Oman Oil and Orpic Group rebrand to OQ
Looking to develop an integrated hydrocarbon value chain, the company has set plans to invest $28 billion in future growth projects of which $18 billion has been earmarked for Duqm Refinery and the future Duqm Petrochemicals projects. The company also aims to tap into new business lines including alternative energy, gas management and retail. With planned investments, the company’s downstream production will increase from its current 15 million tonnes to 24 million tonnes by 2030, while the commodity sales volumes will double from 21 million tonnes to 40 million tonnes by 2030. At the same time, the company’s upstream production, including both operated concessions and joint ventures, will rise from its present 150,000 boe/day to 245,000 boe/day by 2030.
The ILT team also emphasised that cultural transformation is fundamental for the company’s integration to be successful. The company has therefore adopted a unique bottom-up approach, focused on co-creation. As a result, more than 100 workshops and townhall sessions were organised to engage employees, who have been critical in identifying value creation opportunities. To date, employees provided more than 800 ideas that resulted in over $280 Million cost savings and revenue uplift in 2019. In addition, online and offline platforms were created to ensure continuous idea generation and sharing of feedback across all levels of the organisation, building a company everyone aspires to work for.
Upon completion, the integration will help the company achieve a number of long-term benefits including navigating changes in the oil industry, supporting the overall business by reducing silo-based behaviour and decision-making, creating jobs and developing people, hedging and diversification, increasing purchasing power, financing projects, exploiting synergies, and strengthening Oman’s overall position and global competitiveness. As the global energy industry evolves, such a transformation is necessary to sustainably generate greater economic, social, and environmental value and build an energy sector that is fit for the future.