Orpic, Oman’s national refinery and petrochemical company, has commemorated the successful closure of an OMR350 million syndicated corporate loan facility at its Mina Al Fahal refinery. This is the first corporate debt raising activity conducted by Orpic at the holding company.
Orpic CFO, Nazar Al-Lawati, explained that this agreement comes at the right time for Orpic, given the company’s strengthening balance sheet and pipeline of projects to support its growth strategy.
“Orpic was established with a vision to build an Omani integrated refining and petrochemical business we are proud of. The syndicated facility, which is supported by a consortium comprising of prominent locally-based banks, is a powerful indication of Orpic’s financial strength and the certainty we have been able to generate in the market as a credit worthy entity.”
With its refineries in Sohar and Muscat, as well as the aromatics and polypropylene production plants in Sohar, Orpic currently provide fuels, chemicals and feedstock to domestic and international markets.
The company’s current growth projects being undertaken, including the Sohar Refinery Improvement Project, Muscat Sohar Product Pipeline, and the upcoming Liwa Plastics Industries Complex, are not only expected to generate significant value but will further diversify Orpic’s product mix and intensify its downstream business operations, supporting the company’s firm entry into the petrochemicals market.
“We are pursuing several projects that will cement Orpic’s position as a market leader in Oman, the Middle East and the international oil and gas sector. By building a business model that enables us to extract value from the full value chain, we are able to operate a robust business that is able to quickly respond to changing market conditions,” Al-Lawati added.
The syndicated facility was arranged by bank muscat SAOG, together with a consortium including: Bank Dhofar; National Bank of Oman; Bank Sohar; Qatar National Bank, Oman; Ahli Bank Oman; and Oman Arab Bank. Senior representatives from each financial institution joined Orpic CEO, Musab Al Mahruqi, to officially sign the facility agreement.
“As the only refining and petrochemical business in Oman, we have mandate to supply and meet Oman’s fuel requirements, now and into the future. We are grateful to be granted this corporate facility, which will go a long way towards meeting corporate requirements and realising our company vision,” Al-Lawati concluded.
Adapted from press release by Rosalie Starling
Read the article online at: https://www.hydrocarbonengineering.com/refining/20052015/orpic-closes-syndicated-corporate-loan-facility-810/