IGC launches Oman's first gas spot sale of 2025
MUSCAT: Integrated Gas Company (IGC), the sole aggregator and supplier of natural gas in the Sultanate of Oman, has invited bids for its first spot sale of natural gas for the current year.
A Request for Proposals (RFP) issued by the wholly state-owned energy firm on Sunday seeks offers for the supply of 175,000 MMBTUs (million British Thermal Units) per day of natural gas for a period of one to two years.
The announcement builds on landmark initiatives by IGC to maximise revenue generation for the Omani government through gas marketing activities encompassing spot sales and short-term gas supply auctions. Both initiatives are also aimed at providing large industrial customers with greater flexibility and efficiency in their purchase and consumption of natural gas.
Interested customers have until March 30, 2025 to submit applications in response to the RFP. 'All interested parties are welcome to participate in this auction. Don't miss out on this opportunity to secure a valuable contract with IGC,' the energy firm note in a post.
Last year, IGC successfully added gas marketing activities to its central mandate as the sole shipper of Omani natural gas. In line with this remit, it signed a first-ever spot gas sales contract with Octal, the Salalah-based polyethylene manufacturer, in August 2024. Under the deal, IGC committed to supplying 15,000 standard m3 per day of natural gas for four months.
Also during the same month, IGC announced the first auction of short-term gas supplies. On offer were around 9,000 MMBTU per day (approx 9 million standard cubic feet/day — mmsfd) of gas to be supplied to one or more successful bidders for a period ranging from one to two years. Interested bidders were required to submit offers that were an improvement upon a minimum price set by IGC.
Set up as a state-owned enterprise under the auspices of the Ministry of Finance, IGC represents the government's interests in the management of all allocations, assets, rights and obligations of natural gas purchase, sales, transport, imports and exports, as well as all relevant products. IGC is also tasked with contributing to Oman's fiscal performance by shouldering all expenses related to gas purchase and transport from the State Budget. Part of its remit is to transfer net gas revenue to the treasury as well.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Observer
12 hours ago
- Observer
$5 billion boost for Shariah housing in Oman and GCC
MUSCAT: A major regional investment firm aims to accelerate the development of affordable, Shariah-compliant housing in Oman and the wider GCC, following a new strategic partnership between international finance institutions. BCIB Holding Co, Ltd, a Thailand-based financial service and investment banking firm, has acquired a 20 per cent stake in Amwalus Finance LLC, a US-incorporated financial institution with strategic operations in Oman, aligning both companies to jointly scale ethical housing finance solutions across the region. The investment is supported by a $5 billion Medium Term Note (MTN) issued by Bastion Commonwealth Investment Bank, the banking arm of BCIB Holding. According to BCIB Holding Co, the proceeds from the MTN will be used to finance housing projects that adhere to Islamic finance principles, addressing the growing demand for inclusive and affordable residential solutions in Oman and neighbouring Gulf countries. The agreement was formalised in a signing ceremony between Low Chun Keong, Managing Director of BCIB Holding, and Wassem Mesto, Managing Director of Amwalus Finance LLC, a wholly owned subsidiary of US-based Amwalus Trust. The ceremony was also attended by Dr Chutamas Vongvorakit, Co-founder and Chief Financial Officer of BCIB Holding. 'This strategic investment, backed by institutional financing through Bastion Commonwealth Investment Bank, underscores our commitment to fostering inclusive and sustainable development in Oman and across the region,' said Low. Amwalus Finance focuses on Shariah-compliant financing for affordable housing. With the new capital injection and support from its strategic partner, the company plans to expand its housing solutions across the GCC, targeting underserved communities. Wassem Mesto welcomed the partnership as a milestone for the company's mission. 'We are proud to welcome BCIB Holding as a key strategic partner in our mission to provide dignified, affordable housing guided by Islamic finance principles,' he said. 'With this collaboration, and the support of Bastion Commonwealth Investment Bank, we are well-positioned to scale our impact across the GCC and meet the growing demand for ethical, inclusive housing solutions.' The alliance reflects BCIB Holding's broader goal to promote long-term socioeconomic development through innovative Islamic financial instruments, with a particular focus on infrastructure and housing. Oman, which is advancing national priorities under Vision 2040, is expected to be a central focus of these investments.
Observer
12 hours ago
- Observer
Women in Oman import handbags worth RO 9.5m in 2024
Muscat: Women in Oman imported handbags worth RO 9.5 million in 2024, marking a 37 per cent rise compared to the same period in 2023. The National Center for Statistics and Information said Oman has witnessed a notable diversification in the types of imported handbags ranging from materials to designs to international brands thus catering to the different ages and tastes. Part of this increase is attributed to the growing online stores that have become key players in selling women's goods. These platforms have helped provide diverse options, competitive prices and convenient shipping across Oman. Maryam al Muqbali, owner of one of the online stores, said that the demand for online handbag purchases has witnessed remarkable growth in recent years, especially during festivals. "We've noticed that women are increasingly relying on online shopping because it offers attractive deals and prices, as well as multiple payment options and fast delivery services, all of which have significantly boosted sales. We always strive to import high-quality handbags that keep up with the latest fashion trends to meet the needs of women of all ages." Khadija al Balushi, one of the consumers, said, "I love buying handbags, whether from stores or online. In Oman, there's a wide variety of handbag stores, both in large shopping centres and small local markets, and each store offers different collections to suit all tastes. I often look for handbags that suit my daily needs in terms of quality and durability. Sometimes, I resort to online stores if I want new designs or special offers. But at the same time, I love shopping in person because I can touch and see the product up close before buying, which is important to me to ensure the product is genuine, as some online accounts might sell counterfeit items." She said sometimes she hesitate before buying, "because I'm not sure about the product's quality, so I focus on reading reviews and others' experiences before making a purchase. Nevertheless, online shopping has made many things easier for us, especially when time is tight." She said she has both original and imitation handbags, noting that she prefers the originals. She explained that it is sometimes difficult to distinguish between original and fakes. She believes that the genuine product is worth the price. This increase comes within the context of the continuous growth of the Omani consumer market, especially during holidays, vacations and social occasions, which are periods that typically see increased demand for such products.
Observer
12 hours ago
- Observer
Nizwa: Bridging sustainable development and heritage
NIZWA: The Wilayat of Nizwa in the Governorate of Al Dakhiliyah stands as one of Oman's most prominent cultural and touristic destinations, renowned for its rich historical legacy and archaeological landmarks that chronicle significant chapters of the nation's past. The iconic Nizwa Fort dominates the historical landscape as a masterpiece of traditional Omani architecture. Adjacent to the fort, the vibrant Nizwa Souq showcases exceptional local craftsmanship, from intricately forged daggers and handcrafted silverware to traditional markets selling livestock, fresh produce and artisanal goods. Falaj Daris, recognised on Unesco's World Heritage list as one of Oman's largest aflaj irrigation systems, represents another jewel in Nizwa's heritage crown. This ancient water network sustains extensive agricultural lands while demonstrating centuries-old Omani ingenuity in sustainable water management. The recent development of a public garden within the falaj has further enhanced its ecological and touristic value. Nizwa's strategic geographical location, combined with its diverse topography of wadis, mountains and verdant oases, has established it as a prime destination for cultural and eco-tourism. These natural assets, along with progressive development initiatives, have positioned the Wilayat of Nizwa as an attractive investment hub for tourism and infrastructure projects. Nizwa has achieved remarkable progress in sustainable development through strategic initiatives. These initiatives have further enhanced urban infrastructure and quality of life. Significant development projects currently under way include Al Dakhiliyah Square launched earlier this year, an Integrated Public Transport Station, and restoration works in Harat Al Aqr. The Public Garden Project has reached 40 per cent completion, collectively aiming to elevate Nizwa's status as Oman's premier cultural-tourism destination while creating new economic opportunities. Harat Al Aqr has transformed into a flagship example of youth empowerment, hosting 78 entrepreneurial ventures that have generated over 300 jobs for young Omanis. The Wilayat of Nizwa is an attractive investment hub for tourism and infrastructure projects Shaikh Saleh bin Dhiyab al Rubaiee, Wali of Nizwa, said that developmental projects are strategically designed to strengthen local economies while preserving cultural heritage. He highlighted how historical neighbourhood restoration forms a cornerstone of Nizwa's economic strategy, serving the dual purpose of safeguarding cultural identity through architectural conservation while creating employment via tourism and SME development. Nizwa Industrial City, under the Public Establishment for Industrial Estates (Madayn), represents another facet of Nizwa's growth with 186 operational projects, attracting RO 504 million in cumulative investments and generating 6,100 jobs with a 45-per cent Omanisation rate. Ishaq bin Ibrahim al Kharousi, acting Director-General, revealed Madayn's upcoming RO 1.2 million Entrepreneurial Complex and ongoing studies for an integrated residential zone within the industrial city. Ahlam bint Hamad al Qasabiyah, Director of the Heritage and Tourism Department in Al Dakhiliyah Governorate, outlined the ministry's comprehensive SME support programmes including streamlined licensing procedures, specialised training initiatives and incentive packages for heritage hospitality ventures. She noted how the conversion of historical homes into heritage inns perfectly illustrates the purple economy approach, citing 600,000 visitors to Harat Al Aqr in the first quarter of 2023 as evidence of this model's success in merging cultural preservation with economic viability. The ministry continues to prioritise fortress restorations and historical documentation to enhance Oman's sustainable tourism offerings while safeguarding intangible cultural heritage. This comprehensive development approach positions Nizwa as a model for balanced sustainable growth, creating new opportunities while maintaining the unique identity. — ONA
