petroleum Industries Company (Orpic) is investing $320 million for building a 290 kilometre-long pipeline between Muscat and Sohar for transporting refined products, which is expected to start operations by mid-2017.
The Muscat Sohar Product Pipeline and the Al Jifnain Terminal project, which are part of the whole scheme, will enable a connection between Orpic’s Mina Al Fahal (MAF) Refinery in Muscat and the Sohar Refinery with a new storage and distribution terminal located in Jifnain via a bi-directional pipeline network.
Of the total capital expenditure, the Al Jifnain Terminal will have an investment ofaround $100 million and the pipelines and associated investment in both Sohar and Mina Al Fahal Refineries is estimated to be $220 million, Andres Suarez, general manager of Orpic Logistics LLC, recently told the Times of Oman.
The project is fully a commercial one and its returns depend only on the revenues generated from the use of the logistics assets of Orpic customers, with no financial aid from the government. Additionally, the project has been financed by the Ahli Bank and Ahli United Bank.
UPDATES:
- Dec, 21 2025 DNO signs North Sea oil deal with ExxonMobil, Shell
- Dec, 17 2025 RF Valves Marks Expansion In Hanover With Grand Opening And Ribbon Cutting
- New alliance for valves: International Associations join forces
- Valmet Expands Latin American Footprint with New Flow Control Manufacturing Facility in Brazil
- Dec, 16 2025 Vexve and BROEN join forces