OQGN to launch Saib project to expand Oman’s gas network

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Muscat: OQ Gas Networks SAOG (OQGN), the exclusive operator of Oman’s gas transmission network, will launch the Saib Project, a new 208-kilometer gas pipeline in Dhofar Governorate on August 26. This strategic growth project aims to increase the capacity of the gas network in Dhofar Governorate to meet the gas demand arising from population growth, urban development and economic growth. As a result, the capacity of the gas network will increase by 60%, from 10 million cubic meters per day to 16 million cubic meters per day.

The inauguration ceremony will be held under the chairmanship of Sayyid Marwan bin Turki Al Sayyid, Governor of Dhofar Governorate, and will be attended by government officials, community leaders, OQGN Board of Directors, key stakeholders and contractors. The project consists of two loops: Loop 1 – 32 km, located in Hubbarah, Al Khaimah Governorate; Loop 2 – 176 km, from Havel to Resut Station in Salalah, a total of 208 km, with 32-inch pipeline running alongside the existing 24-inch pipeline. The scope of work includes the expansion of 6 stop valve stations and 3 new transmitting and receiving stations.

At a press conference held yesterday, Eng Haitham bin Zaher al Shiraiqi, QGN’s vice president for project delivery, said: “This strategic project is part of the company’s plan to expand the capacity of the gas transmission network in Dhofar governorate to meet the gas demand arising from population growth, urban development and economic growth.”

Currently, OQGN manages 4,045 km of gas pipelines, 3 compressor stations and 29 gas supply stations, ensuring energy delivery to 130 major consumers, including power plants, desalination facilities and various industrial complexes.

By 2024, OQGN plans to increase the length of the pipeline to 4,222 km, further extending it to 4,287 km by 2025, 4,344 km by 2026, and 4,472 km by 2027. The network capacity is expected to increase from 69.3 billion standard cubic meters (SCM) in 2023 to 71.1 billion SCM in 2024, 77.1 billion SCM in 2025 and 2026, and 79.7 billion SCM in 2027.

Accordingly, natural gas delivery is expected to increase from 40.5 billion cubic meters in 2023 to 41.7 billion cubic meters in 2024, 43.0 billion cubic meters in 2025, 44.3 billion cubic meters in 2026 and 45.6 billion cubic meters in 2027.

Faisal bin Ali al Mamari, Vice President for Human Resources, Technology and Culture, explained that the company’s future plans include many projects and initiatives, which are currently being studied in coordination with relevant government agencies, aimed at increasing gas capacity in all parties in the Sultanate of Oman. “The second project is about to be announced, which will increase the capacity of the gas network in the Sultanate of Oman,” he said. He also stressed that the financing of these projects will not affect the profit distribution promised by OQ Gas Networks to shareholders in 2024 and 2025.

Ahmed bin Ibrahim al Hadhrami, Director of Corporate Image and Culture, pointed out: “The total amount of gas delivered to all 160 consumers through 25 gas supply stations and 3 compression stations has reached 120 million cubic meters per day, and the gas supply rate has reached 99.99%.” He highlighted the company’s workforce and said: “The company’s employees have reached 469 people, of which 94% are Omanis and 100% hold senior positions. The company hopes to attract professionals in the field of zero neutrality in the coming period.”

OQGN’s robust expansion plans include the development of new pipeline sections and compressor stations to increase gas transportation efficiency, ensure growth of the network and meet the nation’s energy needs.