Oman’s PDO receives proposals for planned EPC framework

1 July 2025

Register for MEED’s 14-day trial access 

Petroleum Development Oman (PDO) has received proposals from contractors for a proposed pool of contractors to which it will tender engineering, procurement and construction (EPC) works on its greenfield and brownfield projects at its Block 6 concession in the sultanate.

Majority state-owned PDO intends to sign framework agreements with selected contractors that will be invited to participate in the tendering process for two categories of projects, known as Wave 1 and Wave 2.

The structure of the proposed contractors’ group will be similar to the Long-Term Agreement pool of EPC service providers that Saudi Aramco operates for its offshore and onshore projects, it was previously reported.

Contractors submitted proposals to PDO for the proposed EPC framework agreement by the deadline of 22 June, sources told MEED.

PDO floated a prequalification document on 17 April, detailing its requirements, criteria, planned projects and other aspects of the EPC framework agreement.

The oil and gas producer set an initial deadline of 8 May for submission of proposals, which it then extended until 15 June, and eventually until 22 June.

The projects earmarked by PDO for the Wave 1 and Wave 2 categories are as follows:

Wave 1:

Al-Ghubar GOGD project – Oil and gas

The Al-Ghubar Gas-Oil Gravity Drainage (GOGD) project is located in Qarn Alam, in the northern area of PDO’s Block 6 concession. The scope of the project is to build a new facility. The production from this facility will be exported to the main oil line. The Al-Ghubar GOGD facility will be designed as a sour facility (hydrogen sulfide) to handle a maximum oil production of 1,800 standard cubic metres a day (cm/d), a maximum total water flow rate of 10,421 standard cm/d and a maximum gas lift of 256,934 standard cm/d.

Raba hub development – Oil

The Raba hub project is part of the Qarn Alam growth development located in the northern area of the PDO concession. The strategy encompasses fields in the nearest surrounding area, the Raba Infill and Raba East fields. The production from Raba Infill will be directed to the existing Raba gathering station (RGS) and the production from the Raba East field will be directed to the newly proposed Raba hub station (RHS). With the additional production from Raba Infill to RGS, some modifications to the RGS are also proposed. For better operational flexibility, interconnection between the existing RGS and the new RHS facility is also proposed, to accelerate an estimated 176 million barrels of unconventional reserves and accelerate production growth by adding an additional 50,400 barrels a day (b/d) of output by 2029.

Rabab Harweel Integrated Project (RHIP) tranche 2 – Oil and gas

The RHIP involves miscible gas injection across multiple fields, subdivided into two tranches. Scheduled to come on-stream starting in 2028, tranche two aims to expand oil production capacity in existing fields and enhance gas injection into these fields. The scope also includes sustaining gas supply from the gas reservoir by installing a depletion compression facility and expanding the off-plot gas supply network.

Wave 2:

Nimr NRPS atmospheric pressure flare recovery – Gas

The EPC of microturbine, gas sweetening and gas compression facilities.

Dulaima carbon dioxide-based enhanced oil recovery – Carbon capture, utilisation and storage (CCUS)

A processing facility to handle the incremental hydrocarbons and carbon dioxide (CO2) volumes, including CO2 recycle injection.

Wadi Umairi development – Oil and gas

Oil and gas processing facilities, such as separators, tanks, water injection pumps, gas sweetening unit, off-plot network and utilities.

Makarem development project – Sour gas

A greenfield sour gas facility involving gas sweetening and sulphur recovery.

Bout full field development project – Oil and gas

RMSs and a gathering station, multiport selector valves, water injection manifolds, separators, hydro-cyclone package, water injection pump and utility units.

Burhan NW depletion compressor – Gas

Inlet separators, air coolers, depletion compression, condensate pumps, electrical infrastructure and utilities.

Makarem full development project – Sour oil

A gathering station, RMSs, water injection, manifold, pumps, separators and utility units.

Therm NMT ALSE development – Sour gas

OTSGs, cyclic steam stimulation wells, manifolds skids, CS production/steam headers, splitter, air coolers and export pumps.

PDO is the operator of the Block 6 hydrocarbons concession in Oman, which is the sultanate’s largest and most prolific concession. Situated onshore and covering an area of 75,119 square kilometres, Block 6 contains 202 oil fields and 43 gas fields.

The Omani government holds a 60% stake in PDO, with the other shareholders being UK-based Shell (34%), France’s TotalEnergies (4%) and Thai state-owned PTTEP (2%).

ALSO READ: Contractors line up for Oman LNG fourth train project

https://image.digitalinsightresearch.in/uploads/NewsArticle/14178719/main4715.jpg
Indrajit Sen
Related Articles
  • Adnoc Refining awards engineering for naphtha-to-jet fuel project

    16 December 2025

     

    The refining arm of Abu Dhabi National Oil Company (Adnoc Refining) has awarded a front-end engineering and design (feed) contract for a key project to convert naphtha into jet fuel.

    State-owned Engineers India Limited (EIL) has won the feed contract from Adnoc Refining, sources told MEED. The contract is believed to be worth about $4m, according to sources.

    Adnoc Refining produces approximately 11 million tonnes a year (t/y) of naphtha, which is categorised into two types: crude naphtha, produced from crude processing at its refineries, and condensate naphtha, obtained from processing condensates.

    The project aims to convert a large portion of Adnoc Refining’s naphtha output into jet fuel – a higher-value product – thereby increasing overall refining margins.

    Adnoc Group owns a 65% majority stake in Adnoc Refining. Italian energy major Eni and Austria’s OMV own 20% and 15% stakes, respectively, following a $5.8bn transaction completed in 2019.

    Adnoc Refining has a total refining capacity of 922,000 barrels a day (b/d) of crude oil and condensates. The company produces more than 40 million t/y of refined products, including liquefied petroleum gas, naphtha, gasoline, jet fuel, gas oil, base oil, fuel oil and petrochemical feedstocks such as propylene. Its specialty products include carbon black and anode coke.

    The Adnoc Group subsidiary is also advancing a separate project to maximise naphtha production from its refineries. The main scope of work is to develop an integrated naphtha production complex that will include light and heavy naphtha hydrotreaters, light naphtha isomerisation units, two heavy naphtha reformer units and a 50,000 b/d continuous catalytic reformer.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/15247642/main3656.jpg
    Indrajit Sen
  • Saudi Arabia’s Diriyah tenders Wadi Safar hotel contract

    15 December 2025

     

    Register for MEED’s 14-day trial access 

    Saudi gigaproject developer Diriyah Company has issued a tender inviting firms to bid for a contract to build a Montage hotel and branded residences within its Wadi Safar masterplan in the Diriyah development.

    The project comprises a 200-key hotel and 30 branded residences.

    The tender was issued earlier in December with a bid submission deadline of 12 January.

    Dubai-based SSH is the lead designer and the supervision consultant.

    UK-headquartered Turner & Townsend is the project management consultant.

    Wadi Safar is one of the original projects announced by Diriyah Company as part of the Diriyah project.

    It is a mixed-use development featuring residential buildings, farm plots, hotels, branded hotel villas, a golf course, an equestrian and polo club and other leisure and entertainment facilities.

    The main construction works on some of the other assets in Wadi Safar are under way.

    In July last year, MEED exclusively reported that Diriyah Company had awarded an estimated SR8bn ($2bn) contract to construct assets in the Wadi Safar development of the Diriyah project in Riyadh to a joint venture of local firm Albawani and Qatari contractor Urbacon Trading & Contracting.

    The joint venture is developing the following assets:

    • The Aman Wadi Safar hotel and residences
    • A Six Senses hotel
    • A Chedi hotel and residences
    • A Faena hotel and residences
    • The Royal Diriyah Equestrian & Polo Club (excluding enabling works)
    • The North and South Fairways retail facilities and a mosque
    • The Grove retail facilities, mosque and clinics

    So far this year, the company has awarded several main construction contracts worth over SR24bn ($6.5bn).

    In November, Diriyah Company awarded two construction contracts with a combined value of over SR5.7bn ($1.5bn), as MEED reported.

    The contracts were officially announced on the sidelines of the Cityscape Global event in Riyadh on 17 November.

    The first contract was awarded to local firm BEC Arabia Contracting Company for the construction of offices in the Media and Innovation District of Diriyah.

    MEED understands that the contract is valued at about $800m.

    This project will deliver office spaces for media companies and creative agencies.

    Within the same district, BEC Arabia will also build residential assets on the Manazel Al-Hadawi plots.

    The other contract, estimated to be worth $900m, was awarded for the main construction works on King Khalid Road. 

    The deal was signed with another local firm, Almabani General Contractors.

    The project involves constructing three interchanges connecting King Khalid Road with the northern and western ring roads.

    The Diriyah masterplan envisages the city as a cultural and lifestyle tourism destination. Located northwest of Riyadh’s city centre, it will cover 14 square kilometres and combine 300 years of history, culture and heritage with hospitality facilities.


    READ THE DECEMBER 2025 MEED BUSINESS REVIEW – click here to view PDF

    Prospects widen as Middle East rail projects are delivered; India’s L&T storms up MEED’s EPC contractor ranking; Manama balances growth with fiscal challenges

    Distributed to senior decision-makers in the region and around the world, the December 2025 edition of MEED Business Review includes:

    > BAHRAIN MARKET FOCUS: Manama pursues reform amid strain
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/15245607/main5354.jpg
    Yasir Iqbal
  • Acwa Power acquires Bahrain assets from Engie

    15 December 2025

    Saudi Arabia's Acwa Power has completed the acquisition of gas-fired power generation and water desalination assets in Bahrain from France’s Engie.

    The completed Bahrain acquisition was announced on the Saudi Stock Exchange (Tadawul). It comprises 45% stakes in both the Al-Ezzel independent power project (IPP) and Al-Dur independent water and power project (IWPP), and a 30% stake in the Al-Hidd IWPP.

    The 1,220MW Al-Dur and 930MW Al-Hidd plants include seawater reverse osmosis and multi-stage flash desalination facilities, respectively. The Al-Ezzel IPP has a power generation capacity of 940MW.

    The transaction also includes the acquisition of Bahrain's Al-Ezzel O&M Company, giving Acwa Power full ownership of the plant’s operations and maintenance platform.

    The sale forms part of a wider transaction covering assets in Bahrain and Kuwait. In the stock exchange filing, Acwa Power said the Kuwait portion will be finalised once "customary technical conditions" are met. 

    This comprises an 18% stake in the Al-Zour North IWPP. The facility includes a 1,520MW combined-cycle gas-fired power plant and a 486,000-cubic-metre-a-day desalination plant.

    Acwa Power is also acquiring a 50% stake in Kuwait's Al-Zour North O&M Company.

    Across Bahrain and Kuwait, the assets being acquired have a combined gas-fired power generation capacity of about 4.6GW and total desalination capacity of around 1.1 million cubic metres a day, according to the company.

    Engie recently told MEED that the sale is part of plans to phase out conventional assets and shift towards renewables projects.

    The transaction was signed in February under a share purchase agreement with Kahrabel, a subsidiary of Engie, and is valued at SR2.6bn ($693m). It is being financed through a mix of Acwa Power’s own funds and external financing.


    READ THE DECEMBER 2025 MEED BUSINESS REVIEW – click here to view PDF

    Prospects widen as Middle East rail projects are delivered; India’s L&T storms up MEED’s EPC contractor ranking; Manama balances growth with fiscal challenges

    Distributed to senior decision-makers in the region and around the world, the December 2025 edition of MEED Business Review includes:

    > BAHRAIN MARKET FOCUS: Manama pursues reform amid strain
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/15242361/main.jpg
    Mark Dowdall
  • Kuwait appoints consultant for major wastewater project

    15 December 2025

    Kuwait’s Ministry of Public Works has commissioned Lebanese consultancy Dar Al-Handasah to provide design review and construction supervision services for the South Al-Mutlaa wastewater treatment plant (WWTP).

    Located on a 1.1 million square metre site in Kuwait's South Al-Mutlaa City, the WWTP will have a treatment capacity of 400,000 cubic metres a day (cm/d), with peak capacity of up to 600,000 cm/d.

    In October, the ministry awarded the $489m main contract to Turkiye's Kuzu Group to build, operate and maintain the plant. 

    The plant will serve residents of the Al-Mutlaa City development, which includes more than 28,000 housing units located about 40 kilometres (km) north of Kuwait City. The Al-Mutlaa project is one of the largest residential schemes under development in the country. 

    According to the ministry, the project will produce tertiary treated water for agricultural and other non-potable uses, combining conventional and renewable energy sources.

    Kuzu Group was previously confirmed as the lowest bidder for the scheme in July 2024.

    MEED previously reported that the project scope includes underground buffering tanks with a capacity of 50,000 cubic metres, a tanker discharge station of the same capacity and a treated sewage effluent network to Al-Mutlaa’s irrigation systems.

    It also includes a 40km waterline linking the plant to a bird sanctuary in Al-Jahra Governorate.

    The tender was first issued in 2020 but was cancelled during the Covid-19 lockdown period. It was retendered in November 2021 and attracted four commercial offers.

    Construction is scheduled to start in 2026, with the plant due to be completed by the end of 2029.


    READ THE DECEMBER 2025 MEED BUSINESS REVIEW – click here to view PDF

    Prospects widen as Middle East rail projects are delivered; India’s L&T storms up MEED’s EPC contractor ranking; Manama balances growth with fiscal challenges

    Distributed to senior decision-makers in the region and around the world, the December 2025 edition of MEED Business Review includes:

    > BAHRAIN MARKET FOCUS: Manama pursues reform amid strain
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/15241920/main3420.jpg
    Mark Dowdall
  • Abu Dhabi capitalises on global attention

    12 December 2025

    Commentary
    Colin Foreman
    Editor

    Abu Dhabi’s Yas Marina Circuit took centre stage on 7 December as the 2025 Formula 1 championship came down to the wire as a three-way contest between defending champion Max Verstappen, Lando Norris and Oscar Piastri. Verstappen won the race, while Norris, finishing third, secured enough points to win the overall championship for the season.  

    Abu Dhabi capitalised on the global attention the following day, when local real estate developer Aldar Properties and sovereign wealth fund Mubadala Investment Company launched a joint venture to expand Al-Maryah Island.

    The project, which will underpin the next phase of growth for the international financial district and the Abu Dhabi Global Market, also coincided with Abu Dhabi Finance Week, which began on 8 December and reaffirmed Abu Dhabi’s positioning as 'the Capital of Capital'.

    The project is a significant one for Abu Dhabi’s construction sector. A joint statement by Aldar and Mubadala says it will have a gross development value exceeding AED60bn ($16bn) and will be built on 500,000 square metres of land. Altogether, it will comprise 1.5 million square metres of new office, residential, retail and hospitality space.

    The work will support a construction market in Abu Dhabi that has shown signs of levelling off over the past two years. The annual total of contract awards for real estate construction increased from $1.5bn in 2020 to $7.4bn in 2023. Then, in 2024, the total fell to $5.9bn, and the total by mid-December for 2025 is $2.4bn.

    By harnessing global interest in Abu Dhabi, the Maryah Island expansion project should ensure that the annual total of construction contract awards for the coming years remains at an elevated level.

     

    https://image.digitalinsightresearch.in/uploads/NewsArticle/15236861/main.jpg
    Colin Foreman