OQ Gas Network, state-owned OQ’s gas pipeline unit, has signed a long-term agreement with Gulf Petrochemicals Services Company (GPS) for maintenance and engineering services.
Under the terms of the agreement, GPS will provide the entire day-to-day maintenance portfolio related to OQ’s gas network assets across Oman.
In a statement to Oman News Agency, Mansoor al Abdali, managing director of OQ Gas Network said, “This long-term service contract is vital to our business as it contributes to our goals towards reliability and availability. This agreement will serve as an effective platform to bring innovation and efficiency in serving our customers.”
He also noted that the scope and scale of this contract is “significant.”
Abdali added, “We strongly believe that this contract will immensely contribute to our drive to create value through localization and enhancing In-Country Value. With long-standing business relationship, we believe GPS is well aligned with OQ’s expectations and priorities.”
Naveen Chana, general manager of Gulf Petrochemicals Services, said, “We are honored that OQ Gas Network has selected us again to provide them with ongoing maintenance services. We will continue to provide top-notch service as we continue to renew this new business partnership.”
The contract scope comprises preventive, corrective and predictive maintenance, call-off services and third-party services and also incorporates management and execution of minor scale EPC projects (new pipeline connection) which facilitates quicker project initiation and rapid mobilisation.
Last month, OQ selected Bank of America and Bank Muscat to assist in the initial public offering of OQ Gas Network, as the Sultanate steadily moves ahead in its privatisation program.
Quoting people familiar with the matter, Bloomberg reported that the IPO of OQ Gas Network could raise as much as $800 million. The sources, who asked for anonymity, revealed that OQ may consider listing in Muscat and Saudi Arabia’s stock exchange, known as Tadawul.
