18-12-2015

Orpic award petrochemical project to Maire Tecnimont

Maire Tecnimont S.p.A. announces that its subsidiary Tecnimont S.p.A. has been awarded a contract for the realizationof a Polyethylene Plant (HDPE/LLDPE) and a Polypropylene plant (PP) on an EPC basis for a value of approximately USD 895 million by Oman Oil Refineries and Petroleum Industries Company SAOC (Orpic).

This contract is one of the four packages forming the Liwa Plastic Industries Complex (LPIC) Project.

In order to finance the whole LPIC Complex, which has an overall value of USD 6.4 billion, a credit line equal to USD 890 million is being currently finalized, disbursed by Cassa Depositi e Prestiti (CDP) and some commercial banks and fully guaranteed by Italian export credit company SACE.

The polyethylene and polypropylene units will be located in the Sohar Industrial Port Area, Sultanate of Oman and will be developed on the basis of PE Univation Technologies  and PP Basell Poliolefine technology.

Orpic is Oman’s national refining and petrochemicals company and provides fuel, chemicals and feedstock domestically and worldwide.

The project’s scope of work envisages the provision of complete engineering services, equipment and material supply and construction activities up to commissioning, start up and guarantee test run of:
* a Polyethylene Plant consisting of two “swing” units with a capacity of 880,000 t/y (tons per year) of high density polyethylene (HDPE) and linear low density polyethylene (LLDPE);
* a Polypropylene Plant (PP) with a capacity of 300,000 t/y;

The Notice to Proceed date is envisaged by March 2016 while the completion of the scope of work is expected in the fourth quarter of 2019.

This first award in Oman enables Maire Tecnimont Group to expand its industrial footprint in the GCC region. This prestigious reference will also best position Maire Tecnimont in the Omani market, which is characterized by very promising growth prospects in the hydrocarbon processing value chain.

Pierroberto Folgiero, Maire Tecnimont Chief Executive Officer, commented, “We feel really honored to contribute to Oman’s industrial development with such a strategic initiative, enabling the Country to produce polyethylene for the first time, which rates highest in the world in terms of global demand. This contract awarded to us by Orpic is sound evidence of our historical excellence in polyolefins.”