MUSCAT – The agreements form part of OQ’s manufacturing localisation drive and are a direct extension of the Ladayn Polymer Programme.

The agreements underscore OQ Group’s role in developing Oman’s advanced manufacturing sector through the integration of upstream resources, industrial production, and enabling infrastructure under the Ladayn programme. They also reflect OQ’s commitment to attracting global investment, strengthening public–private partnerships, and supporting Oman’s economic diversification objectives in line with Vision 2040.

The first agreement was signed between OQ Refineries and Petroleum Industries (OQ RPI) and M.A.K. of Germany to establish a plant for the production of Purified Terephthalic Acid (PTA) and Polyethylene Terephthalate (PET) in the Sohar Free Zone. The project represents an investment of more than RO 192 million and will have a production capacity of 700 kilotonnes per year. The facility will utilise approximately 425 kilotonnes of paraxylene annually as feedstock and is expected to create around 700 direct jobs.

The second agreement was concluded between OQ Base Industries (OQBi) and India’s Deepak Fertilisers and Petrochemicals Corporation Limited to support the development of a sodium nitrite and sodium nitrate production plant in the Salalah Free Zone. The project, valued at over RO 38 million, will operate under a renewable ten-year ammonia supply agreement, with ammonia supplied by OQBi. The plant will have a production capacity of 70 kilotonnes per year and is expected to generate approximately 150 direct jobs.