ORPIC achieves exceptional results
MUSCAT — Orpic, Oman’s integrated refining and petrochemicals business, has announced that it has achieved operating profits of RO 150 million (equivalent to $ 400 million) based on the preliminary financial results for 2011. This represents an increase of $450 million when compared to 2010 results.
Dr Mohammed bin Hamad al Rumhy, Minister of Oil and Gas and chairman of Orpic, said: “These results are a result of the high actual utilisation rate of Sohar Refinery as well as the Aromatics and Polypropylene plants. The company was able to overcome the technical difficulties of Sohar Refinery and the refinery utilisation rate reached 93 per cent, compared to a historical annual rate not exceeding 75 per cent. The utilisation rate of the aromatics plant in 2011 reached 93 per cent of its capacity, compared to 65 per cent in 2010.”
He added that the company’s initiative to improve performance, “Programme APPLE”, has had a positive impact over the last twelve months.
He noted that the company’s staff had provided more than 61 ideas and the initiatives to improve performance and increase profits where the impact on the business could be $ 232 million annually.
As regards Orpic’s fulfilment of local market needs of motor fuel, diesel, cooking gas and jet fuel, minister further stated that excellent company performance in 2011 had reduced the Sultanate’s reliance on importing motor fuel and diesel.
The imports decreased from five million barrels recorded for 2010 to only one million barrels in 2011; these were imported during the first half of 2011 and no barrels were imported in the second half of the year.
These results are considered further evidence of Orpic’s contribution to the national economy, meeting the needs of the local market for these products.
He explained that the Government’s goal from the merging process of the refineries and petrochemical companies, which began in 2010, was to build a leading Omani company in the sector. In this way, they can add value to the resources of the crude oil industry and other derivatives in the Sultanate. In addition, they can meet local market demands for fuel to keep up with the growth of the economy at a local level.
The operation of these refineries and petrochemical companies is linked as they depend on each other to provide raw materials and operational processes.
The international experience supported integrating the four plants under a single and unified management to ensure maximum value creation for the shareholders. He further added that the new company management had replaced the previous three companies to manage and operate the refineries as well as the Aromatics and Polypropylene plants.
Commenting on a question as to whether Orpic gets the crude oil at a lower price than market price, minister said that the company works on a commercial basis; therefore it does not get the raw materials at a lower price than the market.
He also confirmed that Orpic buys the crude oil at the published price and in turn it sells the fuel and other products at the market price. The real value that Orpic adds to the Omani economy is evident from the declared profits by the company.
Regarding the environmental impact of the company’s plants, especially Sohar Refinery, the chairman said that the company’s management announced in 2011 many initiatives to improve its environmental performance.
These initiatives have included the re-use of chemical catalysts in the cement industry in addition to an initiative to eliminate the stocks of fuel oil mix, which contributes to protecting the environment.
The company also started implementing the Environmental Improvement Plan which includes several initiatives to be implemented in 2012.
Most importantly it initiated a process to improve the water treatment plant to control emitted odours, one of the main reasons for dissatisfaction for people living adjacent to Sohar Refinery. Upon completion in 2012, this project will improve the waste water treatment performance. Also, the company has allocated a budget of $ 8 million to reduce emissions of certain gases from the main unit of the ‘RFCC’ refinery. This project is expected to be completed in October 2012.
In response to a question about the employment opportunities of Omani nationals in Orpic, He said that the number of Omani employees in the company amounted to more than 1,100 people, equating to 70 per cent of the total staff.
In addition, the company appointed more than 100 Omanis as trainees in 2011. It also plans to appoint the same number in 2012 to progress the Omanisation and training plans in the company. He explained that major petroleum industries do not usually provide significant employment opportunities and that most of these opportunities come through the small and medium-sized companies associated with these industries or its complementary activities.
Regarding the future plans of the company, Dr Al Rumhi said that in 2011 the company began the Front End Engineering Design “FEED” for Sohar Refinery Expansion Project.
This project is expected to increase the refinery production by 70 per cent, enabling it to meet the increasing demand for motor fuel and diesel in the local market. MUSCAT — Today marks the Colours of Oman Fashion show to be held at Oman Aviation Club.
The Cynthia Benoit Fashion event begins at 7.30 pm, celebrating Her Highness Hujeija Jafer Saif al Said as the guest of honour and Tetsuya Mizutani designer from Japan as the chief guest.
Featuring Oman's most recognised models among many others, this event characterises Oman's traditional and eclectic qualities as a nation and encompasses it into one occasion — the Colours of Oman fashion show. The event will be held within the gates of the Oman Aviation Club.
“I have been witnessing the fashion trends of Oman, Omani ladies are very beautiful, as this event explores colour and is premised on the progressive nature of fashion in Oman, there will be an array of clothing on display,” said Cynthia.
Oman Daily Observer and sister daily Oman Arabic are the media sponsors of this prestigious event. The event will showcase the works of 14 local designers. MUSCAT — Representatives of the IMC University of Applied Sciences Krems visited the University of Buraimi (UOB), the Middle East’s first Arab-european higher education institution, from January 8 to 11. The IMC Krems has been instrumental in setting up the new university.
Headed by IMC Krems CEO Prof Heinz Boyer, the Buraimi project has focused on establishing the required organisational and academic structures at the university.
Regular bachelor programmes were launched there in October 2011 after two years of detailed preparations that included a number of trial courses. MUSCAT — The Sultan Qaboos University (SQU) has sought ways to enhance it co-operation and knowledge sharing with a USbased healthcare institute at a meeting with a delegation from St Luke’s Episcopal Health System (SLEHS), Texas, USA that visited SQU yesterday.
The delegation consisted of Chester Jones, Chairman of the Board, SLEHS, David J Fine, President and Chief Executive Officer, and two other senior officials.
Dr Said bin Ali al Yahyaee, SQU Deputy Vice Chan- The latest visit centred on training and on exchanging notes in relation to marketing and PR, and quality management.
Located in northern Oman, the University of Buraimi is Austria’s largest education export to date, with a value of some EUR 40 million.
The teaching programme kicked off last autumn with 400 students. The IMC University of Applied Sciences Krems is the lead institution in a consortium formed specifically for the UOB project.
The other members are the University of Vienna, the Vienna University of Technology, FH Campus Wien and the University of Bradford (UK). cellor for Academic Affairs and Community Service, Dr Hilal al Sabti, Deputy Director General of SQU Hospital for Medical Affairs, and other SQU officials received the St Luke’s delegation.
They discussed about further enhancing the collaboration between SLEHS and SQU. Currently exchange of technicians and nurses are in place between SQUH and the US institution.
The two sides agreed on extending the scope of exchange of people to the faculty members in the College of Medicine and Health Sciences at SQU and clinical scientists in SQU Hospital and the college.
Exchange of technicians will be extended to cardiac care, cardiac computed tomography, operating room technology and other units.
They also agreed on enhancing research collaboration in different medical and clinical areas including radiology, neuroscience, and other medical specialisations.
Later Dr David Fine gave lecture on health system reform at the College of Medicine and Health Sciences.
Prof Karl Ennsfellner, IMC — both based on the Krems Krems Vice Rector, Head of curriculum — started in Septhe International Department tember 2011. and Director of Transnational In Prof Boyer’s view the Programmes and Projects, is Buraimi project underlines especially proud of Krems’ piothe unique international focus neer status as the first Austrian of the IMC Krems. It has one higher education provider to of the most highly developed gain a foothold in the booming networks of any European uniGulf region. versity, with 90 partner univer
“Besides being Austria’s sities worldwide, and excellent biggest ever education export, relations with business and inthis flagship project will also dustry. “We offer our students open up a range of new opan outstanding international portunities for expansion in the environment in which they can Gulf states,” commented Prof lay solid foundations for their Ennsfellner. careers,” he explained.
Bachelor programmes in The remainder of the visit Business Administration and was devoted to in-depth training E-business Management, and and an exchange of views with Export-oriented Management University of Buraimi staff.