Analysis Tourism Oman-RAK tourism tie-up could spur more alliances Oman and Ras Al Khaimah are drawing up plans to jointly promote tourism, with ambitions to become a destination for adventure holidays. Ras Al Khaimah Tourism Development Authority (Raktda) and Oman Tourism Development Company (Omran) said the deal was a “first of its kind”. Officials described the partnership as a natural fit, with just a […] December 8, 2023
SPECIAL REPORT Infrastructure After stops and starts, GCC rail is back on 2030 timetable In the same week that Dubai announced a 30km extension of its metro network, Kuwait revealed that its $20 billion four-line metro project is to be cancelled. If anything sums up the difficulties associated with connecting the GCC countries by rail, then it is this. Kuwait’s metro hit the buffers as a result of “significant […] December 5, 2023
Renewable Energy Oman plans green-hydrogen corridor to Europe Oman’s plans to make the world’s first commercial-scale liquid hydrogen corridor are a step closer after the sultanate signed a deal with the fourth largest port in Western Europe. Oman’s Ministry of Energy and Minerals and Hydrogen Oman, better known as Hydrom, have signed an agreement with Port of Amsterdam, Zenith Energy Terminals and GasLog. […] December 5, 2023
Oil & Gas Market confusion over Opec+ cuts hits oil prices Oil prices fell further on Friday after tumbling sharply when Opec+ announced more production cuts amid suspicions that quotas will not be adhered to. Brent, the main international benchmark, traded at $80.66, down from $84.37 on Thursday, while West Texas intermediate was flat at $75.94. Saudi Arabia, Russia and other members of Opec+ announced on […] December 1, 2023
Leisure & Hospitality Envi Lodges to add new beach eco-retreat in Oman Envi Lodges, a Dubai-based tented camps and eco-pods specialist, is planning to add a new property in Oman, located an hour’s drive from Muscat. The new eco-retreat close to the shores of Al Sifah follows the announcement of a mountain ecolodge at Al Jabel Al Akhdar in the Hajar mountains. Set to open in late […] November 28, 2023
Oil & Gas Oil and gas investments in Oman reach nearly $6bn Total investment in oil and gas exploration, production and development in Oman reached $5.84 billion in the first half of 2023. Capital expenditure, including geological surveys, drilling and facilities, accounted for 62 percent of total investment, while 38 percent was allocated to operating expenses, state-run Oman News Agency reported. Oil companies drilled many exploratory wells […] November 27, 2023
Energy Oman signs 9-year LNG supply deal with BP State-owned Oman LNG has signed an agreement to deliver one million metric tonnes per annum of LNG to British oil and gas major BP. Starting in 2026, the LNG will be delivered to BP for nine years, the state-run Oman News Agency reported. Hamed Al Naamany, CEO of Oman LNG, said that the expected revenues […] November 23, 2023
Industry Investment in Oman economic zones hits $43bn Investment in Oman’s special economic zones and industrial cities reached OMR16.6 billion ($43.38 billion) as of June 2023, according to the Public Authority for Special Economic Zones and Free Zones (Opaz). Existing industrial cities received a total investment of OMR7.3 billion, with Salalah Free Zone leading with OMR4.5 billion as of June 2023, Muscat Daily […] November 20, 2023
Economy Oman’s economy to recover next year after 2023 slump Oman’s economic growth will rebound in 2024 on higher oil production and robust non-oil growth, the International Monetary Fund (IMF) has said. The Sultanate’s GDP growth is forecast to slow down this year to 1.3 percent from 4.3 percent in 2022 due to Opec+-related oil cuts. The Washington-based institution has forecast Oman’s growth to recover […] November 17, 2023
Transport Aramex opens new central operation hub in Oman Dubai-listed logistics company Aramex has unveiled an advanced courier operation facility in Muscat, Oman, to streamline its shipping process from package arrival to final delivery. The new facility, near the Muscat airport, will serve as a central hub for Aramex’s Oman operations, facilitating quicker delivery and efficient logistics management. Samer Marei, vice president – GCC […] November 17, 2023
DUBAI AIRSHOW Aviation Saudi Arabia and UAE drive air travel recovery Flight bookings to Saudi Arabia and the UAE for the last quarter of this year are up by as much as 70 percent on pre-pandemic levels, new figures reveal. Data compiled exclusively for AGBI by the travel intelligence company ForwardKeys shows that as of early October, Saudi Arabia led the region for growth in seat […] November 13, 2023
Economy Oman reports $2bn budget surplus despite drop in oil revenues Oman’s general budget registered a surplus of OMR791 million ($2.05 billion) by the end of the third quarter of 2023, compared to a surplus of OMR1.123 billion a year earlier. The government’s public revenues reached OMR8.89 billion during the nine-month period, down 16 percent, compared to OMR10.57 billion a year ago, state-run Oman News Agency […] November 10, 2023
Energy Oman to develop rules for carbon capture and green hydrogen The Omani government has signed a memorandum of cooperation with local energy companies to set up an expert committee to finalise a regulatory and strategic framework for carbon capture, utilisation and storage (CCUS) and blue hydrogen development. The signing of the cooperation pacts by the energy and minerals ministry with Petroleum Development Oman, Oman Shell, […] November 9, 2023
EXCLUSIVE Renewable Energy Download our exclusive report on the Gulf’s path to net zero As the world shifts towards cleaner sources of energy, the GCC’s oil and gas-producing nations find themselves faced with the dual threat of environmental and economic crisis. What are they doing about it? In this special report published as the UAE prepares to stage the United Nations’ Cop28 climate change summit, AGBI examines the Gulf’s […] November 8, 2023
Leisure & Hospitality Oman hotel revenue up 27% to $397m in 2023 The revenue of Oman’s 3- to 5-star hotels swelled 26.6 percent year on year to OMR153 million ($397.45 million) during the first nine months of this year, according to the National Centre for Statistics and Information. Hotel guest numbers jumped by 27.3 percent to 1.43 million by the end of September 2023, compared to 1.13 […] November 7, 2023
Energy Oman’s crude oil output falls 3.3% to 224m barrels Oman’s total crude oil production fell by 3.3 percent to 223.55 million barrels as of September 2023. However, total condensate production rose 8.1 percent to 63.48 million barrels, the state-run Oman News Agency reported, citing data issued by the National Centre for Statistics and Information (NCSI). Average oil production hit 1.05 million barrels daily at […] October 30, 2023
Industry Oman’s Sohar Port signs pact for $300m polymer plant Sohar Port and Freezone has signed an agreement with Universal Fine Chemicals to establish a $300 million polymer manufacturing plant in Sohar Port. The project, set up on a total area of 240,000 sq m, will cater to various sectors such as energy, agriculture, wastewater management, and the pulp and paper industry in the Middle […] October 29, 2023
Finance Oman’s inflation accelerates on rising cost of living Oman’s inflation accelerated to 1.27 percent in September from 0.82 percent the previous month after a surge in the cost of living. Prices in the food and non-alcoholic beverages sector rose 3.41 percent last month as the cost of fish and seafood surged 11.26 percent, while cheese and eggs were 8.63 percent more expensive, fruits […] October 25, 2023
Tech PIF-backed Rakiza buys 39% of Omani broadband developer Oman Infrastructure Fund, known as Rakiza, has acquired a 39 percent stake in Oman Broadband Company, the government arm developing broadband infrastructure in the sultanate. Rakiza, backed by Saudi Arabia’s Public Investment Fund, bought the stake from ITHCA Group, a Muscat-based venture capital firm. The price was not disclosed. The investment is Rakiza’s fourth acquisition […] October 23, 2023
Analysis Economy Oman labour reforms raise cost concerns for businesses Oman’s reforms to its labour laws run the risk of making the sultanate a less attractive place to invest and do business, experts have warned. New legislation – which aims to enhance worker protection and promote Omanisation – expressly permits the termination of expatriate employees in favour of appointing Omani nationals. Concerns have been raised […] October 23, 2023
Sustainability Omani company explores green aviation fuel from oil waste State-owned Nama Water is exploring producing green aviation fuels and biofuels from oil waste to meet the Sultanate’s net zero goals. Other initiatives include power generation from municipal waste, flare-to-power, biogas and power from biomass, biofuels from used cooking oil and even sustainable aviation fuel from agri-oils. The waste-to-energy initiative will allow the potential production […] October 20, 2023
Construction Raysut Cement faces court over ‘misrepresentation’ An Omani investigation into a “material misrepresentation” in the accounts of Raysut Cement Company is set to go to court. The probe by financial regulator, the Capital Market Authority, related to the company’s unaudited financial reports for the third quarter of 2022. In a filing to the Muscat Securities Exchange, Hamdan Al Shaqsy, chairman of […] October 18, 2023
