CREATING A HUB FOR THE FUTURE

Transcription

1 CREATING A HUB FOR THE FUTURE

2 309,500 km 2 Muscat 4.2 Mn (2015) Arabic, English 3,466 Km coastline USD bn GDP (2014) Omani Rial = USD 2.58 oil, natural gas, copper, fish, minerals Facts & Figures of Oman

3 Major Trade Partners UK, India, Japan, UAE, South Korea, China, EU, Thailand Oil & Gas reserves and production Production Reserves Crude 1 Mio b/d 5.3 Billion barrels Natural gas 1.1 Trillion ft/d 24.2 Trillion cft Oil and gas revenues account for 51% of GDP and 84% of revenues Facts & Figures of Oman

4 International relationships Free Trade Agreement Oman has relations with over 140 countries and is a member of over 105 regional and international organizations USA, Singapore(GCC) Facts & Figures of Oman

5 Flexible tax system Liberal invest policies & Business Incentives Equipped modern infrastructure Why Oman? Strategic Location Government stability Abundant natural & Energy resources Hospitality Culture Financial and monetary stability Land availability at low cost Low cost utilities Oman business environment

6 Mining sector in Oman: Ministry of Commerce and Industry granting mining licenses Since 2013, best practice is being reviewed. Licensing to Omani as well as foreign companies, registered according to commercial companies laws Prospecting permits up to 5 years, mining permits up to 25 years, both renewable. Total market valued at 370 Mio USD in 2015 Contribution to GDP modest but growing (by 20% in 2015 to 6% in 2020) Mainly marble, copper, gypsum, limestone, dolomite and chromite Reserves are huge, most of mineral resources remain underexploited Integral part of Governments diversification strategy Boost from major regional projects

7 RAK Fujairah Oman s mineral export market Majority of products still processed locally Exports mainly from Salalah Port Sohar Port is processing rather than exporting Duqm is the new kid on the block eying both processing and export Gypsum exports 5.5 Mio tones in 2015 Limestone exports 2.4 Mio tones in 2015

8 Oman Production per product

9 Duqm, the largest development project of Oman

10 Duqm s strategic location... Oman is located out of Mumbai the strait of Hormuz Connecting East and West 2 Proximity to major shipping lanes Doorstep away from major markets 4

11 80 km Port of Duqm Arabian Sea Special economic zone duqm (Sezad) 43 km Royal decree: Decree no. (85/2006) DEFINING THE STUDY AREA TOTAL AREA: 1745 km²...in a strategic environment

12 Incentives Package One-stop station service 100% Foreign Ownership Usufruct agreements up to 50 years renewable Exemption from import & export duties Tax -exemption for 30 years Free Repatriation of Capital & profits No minimum capital requirement No personal income tax No currency restrictions Duqm business Incentives

13 Ras Musandam Highlights of Duqm project Al Buraymi Sohar Muscat Proximity to natural resources Next to the new oil concession, inland and offshore Sur Proximity to major mineral mines Nizwa Greenfield development allowing for major expansion Hayma Duqm Masirah Land availability At the heart of the largest development project of Oman Beneficial inland road connections Salalah

14 World scale deep draft port Dry dock Logistics hub Refinery Industrial areas International airport New residential town Hotel & resort area Highlights of Duqm project

15 Major Roads (72 km) 80m ROW Local Road ( 73 km) 20-50m ROW Transport system: Duqm roads

16 Transport System: Duqm access road ABU DHABI DUBAI Ras Musandam Sohar IRAN Duqm is 550 km from Muscat and is accessible by road via: UAE Al Buraymi Nizwa Muscat Sur Sinaw Muscat Salalah highway Sinaw Mahout Duqm KSA R 31 R 32 The coastal road (Shannah - Mahout) and Hayma Masirah (Salalah Duqm) Duqm YEMEN Salalah

17 Harweel Yibal Khazzan Sohar Duqm Mina al Fahal Muscat 100km 150km 200km 250km 300km Oman LNG Sur Access to O&G projects Centrally located towards the major oil and gas concessions, inland and offshore Direct road access between Duqm and the oil fields free from bridges and tunnels Today there is no longer acceptance of (oversized) project cargo going to Oman via UAE s main ports Preferred point of entrance for all Oil and Gas related cargoes, as instructed by MOG Gas Pipeline Future Gas Pipeline to Duqm Oil Pipeline Future Oil Pipeline to Duqm

18 Transport System: Duqm air connection Commenced 23rd July km Runway 4 flights a week Capable to handle largest passenger and cargo aircrafts in the world

19 Major residential developments First 23 ha handed over (Fronteer Town) 2 x four star hotels 1 x 3 star hotel 15,000 beds for blue collar workers under construction (2016) Duqm Beach Resort under construction Duqm accomodation

20 Transport System: Duqm railway connection DUBAI ABU DHABI Sohar IRAN The rail route is part of proposed Inter- GCC railway running from Kuwait to Salalah (and possibly to Yemen). GCC Railway UAE Al Buraymi Muscat Sur KSA Provide greater capacity for freight transport to: reduce cost and road freight services create faster transfer of goods services Hayma between countries in GCC create a massive hinterland for Duqm area Duqm YEMEN Salalah

21 Port of Duqm, the heart of the Duqm Special Economic Zone

22 50/50 JV between Government of Oman and Port of Antwerp consortium: provision of expertise on development, operations and marketing By Royal Decree 28/2015 (8th July 2015): Develop, manage and operate Duqm port Endorses the Duqm Port Concession and Land Development (Usufruct) Rights Agreement (28 years) Actual investment done by the Government Role of Port of Duqm Company

23 PORT AUTHORITY TERMINAL OPERATOR LANDLORD SINGLE FOCAL POINT FOR INVESTORS Role of Port of Duqm Company

24 SEZAD (Special Economic Zone Authority of Duqm) Authority for the entire Special Economic Zone Developer outside of Port of Duqm Concession area One Stop Shop Other stakeholders

25 RAECO (Rural Areas Electricity Company of Oman) Generation, transmission and distribution of electricity within the zone Renaissance Services Developer of the Duqm Permanent Accommodation for Contractors (PAC) Other stakeholders

26 Break Bulk / Project Cargo Dry Bulk Early Container Operations Container Terminal Operations Liquid Bulk Logistic Land Hand-over Industrial Land Hand-over Liquid Bulk Land Hand-over ODC start up Duqm Airport Rail line Start up Refinery Start up Duqm timeline IP 3 start IP 4 start IP 7 start IP 2 start

27 7 Transforming the Port: Investment packages Main road and infrastructure Commercial quay 107 Mio OMR Pre-Gates and security Government berth 96 Mio OMR 80 Mio OMR Main gates and admin building Logistic Land 20 Mio OMR 140 Mio OMR 3 7 Liquid bulk and phase Mio OMR Execution between 2016 and 2019

28 2200 m TODAY 350m Multipurpose Early Container Dry bulk Navy 2019 Multipurpose Container 1 Container 2 Dry bulk Commercial quay: IP2

29 Duqm area Limestone Dolomite Silica Sand Limestone quarry Dolomite quarry

30 Mineral opportunities near Duqm Port Deposits within and outside Sezad Dolomite, Limestone and Silica Sand in direct vicinity of the Port Gypsum, Laterite, Chromite at further distance Export to major markets (India, Qatar) Downstream opportunities for variety of industries Logistical companies, service and equipment providers

31 Operational Capabilities dry bulk 24/7 operations 300m quay, expandable 18m draft Wheel loaders and tiper trucks For time being only self geared vessels Short term: investment in automated systems (conveyor belt) Longer term: train connectivity

32 Early Container Operations: Feeder service to Duqm Container feeder line connecting Jebel Ali Sohar Duqm Salalah Jebel Ali Sohar Operated by Oman Shipping Company Weekly or up to 14 days for round trip Sur Started up in April 2016 Direct calls as from 2019, after commissioning of Container Terminal 1 (IP2) Duqm Salalah

33 Port of Duqm: Landlord Logistics Liquid Bulk / Petrochemicals Phase 2 Industrial 5000 ha

34 Port of Duqm in 2016

35 In summary

36 What Port of Duqm has to offer: Non congested deep draft port Prime gateway to numerous overseas markets Transshipment hub Land availability at low cost Intermodal model: air, road, sea, rail Natural resources abundantly available Beneficial investment incentive packages One stop shop Outspoken investment friendly environment In summary

37 What Port of Duqm is looking for: Entrepreneurs looking to conquer overseas markets, taking full advantage of Duqm s location Oil and Gas and Dry Bulk related cargo flows First movers with long term view Production facilities looking for cost beneficial environment Logistical service and equipment providers Facilities able to support explosive expansion of Duqm In summary

38 Thank you! Erwin Mortelmans Commercial Director Port of Duqm Company Mob