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 ICV Achievements

Content
Supervision

38 Al-Ghalbi International
Press Preparation & Editing
Nasir Salim Al Shuili 8 PDO

@Nassersaalim
12 Occidental of Oman
40 Hamdan Transport
Sales & Marketing
Majan Al- Harrasiya 14 bp 42 TOCO
Translation 16 OQ 44 Al Baraka Oilfield Services
Mahmoud Al- Harrasi
Israa Elhag 18 CC Energy Development 46 Sheida International
Art Director
20 Daleel Petroleum 48 Anwar Fahud Projects
Younes Al Salman
@younesalman
22 Schlumberger
50 Ryboa Haima Company
Photography
Frame Production 24 Petrofac
52 SGS
@frame_pro_oman
26 STS Group
54 OMIFCO
Social Media Management
Kingdom for Advertising & Publishing
www.omankap.com
28 Gulf Energy 58 Petrogas
Printing
Mazoon Printing Press
30 Al Sawari International 60 TRUCKOMAN
32 Alshawamikh Oil Services
62 Abraj Energy Services
34 Seeh Al Sarya Engineering (SAS) 64 Worley
Publisher
4D Advertising & Publicity 36 RAY International Group 66 SOSCO

Marketing & Design

First Media & Marketing

4
 ICV Achievements

Government procurement and tenders:

wealth that can be maintained and rotated?

In all countries of the world, a large portion of govern- With these two initiatives, we will make the country’s
ment spending is dedicated to the tenders offered by money circulate in its economy and remain in its home-
the government in the implementation of its develop- land, through this, trade will flourish and the efficiency
mental programs and projects incorporated in its an- of its national products will be boosted, this, in turn,
nual plans. The other portion constitutes government will create job opportunities for cadres and will achieve
Nasir Salim Al Shuili procurement of a number of services and goods that the principle of rationalization and efficiency of gov-
government institutions need on an annual and regular ernment spending, raising the index of SMEs.
Editor basis, and usually hundreds of millions are allocated for
these two spending items and are assigned as a single These are some of the ideas that surfaced during the
package or as multiple packages to the companies that period of work on this book, and there are some ques-
implement the project or provide the service. These tions that I discussed with the HODs of the ICV depart-
companies may be local or foreign, and in either case, ments of companies participating in the book, most
governments disburse these financial allocations on an notably:
annual basis. • Many products are still imported! (That means,
The question that comes to my mind: “Is it possible to there are opportunities to localize a number of
maintain and rotate these funds to bring a great eco- industries)
nomic power to the country?” • The local product is more expensive! (Yes, but it
The answer will be mainly based on my own diligence remains a national product, uses local resources,
and I will give examples from the local reality, so that and the funds remain within the country.
I can explain my answer. In the past decade, the gov- • Local companies import products and do not
ernment of the Sultanate of Oman has implemented a manufacture them! (Well then! Let us support the
number of strategic projects, such as Muscat Interna- local suppliers and give them priority).
tional Airport project, at a cost of (US$ 4.7 billion), Mus-
cat Expressway, at a cost of 800 million Omani Riyals, • Some SMEs are not eligible! (With support and
and other developmental projects such as constructing follow-up they will be eligible).
electricity and water stations, providing medicines and • We request for some services and products that
medical supplies, purchasing military equipment, build- we can›t find locally! (We coordinate with the
ing dams and communication towers, and other similar concerned authorities to offer investment opportu-
works. nities, or we address the SMEs Authority to do so)
If we conduct a feasibility study for the industries tar- Questions that I did not find answers to in the book:
geted for domestication or the technology targeted to
be transferred, which is sustainable for the benefit of Who is responsible for the ICV file in the Sultanate?
the country and has a continuous demand in the local
Why not establish (an authority/a center) that is con-
market and if it is linked as a binding condition in award-
cerned with supervising ICV through a strategy with
ing the tender to the executing company, we will find
standard laws, rules and regulations?
that after a period of time, we have established a num-
ber of factories and attracted modern technology. Why not apply the ICV on the other sectors (health,
military, industry, tourism...etc.), and submit its
On the other hand, regarding government procurement,
reports to the authorized body?
why shouldn›t we have a digital platform that classifies
government procurement and inventory to be devel- Where is the ICV Index in the Government Tenders and
oped and reviewed annually, and only national institu- Procurement Council and Governmental Companies?
tions, that have a license from the Small and Medium
Enterprises (SMEs) Authority are permitted to register
on that platform; through this step, we will encourage
entrepreneurs to establish projects, and rationalize gov-
ernment spending by providing sustainable and highly
efficient national products.

5 Achievements ICV
 ICV Achievements

ICV Achievements in the oil & gas sector

The oil and gas sector has always played a dominant and fundamental role in the economic and
social development of the Sultanate of Oman, given the fact that oil & gas resources represents a
central and major portion of the country’s revenue. Accordingly, in recognition of this important
and privileged position, the Ministry of Energy and Minerals through its In Country Value (ICV)
initiatives have further accelerated and intensified the enhancement of local businesses and human
capital development of Omani nationals. In fact, the successful inception of ICV programme by the
Ministry of Energy and Minerals has strategically positioned itself as a role model that inspired and
led to the implementation of ICV policy on other sectors of the economy, thus impacting positively
and effectively on the overall development of the country.
As a reflection of the close collaboration and concerted efforts between the Ministry of Energy
and Minerals and it’s various stakeholders, especially oil & gas operating companies as well as
business and contracting communities, significant strides and achievements have been realised in
a span of over seven years since the launch of the ICV Blueprint Strategy in December 2013. The
most prominent of these achievements are summarised below:
• Identification of more than 50 Supply Chain Development Opportunities as investment
projects in the oil & gas sector covering various specialised services and manufacturing
facilities. So far, almost 30 Supply Chain Development Opportunities have been awarded,
while some of the rest are currently in the process of development.
• Implementation of common standard ICV requirements in the oil & gas tenders for the benefit
of encouraging investments in the country and maximising the utilisation and employment of
national workforce, as well as enhancing the expenditure on local contractors and made-in-
Oman goods throughout the execution of the contracts.
• Establish a Vendor Development Programme (VDP) aimed at providing support, mentoring
and supervision with an objective of developing the capabilities and competencies of local
vendors and manufacturers. As a result, achieving a competitive and sustainable base of local
vendors capable of delivering professional services and supplying quality products.
• Set up a Sector Skills Unit (SSU) for the oil and gas sector in collaboration with Ministry
of Labour and Oman Society for Petroleum Services (OPAL). The SSU is aimed to ensure
alignment between requirements of employment market and outputs of the education and
training institutions, thus contributing effectively to the enhancement of Omanisation in the
oil & gas sector.

Department of localization of energy industry and mineral

General Directorate of Planning

Ministry of Energy & Minerals

6
 ICV Achievements

Abdulrahman Al Yahyaei
OPAL CEO

Many countries have successfully proven institutions wishing to work with government
their achievements, in terms of the ICV , by agencies in the Sultanate must undergo an
enhancing the local content and keeping annual evaluation by one of the accredited
high percentage of the funds spent on certification bodies, in order to determine
developmental projects within its economical their compliance in the field of In-Country
domain, by following the of policy of imposing Value during the past fiscal year. Accordingly,
high ratios in ICV. the In-Country Value evaluation model is an
essential part of the process of evaluating
In the Sultanate of Oman, we have entered offers and awarding contracts, which is
maturity stage in the oil and gas sector. In implemented by government agencies when
2013, the Ministry of Energy and Minerals offering their tenders, as these participating
announced the launch of the ICV strategy, agencies require suppliers submitting their
to be implemented in the largest revenue offers to attach an ICV certificate attested
generating sector in the country, which has by one of the approved certification bodies
high developmental expenses. The strategy in order to annually verify the accuracy of the
completed its seventh year. However, we numbers contained therein. The In-Country
still face some questions like “Do we have Value (ICV) mark obtained by the supplier after
a satisfactory output?”, “Has a sustainable applying evaluation criteria to it, including the
environment been created for business and type of manufactured goods, the supplier’s
industry in particular, and is it sustainable in expenditure within the Sultanate, the amount
creating job opportunities for citizens in the of investment, and the localization percentage.
sector? This question and others constantly
come to my mind. In order to take a step in this direction, an
independent working group must be formed
Today we are on the threshold of a new stage and have all powers to study the funds that
in the process of a renewed renaissance. remain inside the country and that go out
Hence, the decision makers have to give due through projects and contracts entrusted to
importance to the application of the ICV in companies or through government purchases.
various sectors, without exception. There This committee should take the oil and gas
should be a center or authority to govern sector as a model to study and benefit from
the application of ICV standards, and to have its mature experience. This committee should
coordination with the concerned authorities also reviews international experiences that
for tenders. It could either be the Tender have made progress in this field, so that it can
board or the departments concerned with present a comprehensive integrated study
projects and procurement in the government for the decision maker. Hence, there is an
establishments and companies. This authority urgent need of establishing an independent
would have the absolute validity to audit the body for the purpose of following up on ICV
systems of the companies, which implement implementation and ensuring enforcement of
ICV and to enact a law that punishes violating the concerned laws and regulations and follow
institutions that do not achieve the agreed up on its implementation.
ratios of compliance, honors institutions
that adhere to ICV standards, and publishes
best practices. Private companies and

7 Achievements ICV
 ICV Achievements

Zahran Al Abri
PDO’s ICV Development Manager
As we continue our journey towards ICV, PDO has worked to support Petroleum Development Oman (PDO) is the leading exploration and production company in
the government’s vision to boost manufacturing industries as a part the Sultanate of Oman. We deliver the majority of the country’s crude oil production and
of Oman’s economic diversification programme, and in line with PDO’s
natural gas supply, but above all, we focus on delivering excellence, growth and sustainable
vision of creating value “for Oman and all our stakeholders.”
value creation within and well beyond our industry.
The ICV Blueprint Strategy unveiled in 2013, included 53-investment
opportunities pan Oman, of which, PDO led on 43. To date, we have The Company is owned by the Government of Oman (which has a 60% shareholdings), the
realised 33 opportunities, which are predominantly the establishment Shell Group (34% ), Total (4% ) and PTTEP (2% ). Gas fields and processing plants are operated
of local manufacturing facilities. These provide oil and gas products by PDO exclusively on behalf of the Government.
and services to support businesses in Oman, in the region and
internationally. PDO operates in a concession area of about 90 thousand km2 (one third of Oman’s
In addition, PDO operationalised 48 internal opportunities in different
geographical area), It has around 192 producing oil fields, 52 natural gas fields, 29 production
categories with SMEs and national registered suppliers through stations, around 9,000 active wells, It has got a diverse workforce of more than 8,900
the ring-fencing of scope for local companies, development of local employees, and over 70 thousand contracting employees, a combined workforce made up of
suppliers, qualifying local suppliers by providing technical support, over 60 nationalities.
unbundling services and goods, providing training to SMEs through
the Tazeez programme, and exercising preferences for local goods
and services. The success story of manufacturing has led to a mindset
change and renewed confidence among local and foreign investors to
set up manufacturing plants in Oman.
PDO managed to establish 5 SLCCs: Al Baraka, Al Haditha, Al Shawamikh,
Al Sahari and Sakan with a direct spend reaching US$819 million in
2020.
Recently PDO extended the SLCC contracts for the duration of another
10 years across different categories, such as flowline construction and
well services.
Through its National Objectives programme, the Company was able to
support the Sultanate by securing tens of thousand of jobs for Omanis,
with many more in the pipeline.
This unique initiative is different from other local content development
programmes worldwide, as it is a structured approach that consists
of analysing the forecasted demand (goods, services and associated
workforce) of all spend categories and assessing the local market
capability and capacity to identify the main constraints and
opportunities for ICV development.
1. Collaborating and co-ordinating with strategy, contacts and
spend value.
2. Generating cross-industry and country-wide opportunities
across the value chain.
3. Identifying opportunities to be operationalised with contract or
ring-fenced to local companies.
4. Developing vendors and awarding long-term contracts to local
manufacturers or suppliers through local vendor development
programme. Scan the QR Code
To watch the video

8
 ICV Achievements

Project
In line with the ICV Blueprint Strategy that was developed to boost
Oman’s economy, PDO managed to establish 67 manufacturing
facilities through a direct investment of more than US$ 340 million.

The total business awarded to such investors/contractors exceeded

US$1 billion. As a result, this created more than 2,800 new jobs in
the manufacturing sector, directly contributing to Oman’s GDP, and
helped in building local capabilities, whereby 42 Omanis have been
sent abroad for upskilling.

In addition, PDO’s efforts created opportunities to work closely with

local academic institutions, provided opportunities to SMEs, reduced
delivery lead times, lowered inventory costs and proved that it’s
cheaper to manufacture locally. They have also supported Omanis in
building their operational know-how in the industrial sector.

In 2020 alone, PDO helped oprationalise 9 new facilities in operation,

that created around 60 jobs for locals with a capital investment of
more than US$24 million in the Sultanate. The establishment of
these facilities does not only support the Omani economy, but also
ensures the security of supply to safeguard our operations and
sustain the production of oil and gas, which is the major source of
income for Oman’s economy.

Furthermore, as part of our National Manpower Supply (Emdad)

program 2021 strategy and by focusing on creating jobs and
employment opportunities for jobseekers, several skilled
programmes were identified with an objective of boosting and
maximising job opportunities.

Opportunities
• PDO has identified 55 goods and 20 service opportunities in 2020,
where the estimated retained value is US$500 million in different
areas such as project blend, 3D printing and the manufacture of
electrical and telecom towers.

• Most of the opportunities will be operationalised within the next

5 years through direct investment or a bidding process. Some of
them will be ring-fenced for SMEs and LCCs. There are many pos-
sible service opportunities such as logistics, digitalisation, mainte-
nance and repair services.

9 Achievements ICV
 ICV Achievements

Fixed Asset Investments

2.4 US$ Billion

PDO has realised 81 opportunities during the last 10 years with a more than
70 contractors and awarded contracts with a value of US$2.4 billion. These
Local Goods and Services Procurement
opportunities created a total of 2,844 jobs for Omanis in more than 67
facilities operationalised in different parts of the Sultanate, with more than
US$360 million value invested in fixed assets across the Sultanate. 1.75 US$ Billion
Increase the utilisation of local manufactured goods through the
award of direct contract or utilisation through main contractors.
Human Resources Recruitment PDO mandated the 10% preference for goods made in Oman as per
the Royal Decree 1/79.

50 Thousand opportunity for direct employment Direct contracts from PDO towards local manufacturers approx.
US$1.75 billion for the last 4 years.
PDO continues to support the job creation drive for Omani jobseekers and
Through main contractors:
beyond to boost Omani employment and economic diversification. We
secured more than 50 thousand job including direct hires.
In other areas, such as re-deployment, transferability and on-job training, 2018 2019 2020
a total of 14 thousand opportunities were realised with our contracting
community, in addition to other schemes of training without employment 130 174 237
like local community scholarships and the Eidaad training programme. US$ million US$ million US$ million

As part of maximising ICV through supporting Local Community

Training and Qualification Contractors (LCCs), a total of more than 570 LCCs have been
registered in the Joint Supplier Registration System (JSRS) up to

18.000
Train Omanis in several courses and training December 2020. All LCC companies originate from the concession
approximately disciplines via PDO’s main contractors
area.
PDO managed to secure several training programmes from international These LCCs are allocated a minimum of 10% range of contracts
accredited bodies, to be qualified and delivered through local institutes such through the Inter-competition as subcontractors, with PDO main
as engineering operations. The second level is in the drilling rigs, mechanical contractors, providing various services in oil and gas operations.
maintenance and lifting operations. rigging, mechanical maintenance and Despite the challenges faced in 2020, the LCCs total value spend
lifting. reached a new record of US$183 million, while the matured LCCs
The training programmes were certified by the Ministry of Labour, which spend was US$284 million.
assisted in creating new job opportunities and helped in fill the gaps within The third element of PDO’s local vendor development programme is
the market. known as Super Local Community Contractors (SLCCs). These were
In addition to the above, a total of US$51million was spent during the last three established as closed shareholding community-based contracting
years via main contractors to train approximately 18,000 Omanis in several companies, owned by individuals from the concession areas with a
courses and training disciplines, such as HSE, human resources, finance, total shareholder base of around 10,000 citizens from the concession
and in Technical and Development programmes, including scholarships and area. The SLCCs received direct business from PDO worth US$ 157
internships. million in 2020.

10
 ICV Achievements

Support and Development of SMEs Technology Localisation

more
than 500 (SMEs) benefitted from
training programmes
Establishment of Ejaad, a virtual collaborative platform, to
encourage industry-academia dialogue and strengthen the
scientific research and development system.
Local business development has always been an important pillar in
our ICV journey. Since 2015, more than 500 (SMEs) benefitted from Ejaad has also carried out detailed work packages for the
training programmes covering areas such as legal, finance and potential first technological spin-off in Oman - the Wave Glider
tendering delivered in conjunction with Riyada, the Public Authority (WG). This is an autonomous smart and equipped vehicle
for the development of SMEs. that glides on the sea’s surface and performs a suite of real-
time measurements and services. Technology piloting was
In addition, PDO established an in-house programme called Tazeez successfully carried out in Qurayat and Salalah and the first
(Enhance), a tailor-made development scheme aimed at helping commercial contract was successfully completed with PDO.
SME’s compete more effectively for PDO contracts. In addition, PDO, along with Ejaad, delivered a study on the
This programme, which is conducted yearly, covers a wide range of impact of the Fourth Industrial Revolution on PDO Jobs.
topics with specific programmes developed for SMEs specialising in
renewable energy, maintenance, the Fourth Industrial Revolution and
construction. Local Supply of Sub-contracted Services
As a part of PDO’s continuous support to local vendor development,
the Company managed to ring- fence more than 12 scopes for local
companies with an awarded value of more than US$400 million.
Here, 9 local companies were developed by PDO and 4 companies 2.8 US$ Billion
were awarded direct contracts after the completion of the vendor
Total spend for the last 3 years is approximately US$ 2,8 billion.
development process. These contracts covered areas such as jet
with an annual spent average of US$ 950 million. The above
sweeps, the manufacture of flanges and the provision of geological
spend was sub-contracted to over 75 companies, of which, local
survey services.
companies contribute to 97% share of total spend.
.
PDO’s direct spend towards SMEs has been growing rapidly. In 2016, it
was US$60 million, but this had grown to US$305 million at the end of
2020. This does not include indirect expenditure (through our main
contractors), which is more than the direct spend itself.

11 Achievements ICV
 ICV Achievements

Occidental of Oman, Inc. is a wholly owned subsidiary of Occidental, an international

energy company with assets in the United States, Middle East, Africa and Latin Amer-
ica. Occidental has been producing in Oman for over 35 years, where it has steadily
increased production and reserves and is honored to partner with the Government
Budoor Younes Al Zadjali of Oman. Today, Occidental is the largest independent oil producer operating in the
country, with more than 6 million gross acres. Our major operations are in the north,
ICV Head at Occidental Oman primarily at Safah Field, and in central Oman at Mukhaizna Field, as well as a gas plant
in the Maradi Huraymah Field. We also have exploration contracts in three blocks in
Occidental Oman has been in the Sultanate of Oman for northern and one in central Oman. Occidental is committed to respecting the environ-
over 35 years and is honored to partner with the Omani ment, operating safely and upholding high standards of social responsibility through-
Government and local communities. out the company’s worldwide operations.
Driven by our In-Country Value strategy, we are committed
to support the local production of Omani goods and
services, increase the rate of Omanization and support local Highlights of ICV Projects
companies.
Over the last 5 years, we advanced our ICV contribution from
35% to 50%, making us one of the leaders in ICV contribution 1. Developing the Super LOCAL Community Contractor “Al Khazain”
in Oman. Occidental Oman developed the Fifth Super Local Community Contractor “Al Khazain,” with a total
Since 2005, more than 2,750 opportunities have been created of 1200 shareholders from the concession area. Occidental Oman also supported Al Khazain in
Developing their business plans, management policies, procedures, systems and establishing a fully
and filled by Omanis within Occidental, and a majority of functional company.
them were recent graduates. Over the past 5 years, and as of 2020, Al Khazain has successfully built an ideal reputation in the
Through our well-defined and structured Talent Management market with many after achievements
Strategy, Occidental increased its Omanization in all talent • Three (3) of Occidental Oman-owned Hoists were awarded to Al Khazain Oilfield Services, in
pools. order to develop Khazain in workover rigs services.
This strategy mainly focuses on the hiring of recent • Al Khazain is operating 100 trucks (14 trucks owned by Al Khazain and the rest owned by third
graduates, and is associated with structured development parties).
programs, and solid assessment and monitoring processes. • Al Khazain has active contracts with over 90 SMEs.
As of today, Occidental is at 94% overall Omanization; 90% at • The Al Khazain Omanization percentage as of today is 92%.
the Leadership level; 95% with Engineers & Geoscientist; and • The Al Khazain logistics department is managed and run by 100% qualified Omanis.
98% Omanization with Operators & Technicians. • Al Khazain has completed 4 years LTI free, driven more than 13 MM KM and delivered in excess
We have contributed to the creation of around 17,000 jobs in of 34,000 loads.
the market between Occidental and our contractors. • Al Khazain has successfully delivered a BESPOKE LMS system that was specifically tailored to
We have also launched the Oxy Program for Entrepreneurial Occidental Oman needs, to ensure complete monitoring of all goods.
Development in Frontier Technology, also known as “Dot
Next”, which accepted 1,200 Omani students and job seekers 2. Supporting the Local Manufacturing Opportunities:
in its entrepreneurial and technical skills program in frontier
• Supplying Casing Accessories.
technology.
• Supplying Sodium Chloride Salt For Water Treatment Plant.
Our ICV programs reaffirm our wide-ranging commitment in
developing a competitive Omani Supply Chain. • Supplying Caustic Soda.
By the end of 2020, we achieved more than 3,530 active • Supplying Dolomite Lime.
contractual agreements with SMEs representing 19% of our • Supplying Fasteners Studs & bolts.
annual spend that year.
We have successfully extended our support to 12 contractual
ICV related awards, 8 Vendor Development initiatives and 5
manufacturing opportunities.
We look forward to maximizing our ICV and ongoing efforts
to develop and give back to the Sultanate.
Scan the QR Code
To watch the video

12
 ICV Achievements

In Country Value
Achievements

Purchase of Local Goods and Services

Human Resources Recruitment • Delivered 50%
ICV contribution from its total third-party spend.
• Around 3,400 • Increased ICV percentage 12% between 2017 and 2020.
are Occidental Oman employees, with
Omanization percentage 94% • Allocated 19% total spend on SMEs and 9% on LCCs & SLCCs.
• Successfully supported and awards, 8 vendor development
• Around
13,800 initiatives and 5 manufacturing opportunities between 2017
and 2020.
are Occidental Oman Contractors & Sub-contracted
employees with Omanization percentage of 51%.

Training and Qualification Local Supply of Subcontracted Services

• Offered 160 Occidental Oman
has approximately 600
training opportunities
• 80 Welding subcontractors in the company’s operations and blocks,
• 80 Electrical and under these subcontractors, the company has
in Vocational Training Program helped provide around 900 job opportunities .

1,200
Participants from Higher Education Students, Recent Graduates
and Job Seekers in Oxy Program for Entrepreneurial Develop-
Technology Localization
ment in Frontier Technology (.NXT).
Occidental Oman has supported a number of new localized
technologies to improve the capacity and capability of Omani
Develop and Support SMEs contractors by providing them the opportunity to participate
in a variety of ICV programs, including the Vendor Develop-
Occidental Oman is also supporting and promoting SMEs ment Program.
through our SMEs Development Program “Tasharuk”.
The Tasharuk Program has: 1. LAMFLOW Technology.
2. High Temperature Injection Profile Logging
1. Created more than 300 jobs, with 69% Omanization. 3. LAMIS: Metering uncertainty calculation software
2. Trained 112 personnel.
3. Grew the value of contracts for participating SMEs by 215%.
4. Participating SMEs acquired 10 Accreditations: 9 ISO and 1
API Certification.

13 Achievements ICV
 ICV Achievements

bp has had an upstream presence in Oman since 2007 and is a major investor
in the country.
Yousuf Al Ojaili bp has a long history of oil and gas exploration and production in the Middle
East. It is a major i‎nvestor in Oman and one of the world’s pioneers in tight gas
bp Oman president production, bringing technology and ‎experience to develop one of the Middle
East’s largest unconventional gas resources in the S ‎ ultanate’s Block 61.‎

We are proud to be part of this important review of bp started production from Phase One of Block 61 – the ‘Khazzan’ gas field – in
in-country value generated in Oman. 2017. In October ‎‎2020, bp announced the start of production from Phase Two
– the ‘Ghazeer’ gas field – safely, with ‎capital discipline and significantly ahead
Since we first started to develop Block 61, we have of schedule.
remained committed to increasing the total spend
retained in-country, maximising the procurement of
local goods and services, and developing local talent.
Opportunities:
We have looked at some of these examples here - such
bp is currently looking into the potential of developing local vendors to sup-
as the excellent ICV spend on Ghazeer and how we’ve ply spare parts. There is currently limited capability in this area and bp feels
worked with companies such as Abraj and MODUS it is an opportunity both for the local economy and the oil and gas sector.
to help them become internationally competitive.
Indeed, we have recently awarded a contract to Abraj This project aims to support ‘made in Oman’ projects as well as reduce op-
which was previously held by a large international erational disruption during any future lockdown or pandemic.
contractor. bp is also supporting local vendors to develop specialized technical expe-
rience such as deep gas well stimulation, fracking and well testing using
As we pivot from an International Energy Company green completion concepts.
to an Integrated Energy Company, we will continue
to seek opportunities to support Oman’s future as
well as partner on important initiatives to support Project:
the energy transition. As part of its vendor development initiative, bp supported Abraj Energy
Oman is a strategically important country for bp and Services to become a global market leader in providing well stimulation
we look forward to continuing our relationship and services and compete with multinational companies in the Middle East and
beyond. In 2020, Abraj successfully completed its first well stimulation on
seeing this partnership develop. Block 61, marking a significant milestone in our relationship with the Omani
well services contractor.
Building this capability in the local market will unlock global opportunities
and generate more employment within this sector.

Scan the QR Code

To watch the video

14
 ICV Achievements

In Country Value
Achievements

Purchasing Local Goods and Services

Human Resources Recruitment Total amount spent on goods and services:

Omanization in bp Oman is 548.79 US$ Million

89%
Total amount spent on local goods and services: 79.37 US$ Million.
When Petrofac started work on the Ghazeer project, bp set a demanding ICV
target of $275m, equating to around a third of the total project value.
Omanis occupy many leadership positions in the company. This was made from elements such as the procurement of ‘Made in Oman’
The average Omanisation for contracts was 63%, with a total goods and services, the use of local vendors, and the employment and training
value of 196.66 US$ Million. of Omani nationals.
By the time Petrofac handed back the new facility, the true ICV exceeded
$311m – around 13% more than originally targeted.
Fixed Assets Investments Examples include: STS Group fabricated, tested and transported the Ghazeer
glycol package module; Oman Cables produced circa 500 kilometres of cable

160 Thousand USD

in just four months; Bahwan Logistics handled almost all of the in-country
freight including 1,000 containers, 2,000 trailer trips, and 200 trips of outsized
equipment on axles.
The Fabtech bus is Oman’s first mobile lab. To date, over 2,600 students in 26
schools around the Sultanate have used the bus to learn about technologies Petrofac also hired 22 graduates specifically to work on the facility.
such as 3D printing and virtual reality.
bp has invested $ 160,000 to set up this mobile lab and in 2020, workshops Develop and Support SMEs
were delivered to students via virtual platforms.
bp also supported InnoTech to manufacture 4,000 mask shields using
3D printing technologies. These mask shields were donated to health 85.4 US$ Million
institutions to protect medical staff against Covid-19. E- Mushrif has installed safety systems on 650 of Oman’s school buses within
the Al Dhahira region. This technology ensures no child is ever left on the bus
and also provides a tracking app for parental usage.
Training and Qualification E-Mushrif graduated from the bp social investment programme ‘Khazzan for

2.3
SMEs’ in 2017. It went on to rank second in the ‘Best Small Business’ category
for the Riyada awards.
US$ Million
bp’s technician development programme has welcomed candidates from Technology Localization
technical colleges and universities across the Sultanate, to complete a

50
four-year programme, including 18 months working towards a National
Vocational Qualification. More than 100 technicians have been trained to US$ Million
date, many of whom, now work at Block 61 as mechanical, instrumental,
electrical and production engineers. Some of these technicians and bp awarded a well testing and cleanout contract, including implementation of
graduates have also had the opportunity to work with bp’s partner OQ and the innovative ‘green completions’ concept, to FOS Energy Services LLC. The
Oman LNG, thanks to an agreement between the three companies. contract was previously held by a large international service provider.
The costs for the scope have been funded by bp and subject to cost recovery Green completions is a process whereby hydrocarbons produced during well
under the terms of the EPSA. testing for new completions are routed to the production facility instead of
the flare, reducing greenhouse gas emissions.

US$ Million
15 Achievements ICV
 ICV Achievements

Mabrook Hamad Hashil Al Syabi

ICV Manager OQ is a global integrated energy company, strongly rooted in the Sultanate of
Oman and enjoying a powerful presence in 17 countries worldwide. Its operations
Our goal is to build and maintain a highly efficient and and activities cover the entire value chain, starting from exploration, production
competitive supply chain that ensures the continuity and reaching to marketing and distribution of final products of fuels and petrochemicals
sustainability of all OQ operations. Given the size and scope in over 60 countries around the world. This places us as one of the world’s leading
of our operations, we have the ability to help local businesses companies in the energy sector.
in the Sultanate of Oman grow and develop. In addition, OQ’s
procurement procedures and practices enhance opportunities
for local SMEs to contribute to the local economy growth. This
includes all of our procurement processes as we work alongside
with SMEs to bridge the gap between their ability to implement
the business and our supply requirements. Major Activities and Services
We, at OQ are proud to support local suppliers, contractors
and manufacturers, including SMEs, long before the journey of • Oil exploration and production operations.
integration, all of OQ’s core assets contributed significantly to
the Omani economy and society, enabling local industries and • Refineries and petrochemical industries.
ensuring that a large proportion of the goods and services • Marketing of petroleum products in the local,
purchased would bring the desired benefits to the Omani society regional and international markets.
and economy.
OQ has committed to maximize ICV by increasing total domestic • Sustainable energy.
spending through its commitment to the ICV standards and
following up with all contractors who have ICV contractual
commitments, which must be met by the end of the projects. Achievements
Contractors submit quarterly ICV performance reports, in order
to be monitored and verified by the Group. • OQ is among the top 3 major companies supporting SMEs in
With the purpose of maximizing the ICV opportunities, the the Sultanate. This is through SMEs Support Authority (Riyada)
company has developed an electronic system for contractors to competition for the year 2020.
monitor the contractor’s implementation of ICV commitments
and standardize the related reports. • In 2020, the value of domestic spending on goods, services and
The contracts in OQ provide for the achievement of minimum SMEs amounted to (713.8 US$ Million) .Out of the total pro-
requirements represented in recruitment and training of new curement spending of (1.001 US$ billion), as OQ’s core assets:
Omani graduates, as well as for the support of local SMEs OQ EP, OQ RE, OQ GN, OQ Methanol, OQ 8 (excluding spending
represented by subcontracting for local supply of goods and
services, in addition to financing research and development on major development projects).
programs.
In 2020, the value of domestic spending on goods, services and
SMEs amounted (713.8) US$ Million), out of total procurement
spending of (1.001 US$ billion), as OQ’s core assets: OQ EP and
OQ RE, OQ GN, OQ Methanol and OQ 8 (excluding spending on
major growth projects).
The value of the ICV (ICV index) amounted to about 28% (281.8
US$ Million) - as a contribution to the ICV of local goods and
services, in addition to spending on SMEs, which amounted (89.6 Scan the QR Code
US$ Million) to obtain different types of goods and services. To watch the video

16
 ICV Achievements

In Country Value
Achievements

Purchase of Local Goods and Services:

In 2020, the volume of purchases of local
Recruitment of human resources goods and services amounted about

The number of employees working

in the company has reached about
Omanisation
281.8 US$ Million

6155 employees 87% and within the year 2020 the following main areas
were reserved exclusively for local suppliers:

• Manufacture of wooden loading bases.

• Manufacture of high density polyethylene pipes.
Develop and Support SMEs • Manufacture of electrical cables.
• Manufacture of pipes for export pipelines.
• Third party inspection and quality support services.
The volume of spending on SMEs
in 2020 was about

89.6 US$ Million

Training and Qualification

242
OQ ensures that the EPC contractors also provide
their maximum support to SMEs through several re-
lated industries, including:
Fresh Omani graduates were trained in OQ’s developmental
• Manufacturing of Packaging Bags (FFS).
projects within the Training and Development Programs, and
• Manufacture of rubber materials.
in the Training for Employment Program, 512 Omani fresh
• Manufacture of wooden loading bases.
graduates (certificate and diploma) holders were trained,
• A number of other services and activities for SMEs and they were employed within the Group’s developmental
were also listed, most notably: projects with engineering, procurement and construction
• Waste management services in Block 60. contractors. OQ has also funded 109 scholarship programs
• Mobile water tanks. for Omani students, 99 of whom are in local private colleges
• Laundry service at the main location of (OQ). and 10 in international scientific institutions.
• Translation services.

17 Achievements ICV
 ICV Achievements

CC Energy Development S.A.L, is an independent company, which works in

the field of exploration and production of oil and gas in the upper part and
has started its work in the Sultanate of Oman since 2007, In addition to
the company’s huge production, the company has achieved great success
Bader Al Sariri in exploration operations to ensure a sustainable future for its business
Head of ICV & External Affairs in the long term. The company has extensive experience in the field of
exploration, development and production of oil and gas. It is one of the
main shareholders in the oil and gas sector in the Sultanate. The company
In July 2020, CC Energy Development announced the is committed to the long-term sustainable development of the sector by
production of oil barrel number 100 Million during its building promising Omani capabilities, empowering the national economy
journey. Its role and status as a company, that aims to and supporting the local communities, in which it operates.
create sustainable value, became evident, and it was
confirmed that it is a major player in the growth and
development process of the sector in particular, and
the Sultanate, in general.
The company focuses two-thirds of its social respon-
sibility initiatives on the concession areas in which it
operates in the Wilayat of Mahout and Adam. The ideas • Water re-injection project and a gas use project in which small quan-
and objectives of its social responsibility strategy are tities of gas are used to operate the project and generate electrici-
inspired by members of the local community. ty at its operations headquarters, and to operate electric pumps in
some wells and their facilities.
The most prominent of these initiatives is the develop-
ment of the fish market in Mahout and the vegetable • Using small solar energy systems in a number of sites in order to pro-
and fruit market in Adam, as well there is a plan to de- vide a clean and sustainable energy source in remote sites including
velop the livestock market. The company also support- valve stations, and in the main pipelines, as well as its new wells in the
ed the maintenance of the Falaj systems in Adam to Samha and Alfa fields.
support farmers and their families in the area and op-
erate a research project on places of fresh water that • Supporting the development of large local community companies,
the community can use in their daily lives. and CC Energy Development Company has currently concluded two
contracts with Al-Sawari Company, valued US$ 80 million.
The company has financed 3D printing devices and
medical supplies for the orthopedic department at • Total purchases of services from local suppliers reached 79%.
Khoula Hospital, as well as building a jogging track in
Adam to encourage individuals to take care of their
physical fitness and health.
The company contributed more than US$ 300,000 to
the Job Safety Fund.

Scan the QR Code

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18
 ICV Achievements

In Country Value
Achievements

Purchase of Local Goods and Services

Human Resources Recruitment 64 US$ Million

spent on goods from local suppliers and
Omanization manufacturer through the main contrac-

90%
tors. including the ring-fencing of some.

by end of 2020 with an increase by

around 10% within last two years. Local Supply of Subcontracted Services

21 US$ Million
Fixed Asset Investment spent on services from local suppliers
CC Energy Development spent through the main contractors.
around

283 US$ Million Develop and Support SMEs

in capital investment, this include IT,
facilities, ...etc.
1
Around US$ Million
spent to SMEs.
(2019-2020) in addition, some scopes
Training and Qualification have been ring fenced to SMEs only.
Around one million spent on training
through the main contractors only. Technology Localization
10 domains are assigned to local sup-
pliers (2019-2020)
In addition, 79% of purchases orders
are from local companies.

19 Achievements ICV
 ICV Achievements

Dr. Hilal Hamoud Al-Sawai

ICV Team Leader

Daleel Petroleum is one of the pioneers of the In-County Daleel Petroleum LLC is one of the leading oil producing companies in the
Value (ICV) drive held under the supervision of the Sultanate of Oman. It is a 50/50 joint venture registered in Oman between
Omani government. During 2020, the local companies` Mezoon Petrogas SAOC (Subsidiary of MB holding and Mezoon Petrogas BVI
development roadmap was approved with an objective (Subsidiary of China National Petroleum Corporation). The company was formed
to provide support and develop SMEs, local community during the second half of 2002.
companies & large local community companies. The Daleel Petroleum is engaged in exploration, evaluation and production of
roadmap offers specific programmes for these companies hydrocarbon reserves located in Block 5, onshore Oman approximately 450 km
including; development programmes, special contractual North West of Muscat . The activities in Block 5 are governed by a Petroleum
terms, reduced payment cycles and innovative solutions Agreement with the Government of the Sultanate of Oman.
in collaboration with banks operating in the Sultanate.
Since 2016, the company has directed its talents and
dedicated its efforts towards supporting more than
100 SMEs and entrepreneurs through a diverse set of
programmes that offered guidance, and professional
assistance. The ICV efforts included the Mentorship
Programme (2016-2017), Tasaru Programme 1 & 2 (2018-
2019), Khutwa (2019) and Istimrar Programme (2020). All
of these programmes were introduced to enhance SMEs
performance and equip them with the necessary tools to
upgrade performance and overcome challenges.
Moreover, Daleel Petroleum plays an active role in the ICV Services:
Steering Committee Initiatives such as the Joint Supplier
Registration System (JSRS). It is a platform focused on Exploration and extraction of hydrocarbons.
registration of suppliers, monitoring of the system and
reporting ICV performance.
Daleel strives to meet its vision and mission in alignment
with its responsible contribution towards the society. It
is a goal that forms one of the pillars in our company.
Additionally, Daleel Petroleum is placing and reviewing
plans for effective contribution in society through adding Scan the QR Code
value, meeting needs and enhancing prosperity. To watch the video

20
 ICV Achievements

In Country Value
Achievements

Purchase of Local Goods and Services

Human Resources Recruitment
Daleel purchases of good and services from
96% Omanisation local vendors has reached

Omanisation at Daleel is one of the

highest across all administrative and
98% in the last 5 years.

technical levels in the oil and gas sector.

Local Supply of Subcontracted Services

Training & Development Approximately 7%

of the expenditure is being
The operator has been proactively pioneering in
the implementation of the training fund where spent on local subcontractors.
an amount of

3.6 US$ Million

Development & Supporting SMEs
has been allocated up-to-date for the Training
for Employment Programmes. More than 250
people have benefited from the fund so far.
15%
of total purchases on SMEs had been spent.

21 Achievements ICV
 ICV Achievements

Schlumberger is a leading innovator and provider of technology for reservoir

characterization, drilling, production, and processing to a global energy industry.
The company employs 82,000 people representing 170 nationalities in addition
Ali bin Mohammad Al Lawati to, products, sales and services in more than 120 countries. Schlumberger
supplies the industry’s most comprehensive range of products and services, from
Regional Managing Director
exploration through production, and integrated pore-to-pipeline solutions that
optimize hydrocarbon recovery to deliver reservoir performance sustainably.
We are uniquely positioned to impact both our own environmental and social
“Schlumberger has a long history in Oman, that spans footprint and to help our customers reach their goals. Schlumberger seeks to
over 66 years representing our commitment to the continually increase diversity and promote inclusion in our workforce, supply
development of the Sultanate. chains, and communities, where we work and live. We believe that caring for
Continuing on this journey with our ICV program launched people and communities is fundamental to drive better performance for all our
10 years ago, we have many initiatives ongoing. We have stakeholders; this is why sustainability is at the core of everything we do.
built world-class facilities to serve local market and the
wider region embedding Oman-made products and
services throughout our supply chain. We have recruited
more than 1,300 Omanis locally and internationally, half
of them being young graduates. Today our Omanization
is at 85%. We provide not only jobs for Omanis but career
opportunities and are investing in their development. In
addition, we have launched several joint ICV initiatives
with our partners to support local companies in building Opportunities and Projects:
capabilities to operate at international standards.”
“We are proud to be contributing to the prosperity of the • Schlumberger’s support for universities includes entering into an
society through our ICV program and we look forward agreement with Sultan Qaboos University to donate and maintain
to continuing the journey towards a more sustainable software. Schlumberger’s software donations to the German
economy.” University of Technology coincided with the construction of the
Earth Science Laboratory, to enhance the knowledge of engineers,
technicians, graduate students and postgraduate students.

• Over the past years Schlumberger has donated software licenses

and support to universities , amounting to more than $7 million
annually.

Scan the QR Code

To watch the video

22
 ICV Achievements

In Country Value
Achievements

Purchase of Local Goods and Services

Human Resources Recruitment Spending on the Purchase of Local
Goods and Services amounted 1.2 US$ Billion
Omanization Employment of more than which represents 75% of the company’s total spending on purchases.

85% 1300 Omani since 2011

Local Supply of Subcontracted Services
• Among them are more than 650 fresh graduates of various disciplines
from local and international universities and colleges. Internationally, Schlumberger is developing capabilities by collaborating with a group of
more than 100 Omani nationals have been employed at various local suppliers and partners to introduce new technologies and support
Schlumberger locations worldwide. their development to meet international standards. In this respect, the
company has entered into contracts amounting to more than
• 30% of the new engineers were hired from the internship program.
50 US$ Million, in this regard.
Fixed Asset Investment • Develop local suppliers to provide services for artificial lift technology
and associated tools and equipment.
Total investment of more than • Supply of drilling equipment and related services

73 US$ Million in state-of-the-art facilities since 2011 Develop and Support SMEs
• Nizwa Mega operations Base
• Artificial lift assembly, repair and (ART)
center in Nizwa.
• Cameron Rusayl Manufacturing Facility
Annual spending on SMEs
and local contractors 20%
• Manufacture of well completion tools and equipment.
• Supplying type G cement.
Training and Qualification • Supplying gyroscope services “Gyro”.

5
The average annual expenditure
of the company on training is US$ Million Technology Localization
The investment in the Oman Institute of Oil and The company has a global network of more than 90 research and
Gas amounted development, engineering and manufacturing centers through which,

6
the company seamlessly transforms the toughest exploration and
US$ Million production challenges into leading technology solutions. By employing
our full range of expertise, both locally and internationally, we ensure
Schlumberger is in partnership with Takatof, a subsidiary that innovation is transmitted from our technology centers to our
of the OQ Group. This institute is a specialized center for
local clients. Local companies are included in the value chain and are
training professionals in the energy industry and is locat-
developed in the process.
ed in the Innovation Park in Muscat.

23 Achievements ICV
 ICV Achievements

Faisal Mohammed Al-gheilani Petrofac has been operating in Oman since 1988, providing
ICV Manager support to the energy industry in the Sultanate by designing,
building, operating and maintaining oil and gas facilities, as
well as developing and raising the efficiency of the local work-
Petrofac has a strong legacy in the Sultanate and our force and enhancing ICV, helping customers achieve more
track record reflects in our deep understanding of profits from their hydrocarbon resources.
industry needs and strong partnerships.
The company has generated revenues of up to US$
2.5 billion in In-Country Value (ICV) by working with
Omani suppliers and contractors.
One of the pioneering models, of which we are proud,
is Phase II of the Ghazeer project with bp.
A required In-Country Value (ICV) target of US$ 275
million, equivalent to about a third of the project’s
total value, had been set. By the time Petrofac handed
over the new facility, the real ICV had exceeded US$
311 million - about 13% more than the targeted value.
Petrofac received the prestigious Best Practices
Award in the (Omani Products and Services) category
of the Oman Society for Petroleum Services (OPAL) Our track record includes the following:
Awards, in recognition of our role in the development
of Dhofar Structures and Iron Industries. • Engineering, procurement and construction
This company in Salalah as part of the OQ LPG projects
extraction project in Salalah.
In 2017, we immediately recognized the potential of
• Engineering, procurement and construction
Dhofar Structures and Iron Industries and worked project management
closely with them to ensure that they were able to
achieve the required volume of work for the project.
• Operation and maintenance support
Recognizing the company’s potential, we initially • Increase the efficiency of the national
provided equipment free of charge. We then moved workforce, training solutions and efficiency
on to provide engineering drawings to expand their
facilities and used our extensive knowledge of the through our technical training facilities
Omani supply chain to help Dhofar Structures procure
new machinery within the Sultanate to ensure that
various economic benefits remained in-country.
We also introduced Dhofar Structures and Iron
Industries to other companies, which resulted in them
being awarded additional contracts. Scan the QR Code
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24
 ICV Achievements

In Country Value
Achievements

Purchase of Local Goods and Services

Human Resources Recruitment 1217.8 US$ billion

for such as cables, transformers
More than 350 Omanis and iron structures.
Since 2015, Petrofac has hired more than
Local Supply of Subcontracted
350 Omanis, with 6 accelerated into man-
agement positions. Services

1410.3 US$ billion

Fixed Asset Investments for local, civil, construction, logistics and
engineering services.
More than 7.84 US$ Million
Takatuf Petrofac Oman (TPO), the leading Develop and Support SMEs
technical centre of excellence
A business was awarded to SMEs worth
about US$ 140 million through the Duqm
Refinery Project.
Training and Qualification

60 Omani graduates have been

appointed and trained, 50 of them Technology Localization
continued to work at Petrofac, until they
reached the rank of engineer.
30 Augmented Reality Simulator at
Takatuf Petrofac Oman institute .
Provide training and competency management
program for the oil and gas industry (Skills VX),
interactive classes and augmented reality.

25 Achievements ICV
 ICV Achievements

Basil Salim Hasan Macki

Board Member

STS is one of the largest private sector employers of Omani STS Group, headquartered in Muscat, Oman, is a pioneering multidisciplinary group,
Nationals in the oil & gas sector. Over the past 10 years, STS has specializing in construction, fabrication and maintenance services with a strong oper-
developed local capability to execute major Turnaround and ational presence in the Middle East. With operations that span over four decades, STS
Shutdowns Maintenance in the Energy Sector. This capability
has significantly expanded its core business and value-added services in the Energy and
was further expanded to other GCC nations. Recently, STS has
Industrial sectors in the MENA region.
successfully completed 4,500 personnel Turnaround in Abu
Dhabi for ADNOC Group. STS’s capabilities encompass Civil, Mechanical, Electrical and Instrumentation disci-
STS is a key player in Oman, having served oil & gas operators in plines with dedicated teams serving each of these discipline areas. The company stays
long term portfolio management contracts. Our Manufacturing ahead in the field as a result of mix of intellectual capital, investment in technology,
facilities offer all specialized products in oil & gas Sector. local knowledge, industrial facilities, fabrication workshops as well as our large fleet of
STS has the honour of creating the largest process vessel for sophisticated construction equipment.
PDO in its 80-year history. The 46-metre-long vessel, which is STS stands strong with over 10,000 employees in the workforce. The company operates
four meters in diameter and weighs 240 tones, was fabricated across the GCC region and handles a diverse portfolio of projects in several areas.
at our Nizwa workshop. A total of 22 Omanis were involved in
the mechanical design and construction. Subsequently STS
successfully delivered 49-metre-long vessel for Salalah LPG
Project in Oman.
TTI, our training institute, offers various career development Activities and Services :
courses for Nationals across streams like Management, • Field Development.
Engineering, Technical & Tradesman skills, and HSE. • Gas Treatment & Compression.
• On-plot and Off-plot Facilities.
As part of the ICV drive, we continuously strive to engage and • Construction Maintenance & Turnarounds of Refineries & Petrochemicals.
award substantial share of work to LCCs and SMEs. STS works • Maintenance of refineries and petrochemical plants, major maintenance works
with LCCs and SMEs to enhance their capabilities in the areas and specialized services such as aluminum smelters, pipe cladding, cooling, and
of project delivery, HSE & quality. Periodic assessments are manufacturing of heavy and uncommon specialized materials.
conducted to enhance organization structure, skill sets and
• Static & Rotary Maintenance.
employee welfare.
STS’s ICV strategy and policy is to develop cooperative • STS also focuses on engineering, procurement, and construction, as well as
relationships with its stakeholders and industry participants, maintenance services.
with a view to promote and support ICV in Oman. We work
closely with SMEs, Ministry of Energy and Minerals (MOEM) ICV Opportunities
steering committee, Ministry of Commerce and Industry, OPAL, • Design & Engineering services
and various governmental stakeholders. • Manufacturing of all process equipment in Oman

STS continues to recruit experienced Omani Nationals from

the local market. We train and provide career development
opportunities for Nationals recruited from Colleges and
Schools.
We strengthen the vendor sector to aid various supplies and
services locally. We widen the areas of services of the existing
local service providers. Another important aspect that we plan
to work on is, to monitor the performance of local vendors
and service providers and provide the necessary support to
upscale their performance. We also plan to extend STS in-house Scan the QR Code
systems and proven processes to our local vendors. To watch the video

26
 ICV Achievements

In Country Value
Achievements

Human Resources Recruitment Local Supply of Subcontracted Services

Engaging with over Over

40%
2932 Nationals Construction work volume has been sub-contracted
to LCC, SME and Local subcontractors by STS.
34.7%
Omanization

Fixed Assets Investments Develop and Support SMEs

Over STS has partnered with over

US $ 100 Million 50 SMEs and LCCs for various requirements.

in Fixed Assets

Technology Localization
Training and Qualification
STS has two state of art technology fabrication workshops in Sohar and Nizwa that
The training is done through Technical Training specialise in manufacturing specialised oil & gas process equipment that include heavy
Institute (TTI), a 100% subsidiary of STS, that provides thick cladded vessels, Special Alloys, Fabrication of Exotic material, Heat Exchangers &
trade level comprehensive expertise training in Process Skids. During the last 5 years, we have also exported various process equipment
scaffolding, lifting & hoisting, HSE and other trades to various parts of the world.
We also provide HDPE Lining and Rotolining services across the MENA region.
related to construction & maintenance.
STS Group recently acquired Refrigeration Engineering International Pty Ltd. (REI), a leading
The TTI team is currently 80% Omanised. Process Design and Engineering Company specialised in process cooling, gas compression,
natural gas processing, and tank cooling solutions for oil, Gas and Downstream industries.
Since 1987 REI has built a strong reputation in the Oil and gas industry. This strategic
acquisition will further grow STS’s existing businesses by providing access to additional
Purchase of Local Goods and Services capabilities to serve our markets more effectively.
Our Specialised Aluminium Smelter services provided across GCC include Anode Stem &
Local Procurement Bus Bar Fabrication, Potshell Lining & Delining works, Superstructure, Cathode Sealing,

675
Basement Cleaning, Live Bus Bar welding.
US $ STS is acclaimed for Turnaround & Shutdown Maintenance capabilities across GCC over the
Million last 10 years and has also invested heavily in specialised equipment.

27 Achievements ICV
 ICV Achievements

Sultan Al Ghafri
Vice President – Oman & Yemen Gulf Energy, established in 2006, is one of the leading integrated oilfield services pro-
viders in the Sultanate of Oman. The company provides innovative oil & gas field ser-
At Gulf Energy, we believe that it is our duty to contribute to the vices and solutions in the MENA region and has 4 API approved facilities that are fully
economic development of the Sultanate. We constantly try to find equipped with the latest technologies. Gulf energy provides a wide range of services
ways to enhance our ICV through localizing jobs and building Omani
capabilities in local and international markets. Our manufacturing including performance drilling & evaluation services, drilling technology solutions,
facilities in Oman underscore our commitment to generating drilling and completion fluids technology & services, fishing & remedial services, well
local value through direct investments in the Omani economy, intervention services, production & completion services, and work-over services.
exporting Omani-made products to the world, developing in-
country expertise and local suppliers. SMEs was and still one of the
real examples of ICV initiatives through dealing with more than 90
SMEs. The plan is to increase the overall spent on SMEs and localize
additional services in the coming few years.
The last fifteen years have seen Gulf Energy, a local Omani
company, grow from a startup to one of the largest oilfield service
Opportunities & Projects:
providers in Oman and the region.
We became the first Omani company to successfully manufacture
casing accessories in Oman and export such products to the world. Recruiting Omanis:
We are leading the change in transforming the upstream sector in • Creating 600 jobs opportunities for Omanis locally and internationally
Oman and actively supporting the growth of the oil and gas sector over the next four years. And export Omani’s capabilities to the
in Oman and in the region. international market.
We are proud of all the Omani talents that have provided support
to all our operations across the globe. Water Treatment:
Our approach is an unorthodox approach, wherein, we aim to • Gulf Energy’s commitment is not only to service the demand in country,
provide support to our regional operations and to our future but also to provide emerging and enhanced key solutions to raise the
expansion in MENA using the talented Omani workforce.
We aim to train and hire more nationals than what is needed corporate and social responsibility, especially at this critical time of
by our operations in Oman. Last year, Gulf Energy signed a energy transformation.
Memorandum of Collaboration with Petroleum Development of • Reverting to the core values of being customer concentric with a high
Oman to create 600 jobs for Omanis locally and internationally regard to corporate social responsibility, Gulf Energy deems it of great
over the next four years. This enables us to send top talents to importance to revive the highlight to ESG. Starting off with water
international markets, creating new job opportunities, supporting
the career development of Omanis who will learn new skills, face management.
new challenges and live-in new environments. This will greatly • In Oman, water is critical when come to the demand, supply, and
enhance their capabilities and ensure we have a solid pipeline of composition because of the high reliance on water.
future leaders with global expertise and our Omanization will be
above the 100%. • Gulf Energy and its technology partners are working in providing
With the support of the Ministry of Energy & Minerals and all our local cost-effective solutions to bridge the gap created from limited
clients, We have achieved 84% of Omanization which is one of the freshwater resources and high cost of produced water treatment which
highest percentages in the country while maintaining superior will positively impact the environment here in Oman and the solution
levels of service quality and new technology introduction. This will add a lot when come to the In-Country Value.
percentage will go higher in the coming few years because of
the company initiatives. This support was key to our ability, as a MENA Drilling Hub:
local company, to become an important international player that • The vision is to localize all drilling technologies and having a state of
exports Omani talents, services, products and competencies to art maintenance facility in Nizwa, being the MENA drilling hub where
international markets. drilling services know how will be exported from Oman to GCC.
Gulf Energy will continue the journey of ICV by hiring & developing
local talents, local manufacturing, investing in research,
development & localizing the technology, developing local suppliers
& supporting the growth of SMEs. We will continue contributing
positively to the economic development of the Sultanate.
Scan the QR Code
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28
 ICV Achievements

In Country Value
Achievements

Local Goods and Services Procurement

The total Spent on local good and service in the
past 5 years was more than
Human resources recruitment
In 2020 during the last five year the 150 US$ Million

Omanisation improved reaching up to

84%
Gulf Energy signed a Memorandum of Collaboration with
Petroleum Development of Oman to create 600 jobs for
Local Supply of Subcontracted Services
Omanis locally and internationally over the next four years.

100 US$ Million

Fixed Assets Investments assigned to SMEs in the past 5 years.

In last 5 years, Gulf Energy injected more than

50 US$ Million
Develop and Support SMEs
• Opening the new fishing and milling • Upgrading the current Machine shop
tools manufacturing facility to localize and Gulf energy Facility in Nizwa.
the manufacturing this type of Gulf Energy have a systematic approach and road map to
• Purchase additional equipment and
downhole tools. downhole tools to support overall Oman identify the opportunity gap in the market and allocate the
• Opening SHG facility to localize the operations. right SMEs to deal with.
manufacturing of the cementing • Injecting new Coiled Tubing, fracturing
and casing accessories equipment in and cementing units in the country
Country.

Technology Localization
Training and Qualification Gulf Energy SAOC opened its first fishing & milling tools
Gulf Energy spent more than manufacturing facility in 2017 and the cementing & casing

2.5
accessories manufacturing facility to support all Oman oper-
US$ Million ations and customers. Then, in a later stage, started export-
ing Oman made tools to GCC region. The main objective of
in the country training funds and national training this investment is to boost the Omani economy by creating
institutes for QHSE and operational trainings. jobs and training opportunities and enabling custom-made
solutions.

29 Achievements ICV
 ICV Achievements

Al Sawari International Investment Co. is one of the six

Super local community contracting companies that
was established by the government in partnership with
citizens to provide services in oil & gas and logistics sector.

Dr/ Salim Sulayem Saleh Al Junaibi

Chairman

The local added value policy in Al Sawari Interna-

tional Investment Company is an essential pillar in
371
Contributor from Wilayat
all company’s business and projects. We are always
keen on contracts and purchases to be from local of Mahout and Duqm in Al
services and products. The company has allocated Wusta Governorate.
annually an amount of US$ 220,000 for local com-
modities and services. The company has also reg-
istered more than 52 local SMEs as subcontractors Featured Services

93%
and the business value assigned from Al Sawari is
more than US$ 22 million annually. The company • Support services
seeks to achieve significant strides in all standards • Heavy lifting services National experiences
and bases that were specified in the ICV strategy, de-
• Heavy equipment are work in.
clared by the ministry, especially in Omanization of
jobs and national cadre training. • Carriers
As one of the Super local community contracting • Logistics
• Vocational training
80
companies that currently operate under CCED um-
brella, we aspire to expand with the backing and • Mechanical engineering
support from the other major companies that op- • Civil engineering US$ million size of
erate in oil & gas and logistics sectors, to enhance • Electrical engineering business since 2017
and increase business contacts, which will achieve • Hardware engineering
growth, progress and competition for local compa-
nies.

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30
 ICV Achievements

In Country Value
Achievements

Local Supply of Subcontracted

Services
Human Resources Recruitment
52 SMEs
206
More than
More than that its business is assigned from Al Sawari
permanent and temporary employees. company with more than US$ 22 million.
More than US$ 23 million has been ex-
pensed to recruit
93% Omanis human resource.
Develop and Support SMEs
Fixed Asset Investments

More than 100 US$ Thousand The company support SMEs by qualifying
them in the field of health and safety, distrib-
dollar purchases of machinery and uting safety equipment to its employees, and
construction of warehouses. provide vehicles with tracking devices and
IVMs.

Training and Qualification

More than 220 US$ Thousand Technology Localization

Develop Uber IT system as (Transport man-
has been allocated to vocational training,
safety and ISO system application. agement system )TMS
OTO registration management platform/
data base management and registration of
all vehicles/ equipment owned for Omanis
Purchase of Local Goods and Services and compliance department.
The transportation management system
More than 25 US$ Thousand
has been allocated to purchase Omani
(TMS) will improve scheduling and moni-
toring of all land transportation operation,
cut costs and facilitating operations.
goods and products and services.

31 Achievements ICV
 ICV Achievements

Alshawamikh Oil Services SAOC is a joint stock shareholding company, it is a 100%

Oman-owned Company. it was incorporated in 2011 with around 1,600 shareholders.
AOS was established based on Royal Directives of the late His Majesty Sultan Qaboos
bin Said, May God rest his soul in peace. to create investment opportunities for people
living in the oil concession areas in the Wilayats of Bahla and Adam in the Dakhiliyah
Dr. Aflah Al Hadhrami Governorate. AOS’s main objectives are to enhance the In-Country Value (ICV) in a
CEO manner that serves the national objectives for which it was founded.
AOS has succeeded in achieving several achievements, including celebrating the Lost
Time Injury (LTI) in several projects is Zero LTI 0 as well as obtaining ISO certificates in
In-country value is one of the main objectives that Quality, Environmental Management, Occupational Health and Safety,
AlShawamikh Oil Services (AOS) is working on, which • ISO 9001
undoubtedly plays a vital role in enhancing the business • ISO14001
and human capacity and stimulating the productivity of the • ISO 45001
Omani economy.
AOS supports the ICV by supporting local products and
services, creating investment and employment opportunities
for Omanis and developing their skills to enhance the level of
production by promoting the components of the national
economy and enhance the efficiency of the national forces.
The initiative to Omanise the ‘Oil Pipelines Maintenance
Project’ is one of AOS’s significant achievements in the ICV.
AOS Omanised the leadership, supervisory and specialized Services
positions in the project, with an Omanisation rate of more • Logistical support and operations support services.
than 77%. • Well maintenance services.
AOS is also working jointly with the Ministry of Labor to • Production Service.
recruit new graduates through a set of initiatives to develop • Pipeline maintenance.
and up skill Omani youth and creating opportunities fit with • Water treatment services.
their aspirations. • Maintenance of generators and valves.
Thus, we are exploiting all capabilities to support and develop • Maintenance and lifting of well platforms.
the Omani human resources of all categories, which are the • Renewable and sustainable energy.
main capital. In addition, we continue to enhance the local
services and companies. We are fully committed to serve
our clients, shareholders and the communities we serve.

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32
 ICV Achievements

In Country Value
Achievements

Purchase of Local Goods and Services

Human Resources Recruitment Spending over

60 US$ Million
More than Omanisation on transportation, fuel and lubricants

650 74%
and other Consumables.

employees
Develop and Support SMEs
Support SMEs by assigning various projects and services
Fixed Asset Investment to local companies in the oil and gas field, whether
through direct contracts or business incubators.
Spending over
40 US$ Million

in fixed assests investments

• Hydraulic Torque Wrench
• IT Equipmen
• Slick line well pulling unit services Technology Localization
We strive to empower the latest digital solutions and
systems that achieve an effective and highly efficient
Training and Qualification work environment for the Company. For example:
AEGIS System in the field of health, safety and

Spending over 1 US$ Million environment, which is used to identify and assess risks,
as well display detailed reports and interactive visual
On training, qualification, health, safe- presentations.
ty, environment and technical training
basic and behavioral skills training. Mena ME System: To manage personnel and, human
resources, and measure productivity.

DOCSTAR: Supply chain management.

33 Achievements ICV
 ICV Achievements

Saif bin Said Al Darai

Seeh Al Sarya Engineering (SAS) is one of the leading local
Member of the Board of Directors
community companies in the field of oil and gas engineering. It
was incorporated in 1997. Seeh Al Sarya Engineering LLC (SAS) is
Seeh Al Sarya Engineering Company seeks to an ISO 9001:2015, ISO 14001:2015 and OHSAS 18001:2007 Certified
be one of the leading institutions in the field of Company.
engineering and engineering services. The aim is
to provide its clients with the highest standards
of quality, health and environmental safety and to
constantly improve work performance, keeping
pace with current developments in the global
oil and gas market, modern technology and
implement the plans and strategies carried out
by the Sultanate, both economically and socially,
in this field.
The company strives to provide the local added
value through the development of the cadre in
various work skills, the development of human
capabilities and the stimulation of productivity in
the Omani economy , and investing in international Services:
technology to manufacture local products of the
highest quality, increasing local sources of goods • Engineering, Procurement and Construction.
and services according to priority. We always • Mechanical maintenance.
strive to support local community contractors
and SMEs by engaging and developing them and • Civil projects and capabilities.
providing training and employment opportunities, • Electrical capabilities.
and employment-related training programme, • Control and automation.
supporting local community and youth initiatives. • Pipeline supplies.

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34
 ICV Achievements

In Country Value
Achievements

Purchase of Local Goods

The value of Purchasing Local The value of purchasing
imported goods and
Goods and Services reached products reached
Human Resource Recruitment
52 million Omani Riyals 23 million Omani Riyals
1200 employees
During the past
three years for Omani products. through Omani companies.

With an average salaries

of more than Services Provided to SAS by Local Companies
Omanization

43% 5 during 2020. 39 million Omani Riyals during the last 3 years
million Omani Riyals

Those services include providing accommodation ,

nutrition, maintenance, office services, cleaning and health
Fixed Assets Investments services

More than 15 million Omani Riyals have Develop and Support of SMEs
been invested to upgrade the company’s
services, develop capabilities and raise SAS supports SMEs regarding the services related to
efficiency equipment rental, civil works, piping connections and
other services, with an amount of more than

Training and Qualification 5 million Omani Riyals

during 2020

1100 employees were trained Training for Employment Program

at a rate of 9,480 training hours during
the past 3 years SAS provided training for employment program
for various certificate holders,
at a cost of
more than 3 million Omani Riyals. 400 trainees during the past three years.

35 Achievements ICV
 ICV Achievements

Rukan Al Yaqeen
International Group L.L.C
Dr. Tahir Al Kindi
Founder / Chairman

RAY is particularly proud of its ICV implementation, RAY International Group is a well-established trading company based in
which had a positive effect on both, community and Muscat, Sultanate of Oman. It operates in energy and technology, en-
economy in overall. The company has invested in one gineering and Construction, Well and Cable Services, Vocational Train-
of the world’s largest welding institutions, in its first ing, skills development and insurance services. The development of the
two years, it has trained more than 400 Omanis and group over the years is attributed to the main success factors, embed-
had witnessed a remarkable growth in the number of ded in the slogan “innovation always” & “Safety First as a Lifestyle”. The
Omani employees, Some of them have opened their own group was established in 2005. Currently, it consists of four companies
workshops and became entrepreneurs in their acquired operating individually under a centralized leadership umbrella, which is
professions. We conclude from this that the local value known as Rukun Al Yaqeen .
has a greater impact on the economic level, especially
in the oil field industry. The oil field should not only
focus on the oil industry in enhancing the ICV, but also
expand the business to include tourism, transformative
industries, and logistics services.
In the context of competition across the international
markets, and the promotion of Omani talents abroad,
we believe that some of our services have reached
maturity and are managed entirely by Omanis, which Opportunities
allow us to carry out these businesses in other countries.
Ray International Group plans to create an extraordinary significant
RAY International Group is committed to achieve the
digital presence in the country and is striding further towards de-
standards of the ICV, and the figures attest to these
veloping Omani youth and targeting to engage them intensively in
achievements. More than 56 million Omani Rials were
machine learning area, artificial intelligence, mining and information
invested by the company in a number of fixed assets. It
recording systems (BLOCK CHAIN).
has achieved Omanisation up to 57%. The total number of
Omani employees has surged 984 in various disciplines.
The company policy in supporting SMEs is clear, as we Project
were able to support more than 100 SMEs and have fully
incubated 12 of them. Besides that, our strategy in the In 2012, Ray invested in establishing a unique institute that contains
next stage is to increase these numbers gradually. oilfields with live simulation systems, wire-lines, practical welding
Rukun Al Yaqeen International Group, with it’s vast booths, electrical and mechanical workshops and
experience in oil and gas industry and the logistic sector, construction scaffolding. Ray provided this institute with favorable
is well aware of the importance of achieving the ICV in opportunities to train thousands of Omanis who have directly joined
all of its businesses, as this has massively direct impact work positions in reputable companies.
on the growth of the country, development of the
economy, support to the employment and prosperity of
the national products.

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36
 ICV Achievements

In Country Value
Achievements

Purchase of Local Goods and Services

Human Resources Recruitment 27,177,031.0 Omani Rials

Have been spent on local goods and

The total of the Omani
employee 984 services in the last three years.

omanization Oil & gas sector 86%

57% Energy sector 39%

Training 46% Local Supply of Subcontracted Services

30,646,439.63 Omani Rials

Fixed Asset Investment Have been spent on services including Engineering consultancy,
civil installation work, electricity, instrumentation,

56,832,509.00 Omani Rials mechanical installations and food and accommodations.

Land, construction, equipment and tools, light and

heavy vehicles, most investment is in equipment Develop and Support SMEs
and tools.
12 SMEs have been developed in the last two
years, and more than 100 SMEs have been fully supported by Ray’s
Training and Qualification Company program and more than 100 SMEs have been supported
by sub-contract to our domain.
hours of training for Omanis The three major developments in SMEs are 33KV OHL, electrical
104279 in the last two years. equipment installation and laying of the fabric optic cables.
• Training and Qualification done on:
• 33% Electricity technique • 13% HSE
• 7% Transportation and loading • 6% Product QAQC
• 19% Metal welding • 2% Cable connection Technology Localization
1. Wireline Unit.
Four basic techniques were
2. Direct line technology.
localized by Ray Company in
3. Drilling rig.
the sultanate:
4. Concrete columns.

37 Achievements ICV
 ICV Achievements

Al-Ghalbi International for Engineering and Contracting is proud to have completed 23

years of excellence and achievement in providing engineering services to the oil, gas
Ali Salim Saleh Al Junaibi and energy sector. The company was established in 1998, by a national competent team,
possessing vast experience in management and working with a vision to enhance the
Chairman company’s role in national development. The company employs about 633 employees, with
Since the establishment of Al-Ghalbi International Company, it 46% Omanization. The national cadres occupy leadership positions in the administrative,
has worked on applying the ICV in all projects and businesses, professional, technical, financial and service departments of the company. During its
as it has achieved high rates of Omanisation and distinguished tenure, the company completed several projects in the field of laying and maintaining
indicators in the field of training and qualification of many oil and gas pipelines in various fields and concession areas in the Sultanate, and obtained
national cadres, and we have strengthened our purchases of certificates of excellence in performance.
local products or international products that have agency with
local suppliers. We have also invested capital assets through the
establishment of (Duqm Salts) factory, which supplies the oil
and gas fields with local industrial salt as an alternative to the
imported salt. Also, we have acquired some properties, which
add to the company’s assets and contribute to the national
economy. We have also imported some international products
to be localized in the market and we have supported a number of
SMEs that have now attained maturity.
It is time to apply the principle of ICV to all government and
private sectors, so that a large part of the money will be circulated
within the national economy, and it will create multiple job
Services
opportunities. Hence, we will see SMEs expand their services and
products and grow locally. We will contribute to the localization • Establishment of integrated electrical, engineering and mechanical
of technology in the Sultanate. Most countries have become stations for oil and gas pipelines.
dependent on their local products when the global supply chain • Maintenance and ensuring the intactness of the pipeline, including
has been interrupted due to the COVID-19 pandemic. corrosion.
When companies invest in local value-added projects by • Create a tight lining for the activities of high density polyethylene
establishing factories, bringing technology, employing national HDPE.
cadres, and supporting SMEs, major companies and government • Providing qualified specialized staff for support services in the oil and
companies must give priority to the local products and give them gas fields.
preference so that they to grow and continue. With respect to
• Technical monitoring of corrosion in oil and gas pipelines.
renewing their existing contracts, I propose it to be done through
direct assignment. In this case, I believe that there is no need of • Repair of the pipeline valve using a number of materials and techniques
passing through tenders or competition with foreign companies provided exclusively by Al-Ghalbi:
or even local emerging companies.
As one of the local community companies, we have had and 1. Oxifree: coating to protect metal components.
still have a prominent and remarkable role in supporting the 2. Stopaq: outer layer with specific specifications.
growth and development process in the economy, including 3. Epoxy Grout Sleeve.
other local companies. Therefore, local companies must be 4. Corrosion & Cassock Monitoring.
protected so that they do not draw back their performance and
then disappear. The decline of their business and the decrease in
the percentage of contracts assigned to them will undoubtedly
affect many aspects such as employment, support for the
domestic product and support for SMEs, which are the pillars of
Oman’s vision 2040.
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38
 ICV Achievements

In Country Value
Achievements

Purchase of Local Goods and Services

Human Resources Recruitment

27 US$ Million
in the past three years (2019-2021)
As well the volume of spending on services provid-
The number of employees in Al-Ghalbi Company and its sub- ed by local companies during the past 3 years
sidiaries has reached to approximately 750 employees, with amounted to approximately US$ 1.5 million.
an Omanization rate exceeding 46%, with total salaries up to
US$ 16 million annually.
Omanization Local Supply Of Sub-Contracted Services

98% 46%
Omanization in senior
and leadership The number of local suppliers and agents registered with the
company reached approximately 63 suppliers, with the value
of purchases from them in the past three years amounted
approximately 4.5 US$ Million.
Fixed Assets Investments
Over 50 US$ Million Develop and Support SMEs
• Purchase of equipment and
machines.
• Building specialized
accomedation) in the oil concession
areas.
• Building a specialized factory (Duqm
reached nearly 7 US$ Million
in the past three years (2019-2021)
manufacturing workshops. Salt) to provide industrial salt used During its tenure, the company has developed a number of SMEs, by
• Equipping stores. in oil and gas. supporting them with annual contracts in a number of specialized
• Building a motel (workers’ • Building multi-use real estate assets. services:
• advertising and promotion. • logistics and transportation.
• information technology. • human resources and manpower.
Training and Qualification • food and hospitality.

2019-2021
3 US$ Million
Technology Localization
an average of 150 employee annually obtain accredited
certificates that raise their efficiency in their specialities The company is working to attract advanced technology used
The company conducts an annual training program for in the oil and gas industry, and we aim to localize it whenever
a number of employees in various specializations related we see that there are great opportunities for it. For example,
to business and projects, especially in the technical fields we use High Density Polyethylene (HDPE) technology.
and occupational health and safety Tight Fit
• Technical training Oxy Free
• Training in administrative and financial affairs The most important thing we have done is the establishment
• Training in accordance with leadership laws in the oil of a specialized local factory (Duqm Salys) for the production
concession areas of Industrial Salt, which the Sultanate used to import.

39 Achievements ICV
 ICV Achievements

Hamad bin Hamood Al Ghafri

Chairman Hamdan Transport Division is the oldest subsidiary of Hamdan Trading
Group LLC and has seen a 45 year history supporting the Omani and GCC
Looking back to 1975’s, I still remember Hamdan Group economy, It was founded by the owner and chairman Sheik Hamed Bin
starting business with only one office located in Salalah Hamood Al Ghafri in 1975. HTD has a long and huge portfolio that boasts
as if it was yesterday. Hamdan has moved through recognition, particularly in oil and gas sector and it continues to drive
monumental stages & taken extra-ordinary strides in
forward.
growth, and expansion from its inception. Today, the
Group is expanding into all major sectors of the economy
and varied geographies.
Hamdan Group was able to achieve this growth through a
clear vision and a dynamic team, to make the company one
of the major players in the Sultanate’s economy.
The core of this success always lies in our winning
corporate culture; that promotes growth and encourage
innovation; and in our customer oriented strategy, that is Opportunities
guided by quality, creative solutions, and a diligent search Oil and gas sector in the Sultanate of Oman considered as
for better ways to serve our clients. one the most important productive sectors, Concession ar-
We have faced many challenges and I am sure to continue eas such as Nimr, Fahud, Mukhaizna...etc can provide great
confronting it, but the important thing is that we stick to opportunities for Hamdan Transport.
our position when the challenges are enormous and to
overcome them successfully, in my opinion this what is Project
called the journey to excellence.
Oxy Mukhaizna Company- A big investment to support Rigs
Maybe the biggest challenge I see today is the digital transportation along with construction of new camp and
era we are living in. In my opinion, it is characterized complete workshop/shop. The first excavator transmit took
by increased globalization and customer-orientation.
Companies around the world are now being encouraged to place on 5 th April 2015 leading to 5 years TRL/LTI free op-
think aloud and to be more creative to meet and exceed erations. and on 5th April 2020 the company completed
the expectations of demanding customers. 1085 excavator transmit that took 3127446 working hours
We celebrate three decades of operations which has completely free of recordable accidents which is a great
highly resonant impact . We celebrate the winning achievement .
bids, and our team, which always succeeds to exceed all
expectations. We honour our commitment to quality, our
great participation in the community, and our continuous
investment in technology.
Above all, we celebrate the lively spirit of innovation that
proves to be the binding thread that makes Hamdan group Scan the QR Code
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40
 ICV Achievements

In Country Value
Achievements

Purchase of Local Goods and Services

Human Resources Recruitment

3.5 Million Omani Rial annually.
the company is contributing its tangible role in
more than the promotion of local goods and services by

100 procuring local goods and services to support

local industry.
Omani employees

Local Supply of Subcontracted Services

Fixed Asset Investments
Supports local business entities by ensuring

7.4 Million Omani Rial

maximum possible business opportunities
are provided to them.

1. Buying a fleet for heavy task.

2. Build a fully furnished residential camp facility in
Mukhaizina 2015-2016. Develop and Support SMEs
3. Purchase of main engines cranes and forklifts.
• Supporting SMEs by providing them business
opportunities on regular basis.
• Supporting SMEs is always on our priority list.

Training and Qualification

Technology Localization
Training and QHSE that what we are striving for in
the last 5 years, we have achieved ISO 9001-14001 and • The company invested in implementing the latest advance
45001 accreditation, and we wish to be an industry
leader in Safety /environmental fields. As a profes- version of Enterprise Resource Planning(ERP) system, to
sional transporter we aim to provide professional support and add value through institution.
trained drivers to deliver all cargo safely. • The company believes in innovation and technology and
promotes an organized modern work environment.
• We update ERP system related system on a regular basis in
accordance with the technological deveopments

41 Achievements ICV
 ICV Achievements

The Oman Construction Company LLC (TOCO) is one of the oldest oil & gas service providers
in the Sultanate of Oman. Established in 1965, TOCO is proud to have built the first flowline,
the first pipeline, the first tank farm, the first production station, the first overhead power
line and performed the first rig move in Oman.
TOCO delivers a wide range of services covering the full life cycle period of industrial assets.
TOCO’s service portfolio covers fabrication, construction, maintenance, turnarounds, rig
Mark Dean moving, specialist logistics and support services for oil, gas, petrochemical, chemical, utility
and industrial facilities.
General Manager TOCO operates both long-term framework contracts and one-off projects covering green-
field, brownfield, maintenance and turnaround scopes. TOCO’s philosophy is to associate
with their customers as the ‘Trusted Partner’ on long-term basis and be a ‘One-Stop-Shop’
within their chosen areas of business.
The Oman Construction Company, known locally as
“TOCO” was established in 1965 and has played a leading
role in the development of Oman’s resources.
Our core business focuses on Construction, oil & gas ser-
vices ,logistics and specialised manpower services with
our core values as “Trust, Openness, Creativity and Op-
Opportunities:
portunity”. We see a big opportunity in creating a pool of skilled resources locally by equipping the next
We recognise the importance and the part that we can generation of Omani workforce with the skills that are in demand by the key industrial sectors.
play in the development of all our employees so they can We recognise the importance and the part that we can play in the development of all
reach their full potential. We currently employ around employees to reach their full potential and in particular in alignment with the Oman Vision
950 Omani Nationals which equates to 46% Omanisation 2040 – “Moving Forward with Confidence” which targets 40% of all jobs in the private sector
across the company. Our work in diversifying the skill set to be undertaken by Omanis. We aim to act as a role model for our segment in this mission.
of our Omani workforce has produced a steady increase To this end, we are committed to progressively increasing the level of Omanis within our
in the percentage of technical manpower. This has been workforce from both a tradesmen and management perspective, additionally, we will also
take positive steps to ensure that the proportion of our Omani employees includes a fair
aided by our vocational training initiatives which have representation of females in all areas possible and to offer guidance and support to Small &
benefited hundreds of young Omanis. Medium Enterprises (SMEs) and Local Community Contractors (LCC) where we can.
Our strong focus in developing the local supply chain has
We are proud to have been associated with Opal since 2002 and look forward in continuing to
benefited several LCCs and SME’s. We are currently as- work collaboratively with them to meet the goals of our company and the Country as a whole.
sisting a number of SME’s to reach their full potential
through TOCO’s SME Development Initiative. Our local
goods and service spend over the last five years has Project:
reached US$ 45 million with a Capital investment of
around US$ 36 million. As the world moves to a more sustainable, ‘paper free’ culture, TOCO is rapidly embracing
As we look to the future, we are committed to seeking digitalisation across all its operations. Various digitalization initiatives which are being
implemented within our operations include amongst others, an ‘Online Competency
new and smarter ways of working with less impact to the Assessment System’, COVID19 Temperature Recording App and Health and Travel
environment and leveraging ideas from the next leaders e-Questionnaire.
of our business, ensuring they receive suitable compe- These digitalisation initiatives are expected to save over 220,000 A4 sheets of paper
tency training and development and most importantly, annually. Apart from this, the electronic processing system has already saved nearly 460
support to grow into their chosen roles. man-days versus conventional methods.

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42
 ICV Achievements

In Country Value
Achievements

Local Supply of Subcontracted

Services
Human Resources Recruitment
Over the past five years, we have recruited,
trained and developed
Nearly 14 US$ Million
1,402
worth of services were locally sub-contracted in past
Omani nationals five years

many of whom remain with us and some in more

senior positions to this day.
Develop and Support of SMEs
Fixed Asset Investments
As part of our ongoing contracts, we are implementing SME

Invested nearly 36 US$ Million development programmes. For example, through one of our
ongoing long-term maintenance services contracts, we are car-
rying out structured SME development of two local companies
between 2013-2020 namely OPAMCO and Al Qaim. We have also supported North
Sea Petroleum to deliver HDPE lining services for one of our cli-
ent in Oman North.
Training and Qualification
We have provided on-job training
to more than
Technology Localization
120 Omani nationals
We continue to seek new ways of working in a global business
to become tradesmen (Welders, Pipe Fitters, Fabri-
cators, Riggers, Grinders, Scaffolders) to work in var- context which is rapidly moving towards digitalisation utilising
ious oilfield locations. our local IT team. We are trialling several new technologies with
the aim to digitilize as many processes and documents as we
can. To aid this process, our Omani IT team is receiving the re-
quired training to ensure that they acquire necessary expertise
in these emerging technologies. This investment in our teams
Local Supply of Subcontracted Services will provide the next leaders of our business with the latest tools
to meet our operational demands.
Goods worth over

31 US$ Million
have been purchased during the past five
years, locally.

43 Achievements ICV
 ICV Achievements

Registered in 2011, Al Baraka Oilfield Services is a Super Local Community Contractor (SLCC)
representing around 1,200 Omani shareholders in the Wilayat of Shaleem and Al Halaniyat
Islands in Dhofar Governorate. Al Baraka has projects – completed and ongoing – across the
Musallam Al Maashani two divisions, Hoist Operations and Off-Plot Delivery Contract (ODC) services. Starting with
Petroleum Development Oman (PDO) as the principal client, Al Baraka has since grown its
customer base to include other Oil and Gas industry operators.
CEO
In South Oman, Al Baraka operates multiple hoists in the provision of well services, nota-
bly with regard to workovers extending from Bahja to Nimr area. Commencing operations
We, at Al Baraka Oilfield Services SAOC, are proud of our with just two hoists, this SLCC has grown exponentially over the past decade. This year the
achievements that contributed to increasing the ICV in the oil company plans to induct two new Hoists in to the Rig workover business. The company
and gas sector. As the company believes in the importance has achieved more than 110% operational efficiency while maintaining a superior degree of
of supporting everything manufactured within the operational safety as evident from its more than 5-year LTI free record. The Hoist division
Sultanate, in order to contribute to the economic growth of has attended 1050 wells till end 2020 and employs a workforce of around 250 people, 90%
national economy, our local goods purchasing and services of which is Omanised. They include significant numbers of Omani candidates from the con-
have achieved comfortably high levels. Additionally, the cession area who have been trained to become roustabouts and floormen. In addition, Hoist
company is strategically planning high efficiency training of division provides technical support to several international companies across Oman.
Omani personnel to conduct major leading tasks in various Equally commendable is the performance of Al Baraka’s ODC division. The company has con-
areas, which meet the requirements of the Oil & Gas sector structed wellhead locations and engineering, construction and commissioning of all me-
in future. We continue to emphasise our support to SMEs chanical, electrical, instrumentation and civil location matters related to well pad location
and local companies in our growth policy. We have awarded and flowline construction, primarily in Bahja and now in Rima. While maintaining a more
several contracts to them, so that they are able to compete than 7.9 million manhours LTI free record, this division has undertaken more than 820 km
within a wider business environment. As far as localisation of flowline welding and over 260 well hook-ups, completed dismantling of 212 km of bare
of industries, we have contributed in finding the ability to CS flowlines/hookups, and the design, construction and pre-commissioning of more than
provide plenty of job opportunities for the Omani cadre on 345 wells with a manpower strength of over 740 including sub-contractors. The company
one hand, and on the other, we are planning to contribute is currently managing several small-scale EPC projects and expanding its area of flowline
towards enhancing manufacturing technology sector in operations in the southern part of Oman.
the Sultanate. In cooperation with MADAYN in the Marmul
Industrial Complex, we intend to establish mechanical and
electrical component manufacturing workshops, thereby
creating job opportunities for Omani cadres in Oil & Gas
sector. Achievements
The company has significantly contributed in developing • The Rig Workover division prepared over 1050 wells till end 2020, employing
the capability of local contractors specialized in Civil around 250 employees, more than 90% of them are Omani workforce. In addition,
and Mechanical areas of expertise. We are developing Well Services section provides substantive logistical and accommodation support
design consultants and finding opportunities for them to to a number of international companies across Oman.
participate in engineering design of Chemical Injection
and Runib South Water Injection projects. As a part of its • The company has constructed wellhead locations and engineering, construction
desire to contribute towards corporate social responsibility, and commissioning of all mechanical, electrical, instrumentation and civil location
the company has provided local development support e.g. matters related to well pad location and flowline construction, primarily in Bahja
School Excellence Award, supporting SQU students with and now in Rima. While maintaining a more than 7.9 million manhours LTI free
grants, supporting the local hospital with COVID-19 related record, this division has achieved the design, construction and precommissioning
PPE/equipment and organizing a heritage festival in Wilayat of more than 345 wells.
of Shaleem et al.

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44
 ICV Achievements

In Country Value
Achievements

Local goods and services

Human Resources Recruitment about 9 million Omani Rials

Until Q1, 2021 the number of staff in the company In 2020, the value of company’s local products and goods
was about purchasing amounted approximately to about 9 million Omani
Riyals. Al Baraka is continuously striving to increase purchasing

731 employees Omanization and services of Omani goods as well as enhance and develop local
sellers, while whilst increasing the Omanisation of contractor work
and by the end of the year,
the employee strength will 60% force.

increase to 800
Training and Qualification
Investments
Al Baraka provides comprehensive employment training in
The company has developed a strategy to invest in fixed
various technical categories, ranging from Civil and Mechanical
assets in future, thereby achieving diversity and sustainability
Permit Holders, Location Design Coordinators and Documents
through:
Controllers. In addition, Omanis have been trained within
• Purchasing two new Workover Rigs to expand its Well the company as Purchase Specialists and Health, Safety and
Services portfolio. Environment specialists. Further, there are graduates who are
• Expansion in engineering and construction works to undergoing internship training to take over suitable positions in
cover other oil producing assets. the company. Onsite Supervisor Training Programme is on the
• Entering into business agreement with reputed cards aimed at increasing this specific skill set amongst Omani
international companies. candidates.
• Entering into Renewable Energy arena through
introduction of Geothermal projects.
• Establishment of workshops manufacturing mechanical
and electrical devices for Oil and Gas industries
• Investing in SAKAN Facility Management Company. Technology Localization

Al Baraka has future plans of localizing drilling

Develop and Support SMEs /LCCs equipment and machines manufacturing which
are used for maintenance works of oil and gas
wells.
There are 26 contractors from SMEs and 24 contractors from
Local Community Companies registered by way of annual
contracts.

45 Achievements ICV
 ICV Achievements

Over the past number of years, Sheida International Co LLC has become a leading provider
of Road Safety solutions and Safety products across Oman and GCC bound with a vision
to contribute positively in the development of Oman’s economy by creating business
Nasser Faqeer Al Balushi opportunities driven by localizing knowledge and technologies used in the field of Road safety
and Defensive driving and also providing specialized products and services in this field. The
Road Safety Standards Body (RSSB) was formed in July 2009, when Sheida International Co. LLC
Managing Director was awarded the contract for the provision of Road Safety Enforcement and Defensive Driving
Standards Services by petroleum Development Oman (PDO). In 2020 Sheida International Co.
LLC was awarded a new contract by the Omani Society for Oil Services OPAL to manage the
Since 2009, we have worked closely with PDO in the field of OPAL Defensive Driving Standard Body (DDSB). It is a contract, that covers the entire energy
Road Safety and Defensive driving, where we had a pivotal sector operators.Contract that covers the entire energy sector operators.
role in reducing road traffic accidents in oil concession
In 2019 the management made a decision to enter in the renewable energy industry by
areas. In terms of an Omanization, we have achieved
introducing innovative solutions in the field of renewable energy. Solar Energy was identified as
83% in various functional aspects. Therefore, we have a starting point in the industry and in 2020 a turnkey contract was signed with an international
spent more than 1.7 million OMR in Recruiting, training leading company that offers a complete range of technological solutions in the renewable
and developing Omani employees. It is our responsibility energy field and is involved in the planning and in the realization of manufacturing equipment
to develop and qualify our personnel experience. and automation in order to supply a complete Solar PV Module Production Line, including a
Furthermore, we have adopted a 100% purchasing policy complete know-how transfer, that will contribute significantly in the sustainable growth of
whereby all of the company’s goods and services will be the country.
provided by local Omani companies. Accordingly, we have
spent in purchase 1.6 million OMR.
We, at Sheida, are committed to support and enhance our Opportunities:
role in the development of ICV, with Oman’s approach (a By 2030, renewable energy projects are expected to produce about
Renewed Renaissance) and Oman’s Vision 2040 towards 30% of the total electricity needs. The opportunity to localize solar
renewable energy, Therefore, we headed towards photovoltaic and other renewable energy technologies will bring great
establishing a facility for the production of Photovoltaic benefits to the country, where the value of the renewable energy market
(PV) Solar modules with a capacity of 50 MW in Sohar would be worth more than 1,512.3 US$ billion.
Industrial City (Madayn), with a total investment of 1.5
million OMR. The project will soon see the light and it There is an opportunity to localize the manufacturing of raw materials
will bring great value to the local economy. in terms of used in the PV solar modules production market, which is worth more
technology and knowledge localization, which will help than 20 US$ billion.
in creating around 100 job opportunity initially and the
number will grow with the planned expansions Moreover.
the company project plan include support and develop Projects:
of local SMEs ,which will help in localizing the production PV solar modules Manufacturing Facility
of the project related components, We are working to Location: Sohar Industrial City (Madayn)
strengthen our role by leaving a mark on the Sultanate Total area: 5625 m²
ICV. Production capacity: 50 MW (Expandable to 150 MW)

Products: Polycrystalline range panels, Mono crystalline range

panels, Bi-facial Panels, Hetero junction Panels, Half-cut cell Panels.

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46
 ICV Achievements

In Country Value
Achievements

Purchase of Local Goods and Services

Human Resources Recruitment
1,426,998 Omani Rial
1,684,101 Omani Rial 1. Exploring ways to localize
some raw materials for
manufacturing photovoltaic
2. Office equipment and
materials.
3. 100% local operating mer-
Direct recruitments solar panels. chandise and services.

83% Omanization
Local Supply of Subcontracted Services

Fixed Asset Investment 210,000 Omani Rial

1,222,504
1. Contract for the establishment of a facility for the
Omani Rial production of Photovoltaic (PV) Solar modules in Sohar.
2. Supplementary service contracts.
3. Consulting services contracts.
1. Machinery 3. The factory
2. Vehicles 4. Equipment
Develop and Support SMEs

Training and Qualification

178,036 Omani Rial
1. Consulting Services.

33,085
2. IT Solutions.
Omani Rial 3. Services Contracts.

1. PV modules manufacturing Complete know how

transfer Contract. Technology Localization
2. Internal training and development.

425,000 Omani Rial

3. Qualification and training of employees in the field
of HSE.
4. Qualification and training of employees in the field
of Defensive Driver training and assessment. 1. Complete Turn-key contract with Ecoprogetti
5. Qualification and training of employees in the field Srl (Italy) to supply entire Photovoltaic (PV)
Road Safety. Solar modules Production Line.
2. Localizing the technique of manufacturing
Photovoltaic (PV) Solar modules.

47 Achievements ICV
 ICV Achievements

Hamid Al Mahmoudi Al Derei Anwar Fahud Projects International LLC is one of the leading local contracting
Deputy Managing Director companies in the field of civil construction, infrastructure works, oil and gas
engineering. It was established in 1997. Anwar Fahud Projects International LLC
is among the companies that have obtained ISO 9001: 2015 and ISO 14001: 2015
certificates and the Occupational Health and Safety Management Certificate
45001: 2018.
Anwar Fahud Projects International Company seeks to
provide the best standards of quality, health and safety.
Our efforts are always directed to keep abreast of current
developments in infrastructure and oil and gas market.
We make sure to keep pace with modern technology,
and strive to implement plans and strategies, on which
the Sultanate is economically and socially dependent.
The company strives to provide ICV through the
development of job cadre in various work skills, human
capacity development and stimulating the productivity Services
of the Omani economy.
• Engineering and civil constructions, purchase,
We aim to bring modern technology with the highest civil and engineering maintenance.
quality in oil and gas fields. We are constantly increasing
• Design and construction asphalt roads, including
local sources of goods and services according to
priority. We always strive to support local community roads, bridges, tunnels, and maintenance.
contractors and SMEs through partnerships and • Ground levelling works and drilling sites.
various developmental initiatives, providing training and • Civil projects.
employment opportunities, training program associated
with employment, supporting local community and • Fence and railing works.
youth initiatives.

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48
 ICV Achievements

In Country Value
Achievements

Purchasing Local Goods and Services

The value of local purchasing
goods and services amounted to
Human Resources Recruitment 8 million Omani rial

During the past three years The purchase value of imported goods

480 employees were employed, and products amounted

of whom 45% were Omani

with a salary approximating Omanization

1.2 million Omani rial
through Omani companies.
to more than 900 thousand
OMR during the year 2020. 37% Develop and Support SMEs

The company supports SMEs in services related to

equipment rental, civil works and other services,
with an amount of more than
Fixed Assets Investments
More than 1.5 million Omani rial,
during the year 2020.

5 million Omani rial

were invested to raise the level of the company’s Recruitment Post Training
services, to develop capabilities and to raise
efficiency. The company offers a recruitment post training program
for graduates , with various academic certificates

45 trainees over the last three years.

49 Achievements ICV
 ICV Achievements

H.E.Hamed Said Al Junaibi

Chairman
Ryboa Haima Trading Co is a leading 100% Omani owned group of companies with
Ryboa Haima Company is one of the local community
active participation in Oman’s Hydrocarbon, Petrochemical, Building Construction,
companies in the Sultanate of Oman. It was founded in 1992. It
operates in the service and logistics sector in oil and gas field. Facility Management, Waste Management Manpower Supply sector industries since
1992. The company posted a growth of approximately 100% during the period from
RH expanded during the past period with the support of large 2002 to 2016 and is currently rated one of the leading Omani Contractors in the Sul-
oil companies such as PDO, Occidental Petroleum, Oman
Exploration and Production Company and other companies tanate of Oman. Ryboa Haima Company carries out its operations according to the
operating in this sector. The company is operating in number high standards of health and safety and environmental protection.
of projects in the Sultanate from north to south, most notable and has located its assets strategically to be able to mobilize manpower, equipment
ongoing projects include. and provide other services to any part of Sultanate of Oman.
Occidental Petroleum Company fields “Mukhaizna” and “Safa”, Our competence to deliver and maintain high standards in the oil & gas industry,
PDO fields “Harweel” and “Bahja”, Duqm refinery, OQ Oman construction & facility management sector has resulted in the acquisition of many
Company field “Abu Al Tubul”. major contracts in Sultanate of Oman.
Ryboa Haima Company is looking forward to achieve (ICV)
within its development strategy in business sector. the
company has contributed significantly to the recruitment
of Omani cadres, especially in leading and administrative
positions, it has also been keen to support SMEs, operated
by Omani youth, especially in transportation, equipment, Services
technology and other fields. • Oil and gas sector • Waste Management
Ryboa Haima Company is keen to move forward in developing • Logistical support for wells • Manpower supply
and qualifying national cadres in various specialties needed • Constructions • Facility management
by labor market, specially the needed by oil and gas sector • Trucking • Leasing equipment and vehicles
in the Sultanate. RH has invested significantly in purchasing
assets such as tools, machines and necessary equipments. this
investment is estimated to be worth millions of USD.
We affirm our commitment to support the wheel of progress Projects and experiences
and growth in business sector in the Sultanate by increasing • Petrogas Rima projects
purchases of local , our support SMEs, and we believe in • Hands-on experience in joint project comprising Worley Parsons
recruiting the qualified national cadres, as a part of Oman’s
vision 2040. Perhaps one of the matters that we would like • Company and Arabian industry company (WPAI) and special
to highlight about ICVis that the growth of local community • substantive servicing group.
companies is dependent on the level of trust and confidence • Hands-on experience in joint project with OXY
that major oil companies have in them. Local companies, as • Experience in joint project with PDO
figures and statistics indicate, have a key role in employment
and in moving the wheel of other commercial and service
sectors.

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50
 ICV Achievements

In Country Value
Achievements

Purchase of Local Goods and Services

Human Resources Recruitment Purchases of local products Purchases of international
reached more than products from Omani agents
amounted to more than
Omanization
47% 0.5 US$ Million during
last 3 years
4.5 US$ Million

The Notional cadres hold senior leading

and supervisory positions.

Fixed Asset Investment

Local Supply of Subcontracted Services
Ryboa Haima Company has invested The company contributed in subcontractor development
considerable capital in purchasing by giving them business amounting of
company’s assets such as equipment,
devices and vehicles.
450 US$ Thousand during the
last 3 years.

Training and Qualification Develop and Support SMEs

During the last 3 years the
company has spent about The support of SMEs reached nearly

88 97
US$ Thousand on Training US$ Thousand during
and qualification the last 3 years
in a number of areas, most notably health, safety, technical
majors and specialized courses in oil concession areas.

51 Achievements ICV
 ICV Achievements

SGS is the world’s leading inspection, verification, testing and certification company.
We are recognized as the global benchmark for quality and integrity. With more than
Hamed Al Kharusi 97,000 employees, we operate a network of more than 2,600 offices and laboratories
around the world. Through our network of global affiliates, we offer a diverse range
General Manager
of independent services.
As an Affiliate of the global SGS enterprise, SGS has been present in Oman since 1983.
In recent years however, through the vision of its management and the recognition of
SGS has the confidence on ICV Program, seeing that Oman as a vital source of growth in the Middle East, SGS has thrown a wider net into
national investment can be great force for business the services offered in the region. We now offer an increasing number of services to
growth and workforce development with direct meet local demands. SGS offers services across 11 major industries through our eight
and positive impact on Oman’s economy, SGS has business lines. Each business line develops and maintains world-class expertise to
a commitment to develop effectively local private support the evolving needs of our customers. Thanks to our capabilities we are able
sectors by investing and exchanging experience. to provide solutions to the challenges they face across the globe.

In compliance with this program, SGS has giving full

support for SMEs through Manafaa (a program,
aims to provide Oman’s entrepreneurial and scientific
The Industries that SGS Services are outlined below:
community with the opportunity to pitch innovative
and creative biodiversity-based business ideas and
AGRICULTURE AND FOOD: ENERGY:
help transform them into viable working models). Innovative safety, quality and sustainability Powering processes from renewables to
SGS committed to provide training, technical advices solutions for your supply chain. conventional energy.
and financial support that enable them realize their CHEMICAL: MINING:
Innovation, optimization and efficiency Delivering expert services to improve
ideas and thoughts into real products in the market. in everything from feedstocks to finished speed to market, manage risks and
products. maximize returns.
Also, we add more than just financial value to society. CONSTRUCTION: PUBLIC SECTOR:
Through our integrated leadership approach, we Ensuring safety and performance in the Facilitating trade and sustainable
strive to become an ever more sustainable company environment where we work and live. development, protecting society against
Safe, efficient and trusted processes are fraud and economic crime.
and maximize the positive impact we can have. Our essential when constructing buildings or TRANSPORTATION:
stakeholders (employees and suppliers, investors, infrastructure. Driving a safer, cleaner and more efficient
customers, governments and industries, consumers, CONSUMER GOODS AND RETAIL: industry
Generating trust throughout the supply INDUSTRIAL MANUFACTURING:
and communities and the planet) are the ultimate chain. Making manufacturing more productive
beneficiaries of this effort. In order to measure our LIFE SCIENCES: and profitable.
success, we are developing an innovative impact Safeguarding the quality and efficacy of OIL AND GAS:
medicines. Innovative solutions that add up along the
valuation model to quantify our value to society. value chain.

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52
 ICV Achievements

In Country Value
Achievements

Training and Qualification

• SGS has been recognized as the global benchmark for

Human Resources Recruitment quality and integrity. For the first time in the Sultanate, an
The number of full-time employees working Omani lady at SGS could achieve the requirements of Quality
in SGS Oman has reached about: Management System Auditor Course and was certified as a
Lead Auditor with ISO9001-2015.

271 employees
• This year, SGS has started in applying for Khibrat initiative
through the On Job Training Program under the supportive

70%
of National Training Fund. Khibrat initiative is a collaboration
Omanization between Ministry of Labor and Ministry of Culture, Sport and
Youth that focuses on promoting national capabilities, now
there are 16 fresh graduates admitted and undergoing in
SGS on-job training program.
Fixed Asset Investment
More than
7 US$ Million

Was invested in 2020 up to first quarter of

2021 for SGS Oman projects and laboratories.
Develop and Support SMEs

Purchase of Local Goods and Services Small and medium enterprises (SMEs) play a major role in
the world economy, contributing towards entrepreneurship,

73% of total spent to Local Suppliers.

innovation, employment, economic growth and development,
the SMEs sector has attracted considerable attention from
SGS with more than 12 US$ Million spent on SMEs support
SGS committed to delivering sustainable value by awarding projects and transferring knowledge using our
to society. Ensuring that our supply chain years of experience to enhance and develop their capabilities
and direct operations have a positive impact thereby to facilitate their success.
beyond the traditional financial benefits is an
integral part of our success and leadership.
SGS spent over 50 US$ Million on suppliers.

53 Achievements ICV
 ICV Achievements

Dr. Dhafer bin Awad Al Shanfari

Concept of In-Country Value? Successful experiences in the Sultanate? First: The full conviction of the authorities and ministries concerned with the economy
and finance of the importance of applying In-country value and its economic feasibility.
Initially, let us define the concept of In-Country Value (ICV) as the total expenditure The authority that adopts the program must have a purely economic thought more than
that remains inside the country, benefits the development of companies and human the accounting thought that focuses on allocating purchases to external companies at
cadres, and contributes to enhancing the economic productivity of the Sultanate. It a lower price.
also contributes the Omanization of jobs that require skills in contracting companies,
increasing purchases of local goods and services while contributing to the development Second: Enactment of new law or new chapters in the Procurement Law or the Tender
of local companies. Board will be as legal framework that defines the responsibility of the authorities in
implementing In-country value and not leaving the subject voluntary to the authorities.
The Sultanate’s experience in applying ICV through the oil and gas sector by developing
ICV strategy (2013-2020).This strategy aimed to prepare a local supply market for Third: On the executive side, an independent unit must be established or the units
oil and gas industry that is competitive and sustainable, and to enhance the skills of associated with tenders and procurements should be restructured in order to follow
citizens in this sector. up on the project and be responsible for supervising the activation of local content
in government procurement. I believe that the Tender Board is the most appropriate
By studying the opportunities available in the energy and minerals sector, it was found authority to implement the In-Country Value
that there are golden opportunities in employment and training sector in the Sultanate.
Therefore, contracts were concluded with local private companies to apply the In- There must be a mechanism for contracting and purchasing to ensure applying ICV in the
Country Value strategy. According to figures and statistics issued by the follow-up unit content of tenders and purchase orders, and to improve and review the governmental
at the Ministry of Energy and Minerals, which adopted the In-Country Value strategy, we oversight mechanism in procurement, along with emphasis on the importance of
find that local companies have made great proven strides in this field by virtue of their analyzing the sectors in which there are chances of success for this concept according
volume of spending in the local market or level and volume of production. to a set of criteria.
The In-Country Value is one of the most important tools for implementing the How does the application of ICV pave the way for localizing the Omani industries and
Sultanate’s vision 2040 in economic diversification and industrial strategy 2040. In services?
industry, its application aims to develop the manufacturing sector and its sub-sectors,
by increasing local manufacturing opportunities, enhancing the purchasing power of The localization of various products and industries, such as the military or medical, or
the national product and related services, enhancing the efficiency of national cadres, products that are included in the manufacturing industries or oil and gas services, is
making use of Omani competencies and creating job opportunities for citizens. a very important matter, especially since the importance of local products appears in
times of crisis.
Is the concept of ICV clear to decision makers in the Sultanate, especially to the Tender
Board and procurement departments in government and private agencies? For localizing the industries, we need full transparency of information related to projects
and purchases expected within the next five years, to know the opportunities available
I think there is some confusion as regards the definition of In Country Value in the to local companies and its economic feasibility and their ability to meet the needs of
Sultanate, although there are many relevant successful models in various countries of those projects without importing components and tools from abroad and relying on
the world. We find countries that establish bodies specialized in the promotion of local the local component. For example, the munitions production factory, we succeeded in
content, such as (the Local Content Authority) in Saudi Arabia. There are also other completely localizing that industry by relying on the local product.
countries that link large purchases to the local content through tender boards or the
Ministry of Finance. There are also golden opportunities in the hotel sector, which imports its requirements
from abroad, and here we hope that the Ministry of Tourism will announce the needs of
Government Authorities, which regulate the main sectors within the country and have that sector and its annual consumption to give the opportunity to local companies to
large purchases such as electricity, water, roads, infrastructure, security sector, health, provide these requirements according to the highest specifications and at competitive
or the Tender Board, have a role in implementing the In-Country Value Program. These prices.
authorities have high government expenditures and large development projects, part
of which should be systematically allocated to local companies, whether small or From your point of view, how can government and private agencies be encouraged to
medium, in accordance with clear legislation, or set aside for training and employment apply ICV?
of Omanis. In the industrial sector, the Ministry of Commerce and Industry has supported the
• What are the successful steps in implementing the ICV program in light of your industrial facilities that apply this concept in terms of manpower requests, giving them
experience in this field and your membership in many ICV committees? preference in tenders and facilitating their access to work, in coordination with the
concerned authorities.

54
 ICV Achievements

The ministry has also set standards for ICV in evaluating the Sultan Qaboos Award for • National Capacity Strengthening Program.
Industrial Proficiency, such as promoting the national product and making greater use
of the Omani competencies within institutions, as well as supporting small and medium • Small and Medium Enterprises Development Fund.
enterprises by granting them some tenders and contracts. • Youth Skills Development Program.
Putting into practice the decision to allocate 10% of tenders to local suppliers and • Oman Aviation Academy.
support the national product, while simplifying the procedures to this implement
decisions in order to support national industries and products, the growth of the • Science, Technology, Engineering and Mathematics curriculum.
economic movement and the availability of job opportunities.
• Advanced Cyber Security Academy.
In tourism sector, ICV-implementing entities and hotels may obtain a tax exemption or
• Steyr Advanced Maintenance Center.
a green card to obtain the relevant licenses in tourism or to obtain priority for tourism
promotion. • The Palm Central Laboratory Project, and the Modeling Project in the Innovation
Complex in Muscat.
Do free trade agreements impede the investing companies to apply the ICV?
• Ta’ziz Project 1.
We respect the freedom of international trade and import and export standards,
which do not prevent the establishment of specific controls that oblige companies to • Partnership project with the Oman Technology Fund.
apply ICV. For example, Britain in 2009 relied 100% of its military purchases on local
companies. There is also a law in the United States of America from 1931 obligating • Oman Cables Project to enhance In-country value and train and qualify Omani cadres.
international companies operating under contracts with the US government to allocate We review the most important models of our “Oman Aviation Academy” and the main
a percentage of their business with American small and medium companies. objective of its establishment is to increase the local content in the training of Omani
If we touched upon the Partnership for Development program “Offset”, how would you pilots. It is the first technical academy specialized in aviation training in the Sultanate,
evaluate it as an initiative that was close to establishing the future of enhancing local according to a joint cooperation agreement with Oman Air. The Academy aims to
content? provide training and educational services in accordance with international standards
that comply with the principles and controls of the European Aviation Safety Agency.
The “Offset” program, whereby foreign partnerships that have contracts with The academy offers an air transport license approved by the European Aviation Safety
government related to construction, procurement and infrastructure projects are Agency, which enables its holder to fly within local and international airlines.
obligated to reinvest a specified percentage of the value of contracts concluded with
them in development projects according to specific controls and standards. It is also We have also established a “Center of Excellence for Advanced Communication
one of the strategic economic tools that aim to encourage investment, transfer modern Technologies and the Internet of Things”, which deals with 5G and Internet of Things
technologies, and build national cadres in the defense sector and other sectors. This applications, in partnership with the Swedish company Ericsson, a leading provider of
program is applied in more than 80 countries around the world. data and telecommunications systems. The project will be implemented by Ericsson’s
fulfillment of its commitment of the Offset Program with the Ministry of Finance, by
The history of “Offset” began on 2000 in the Ministry of Defense, then a year later the providing 5G latest devices and technologies in the and the Internet of Things, in addition
first regulation for the Partnership for Development Program was issued, and in 2008 to training and qualifying the human cadre operating the center. The company will
the management of the program was transferred to the Ministry of Commerce, Industry also implement training programs that include workshops, training camps, specialized
& Investment Promotion. In 2014, Royal Decree No. (9/2014) was issued regarding the professional courses and orientation programs, targeting participants from institutions
establishment of Omani Authority for Partnership for Development (OAPFD), and related to the telecommunications sector and commercial and industrial institutions,
currently the authority follow up on 19 projects in the operational phase. in addition to students of academic institutions, researchers and innovators of Omani
youth.
The most important projects of OAPFD?
• The electronic system of the Partnership for Development and In-Country Value
Program (A system for linking offset opportunities between committed international
companies and local companies).

55 Achievements ICV
 ICV Achievements

Khalid bin Sulaiman Al Farsi

Purchase and Contracts Manager Oman India Fertiliser Company SAOC (OMIFCO) is a world class modern
manufacturing facility with two identical lines for the production of
agricultural nutrients (Ammonia and Urea) in the industrial city of Sur
(Madayn) in the Sultanate of Oman.

OMIFCO is fully committed to the ICV Blueprint Strategy

introduced in late 2013 in the Sultanate of Oman.
OMIFCO has been making an effective and significant
contribution to enhance ICV and achieve the objectives
laid by the Government under the ICV program. Opportunities
We are proud to announce that we have achieved a high There are some promising opportunities that can be captured by the
percentage in ICV, which is more than 51% of the total local market in manufacturing, providing wear and tear spare parts,
spending during 2015-2020. OMIFCO is committed to medium technology spares, in addition to various standards metals,
enhance this achievement through follow-up, research plastic and rubber spare parts used in periodic maintenance work.
and utilizing all available opportunities. We sincerely as well as a wide range of chemicals and various technical, industrial,
believe that OMIFCO has a vital role to play towards ICV marine and logistical services, in which most companies operating in
and the resulting contribution to the local economy the field of oil, gas and petrochemicals participate.
and employment.
To reflect on this commitment, OMIFCO has
developed guidelines and key performance indicators Projects
to enhance the ICV within the framework of relevant OMIFCO has awarded many high value projects to local companies
local rules and regulations. Further, we maintain close and SMEs in the field of manufacturing, construction, marine
communication with other companies in this field to services, maintenance and others.
exchange experiences and initiatives to ensure the
largest possible contribution. OMIFCO and its main Activities
contractors submit ICV returns on a quarterly basis, Production of agricultural nutrients (Ammonia and Urea)
which helps monitor ICV progress and identify new
opportunities or any gap analysis.

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56
 ICV Achievements

In Country Value
Achievements

Purchase of Local Goods and Services

Fixed Assets Investments

Purchase value of local
products amounts to 10 US$ Million annually

which varies from year to year as per need. OMIFCO attached great
OMIFCO was established in 2003 with attention to increase purchases from manufactured goods in Oman
investments amounting to as well as services provided by local institutions. This will provide
new products across the supply chain and introduce new relevant

968
technologies.
US$ Million

and is headquartered in the industrial city

of Sur (Madayn). It also has its own pier for Local Supply of Subcontracted Services
exporting ammonia and urea.
OMIFCO encourages all major contractors to support and develop
local subcontractors to build up their technical capabilities and attain
Employment of Human Resources the highest standards.

Omanization
79% Develop and Support SMEs
OMIFCO seeks to develop local Omani human
resources at various levels and specializations
in the company, in accordance with the well-
studied plans and programmes. 107 beneficiaries of SMEs
Development Programs

OMIFCO provides support to SMEs by:

1. Giving them priority while purchasing, wherever possible.
Training and Qualification
2. Stimulating the local business sector and providing support, technical
OMIFCO provides training courses for all the and vocational development.
company employees, at a rate of 3. Training and financing through various programs such as “The CELL”

1000
and “Wasel” programs. More than 80 young entrepreneurs benefited
beneficiaries annually, through three sessions of The CELL program. On the other hand, “Wasel”
program, which started in 2019, so far 27 SMEs have benefited.
in various fields, including specialized technical and
administrative, personal skills development, professional
and leadership competency. OMIFCO has established
a specialized center for talent development, which in
turn, provides professional training and development Technology Localization
programs for employees. The center also provides
effective training programs for Omani students from OMIFCO works with advanced technologies. Despite that, the company
various universities and colleges enabling them gain seeks to localize any possible technologies wherever there are local
practical experience that will hone their professional capabilities and opportunities available.
skills and prepare them for their future jobs.

57 Achievements ICV
 ICV Achievements

In 2008, Petrogas was awarded a service contract to operate the Rima

Satellite Small Fields (RSSF), leading to the creation of Petrogas Rima
LLC. Petrogas Rima LLC is the operator for the RSSF service contract
Usama Al Barwani with Petroleum Development Oman (PDO). It has a 75% contract
investment, and the remaining share is held by Oman Oil Company
CEO - Petrogas E&P E&P LLC (OOCEP). These onshore fields are located in the southeastern
part of Oman.

“One of our core values at Petrogas is ‘giving back’. Since 2008, Petrogas has a proven track record of Petrogas RIMA’s
This is not just for ICV activities, but also for the way performance that exceeds customer expectations. Because of the
Petrogas conducts its daily operations. company’s strong will to achieve success, the company relies on an
We constantly strive to do our part in uplifting the enthusiastic national team working to overcome technical obstacles
country’s economy. We are particularly proud of our and unlock new capabilities in these challenging fields, that are
Omanization level, which shows our belief in the Om- operated with satellite technology.
ani talent, as well as our interest in supporting SMEs.
We aim to work hand-in-hand with the government
to continue supporting local industries and drive ICV
higher each year.

“Most importantly, we look forward to the day, when

supply chain can be anchored on ICV as the most sen-
sible business choice, thus local products and services Opportunities
become the default choice for corporations.”
• The current situation provides a key opportunity for
Omani companies and especially the local supply chain. As
the challenges faced by the global supply chain increase,
more and more Omani SMEs are competing to provide
goods and services to corporations. When these SMEs
build their experience and work on providing competitive
services, they will play a more crucial part in the supply
chain, which will in turn lead to a self-sustaining ecosystem
for the sector in Oman.

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58
 ICV Achievements

In Country Value
Achievements

Develop and Support SMEs

Human Resources Recruitment
Petrogas recognizes the professionalism of
local companies as well as the need to support
Omanization
local entities. Rima has set up a Ring-Fencing
96% initiative whereby we work with Jalmood
National LLC in roads construction and
in Petrogas in general. In Petrogas Rima we Drilling Locations, as well as the Maintenance
have achieved the highest Omanisation rates of Access roads and drilling water wervices.
in the sector, up to 99%. AA similar agreement was entered into with
Ryboa Haima Trading Co.L.L.C by giving it
the right to provide and maintain operations
support services in the fields.
Training and Qualification
These agreements ensure that millions of
over Omani Riyals remain in the Sultanate and

10.333 help support the next generation of small and

medium enterprises.
hours of training, for the company’s
employees, which contributes in
raising the local knowledge and skills. Technology Localization
Petrogas required Rima to produce energy and
some chemicals in the Sultanate, in addition to
Purchase of Local Goods and Services other parts such as wellhead junction boxes, sur-
face installation cable kits, and armored caps.
99%
Local goods and
operating services
More than 99% of the goods and services
provided are purchased through local
companies registered in the Sultanate.

59 Achievements ICV
 ICV Achievements

TRUCKOMAN, established in 1978, is a leading oilfield logistics company,

specializing in three core activities: Oil and Gas Industry Logistics, Supply
Chain Management and Integrated Logistics Solutions.
Kris Fidler
TRUCKOMAN operating facilities strategically placed across Oman:
CEO Muscat, Jiffnein, Nizwa, Adam, Safa Khazzan, Haima, Duqm, Nimr and
Marmul.

As a leading provider of logistics services in the

Sultanate, we have spent much time and efforts in
developing a large Omani workforce - with the valued a
continuous support from PDO and bp. We have qualified • Truckoman is a an Omani company with 300+ staff as its
Omanis for senior and important positions with a vision shareholders. Truckoman holds ISO 9001:2015, ISO 45001:2018 and
to make remarkable progress for the promotion of ISO 14001:2015.
Omanisation in the future. As a result of these efforts,
we have one of the largest and most effective Omani
workforces as compared to any logistics company in Group Activities
the Sultanate.
• Land rigs, camps transport • Equipment and vehicle rental,
• Freight transport, • Road safety management,
• Heavy transport • Military and logistics services
TRUCKOMAN has always procured majority of the
• Supply yard management, transportation.
products and services from the resources available
• Warehouse Management
within Oman, such as food, fuel, insurance and bank
- specializing in resource
services. On the other hand, products manufactured
management support for oil, gas
abroad, such as trucks and spare parts, are purchased
and logistics sector,
through local Omani agents.
All these national initiatives are focused to achieve Opportunities
higher ICV, which enhances the trade performance and
increase investment movement in the nation’s local TRUCKOMAN plans to own the largest logistics network in the con-
market. cession areas in the Sultanate. Hence, we have invested in bases at
Marmul, Nimr, Haima, Adam, Nizwa and Safah and currently investing
Our orientations are still valid to achieve higher rates in facilities at Haima, Safah and Duqm.
in the next stage, which will be represented in hiring
national cadres and supporting SMEs,and attract
technology and localizing it in the market.

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60
 ICV Achievements

In Country Value
Achievements

Purchase of Local Goods and Services

The volume of spending on local goods reached

Human Resources Recruitment 1.5 million Omani Rials annually,
4.5 million in the last three years.
1200 which comprises
number of group employees Local products and services such as food, fuel,
insurance and banking services are purchased

40% Omanization
directly in Oman.

Local Supply of Subcontracted Services

Fixed Asset Investments
5.2 million Omani Rials Rials spent
during the past 3 years
3 Million Omani Rials have been invested as
fixed assets in the last three years. • Vehicles, • Lighting,

9 Million Omani Rials, in the next 3 years. • Equipment,

• Generators,
• Manpower.

• Heavy vehicles, • Workshop expansion,

• Equipment and • IT infrastructure,
machinery, • Storage facility.
Develop and Support SMEs
Training and Qualification
The Company has completed more than 3.3 million Omani Rials, during the
past 3 years to support SMEs.
43,000 hours of training during the past three
years in a number of management disciplines. Contracting with:
• SMEs
• HSE Training, • Local community companies
• On-the-job Training, • Large community companies.
• Technical skills,
• Personal skills,
• Online Training.

61 Achievements ICV
 ICV Achievements

Ali bin Rashid Al Matani ICV, Meaning and Significance

Journalist

Governments in countries around the world seek to enhance the ICV of projects and eco- what the government pays for contracts and procurements (for which, the value exceeds
nomic works in them, with the aim of enriching local markets and benefiting society OMR 5 Million), equivalent to what these companies can implement, in terms of vital pro-
from internal purchases and services, instead of importing from abroad. Many of these jects for the country and are considered a local ICV to the national economy. It is a posi-
governments enact mandatory ICV legislation, but even give preference in many tenders tive development in promoting and enriching the economy through these programs and
to the money that companies can inject into the economy. through localizing funds, techniques, technology and knowledge in the Sultanate because
of its great importance.
At the local level, the Government has increased ICV in all businesses for national and
foreign companies through the requirements that they organize the ICV and through an On the legislative side, the privatization law and the publicprivate partnership law is one
attempt to consolidate this concept in the business community. However, the concept of the most prominent legislations. It obligates the companies that get contracts worth
of ICV is still at its nascent stage and needs a lot of indicators that assess the contribu- more than five million riyals with the government administrative units (civil, military and
tion of institutions in this bright side and also needs legislation and laws that make ICV security system units) and companies in which the government contributes more than
binding as one of the ways to revitalize the national economy and provide a high value for 50%, and investing a specific percentage of contracts concluded with them in certain eco-
achievement in this country towards the benefit of the country and citizens. It is essen- nomic projects according to specific controls.
tial for all government institutions and companies to work to organize this aspect in the
next phase better than it is now by finding a national value of ICV and accurate indicators Indeed, the law and in the third clause, obliges the Administrative System of the Country
to assess the contribution of different economic businesses in promoting ICV. (civil, military, and security) and companies, in which the government contributes by more
than 50%, including the contracts of infrastructure projects determined by the Council,
The definition of ICV is, “it is the value of spending in the country from purchases of the contracts of arms and security supplies and security supplies that exceed 5 million
goods, services and human resources programs from employing, training and other as- riyals Omani, a clause that provides for the commitment of parties to the advantage of
pects that contribute to the recycling of capital within the country.” However, the ICV in dealing with (Tawazon) program, which is a significant development that promotes the en-
our country as an essence value is still far from being organized and this requires a na- richment of the national economy and activates domestic markets and the Communities.
tional authority or an institution that deals with local ICV as one of the foundations that
can enhance this aspect and create frameworks and policies organizing the added value The ICV of national and foreign companies can only be achieved through direct partner-
and determine how accurately it can be assessed, multiplying its benefits. Investment ship within the framework of contract implementation, which is the total expenditure
at the local ICV is very necessary in the next phase, it might multiply the benefits to the retained inside the Sultanate, such as the executing company purchasing raw materials
economy and society, and rewarding the companies that contribute to this aspect by from the Sultanate’s factories instead of buying them from abroad, as well as through indi-
enabling them more business in the country. rect partnership implementing vital projects in the Sultanate that are not directly related
to the execution of the main contract.
Today, there is an important institutional and legislative gap for organizing domestic ICV
and creating framework of this aspect. Some companies contribute to this, but their There are good attempts by many national companies to implement the ICV through clear
contribution is not for the benefit of society by enriching local markets and promoting programs, projects and effective contributions that consolidate the concept of ICV and
national competencies, which make them equal to other institutions that do not care are announced from time to time. This requires that it be one of the criteria for evaluating
about this aspect and import their requirements from abroad and depend on foreign the performance of entities and companies because of its great importance at all levels.
cadres and do other practices that gradually weaken this aspect and national aspects
becomes just images to achieve time goals through inappropriate practices. Of course, the concept of ICV within the framework of (Tawazon) program is different
from corporate social responsibility, as it is broader than that, it is related to how to enrich
Enhancing the local ICV and making system for it under careful supervision will make the national economy through these contracts, and to find a balance between the money
companies racing to give this side the major and maximum importance and therefore going out of the country and what the government pays for, in millions of riyals (the con-
economic gains will be achieved in the country’s capital rotation and benefit from the tract value is more than five million Omani riyals).
community capabilities and enhancing the areas of social responsibility, community
service, environmental and natural resources and their sustainability until it becomes a We hope that the ICV in the Sultanate will develop and be enhanced in quantity and quality
culture achieving our aspirations for a better future. The experiences of the Sultanate in by finding a concerned authority, that specializes in this important aspect, evaluating the
the local ICV are represented in partnership to enrich the national economy and markets experiences of companies and authorities in dealing with this vital aspect, and finding
and to give local value to the contracts and tenders. These efforts have been successful clearer indicators in the local valueadded methodology, which contributes to enriching
in the establishment of Partnership for Development in 2014 as the first independent the national economy, developing and qualifying national cadres and transfer of knowl-
entity and in August 2021, it was integrated into the Ministry of Finance. There was a de- edge and strengthening the private sector.
partment in the Ministry of Defence since 1999, handling military procurement and in the
Ministry of Commerce and Industry in 2008, to enrich national economy through con-
tracts, finding a balance mechanism between funds gone out from the country through

62
 ICV Achievements

Aqla Al Maskari Local Added Value and its Impact

Director of ICV program Management Office on the National Economy
Ministry of Energy and Minerals (former)

In country value is extremely crucial to the national economy for its positive impact on As a part of the energy sector’s efforts to localize goods and services, ICV elements
social and economic development and the diversification of the national income through have been included in all contracts with a unified evaluation mechanism. Furthermore,
localization of the supply chains, in addition to attracting foreign investments. Therefore, a unified system has been established for monitoring and reporting on companies’
this important economic pillar has been given the highest priority in Oman Vision 2040. performance, in relation to these elements, under the supervision of the ICV program
Management Office at the Ministry of Energy and Minerals.

In line with the rational government directives to enhance the local content and achieve Among the sector’s efforts to empower the national companies, A Local Vendors
the desired economic goals, the energy and minerals sector has played a leading role in Development Program was initiated with the aim of upgrading the capabilities of the
formulating the strategy of the ICV Program with the aim of developing a competitive and national companies, including SMEs. It strives to increase their competitiveness and raise
sustainable local market and enhance the ICV development environment. their market share by defining and allocating a portion of contracts and procurement for
the national companies only.
The ICV strategy is based on developing the competencies and capabilities of the national
workforce, which will contribute in raising the Omanisation rate, especially in middle and With the increasing interest in ICV and to make maximum benefit of the joint efforts and
higher technical jobs. It also aims at raising the efficiency of vocational and technical initiatives from several sectors - which aim at developing the local market and containing
training institutes to match international standards. Moreover, it seeks to encourage and and circulating the largest possible amount of funds within the national economy - it
expand the local production base of goods and services. has become necessary to work on a national ICV strategy for all sectors. In addition to
establishing a unit or an entity dedicated in managing this program by setting basic
The Ministry of Energy and Minerals has formed a principal committee to oversee the standards for ICV, which center around raising the Omanization rate, especially in middle
performance and progress of the ICV program. and senior job levels, as well as encouraging increased consumption of local goods and
services.
The committee includes in its membership chief executives and general managers of the
most important companies operating in the sector from upstream to downstream, in The role of the supervising unit should include but not limited to the following:
addition to some relevant government agencies with common interests.
• Enacting legislation and policies related to the ICV.
The Ministry, in close cooperation with the main companies in the sector, has supervised • Defining performance indicators to measure the ICV and the institutions’ contribution
the implementation of several initiatives to enhance the added value, the most important in achieving it.
of which is conducting a study, analyzing the gaps between supply and demand in the • Establishing a unified system for monitoring and reporting the performance and
field of goods, services and skills. The study identified several investment opportunities contribution of institutions to the ICV.
for the purpose of localizing industries and providing services locally. It also identified a • Establishing a unified procurement system (Framework Agreement) by coordinating
number of new job opportunities for operating and contracting companies and service between the different authorities and determining joint procurement opportunities
companies, along with training opportunities to develop the skills and capabilities of the to reach to better deals with the investor or foreign supplier.
Omani workforce, so as to replace the expatriate workforce. • Establishing a database of local goods and services for each sector, provided that, this
list is mandatory and given priority in the government and private procurement.
This was followed by the establishment of the ICV Program Management Office at the • Disseminating and raising awareness of the concept of ICV and its positive impact on
Ministry of Energy and Minerals to manage, facilitate and support the delivery of the society and individuals and solidifying it as a work methodology in the strategies of all
projects. In addition to the launch of the Joint Supplier Registration System (JSRS) for the governmental and private institutions.
oil and gas sector. The system aims to highlight the local companies and institutions of all
sizes to present themselves to the wider base of local, regional, and international markets. One of the critical success factors of the ICV program is the decision-makers’ conviction
It also smoothens the process of communication and dealing between companies in the of the importance of ICV and its benefits as an economic pillar. Despite it being costly
field of contracts and procurement. One of the most important advantages of the unified in the short term, it contributes creating many opportunities which in turn, results in
registration system is that that it will enable the Ministry to supervise and ensure the creating competition and thus, decrease in prices of goods and services.
commitment of operating and contracting companies to allocate 10% of the works to
SMEs (E-Tendering). In conclusion, ICV represents an important mechanism that will support the diversification
of the national economy and mitigates the dependency on oil related resources. For
these reasons, ICV acts as a proactive catalyst that will minimize the impact of any future
economic downturn.

63 Achievements ICV
 ICV Achievements

Since commencement of operations in 2006, Abraj Energy Services SAOC has

grown from a company of under 500 employees, to over 2200 employees.
The Company has consistently managed to increase the employment of Omani
nationals at different level in the organization.
Abdullah Al-Hady Abraj has come a long way since inception in recruitment & Omanization
achievements, as it currently stands at 92% companywide.
Manging Director

Since the inception of Abraj and even before the

announcement of ICV Blueprint Strategy in late Services:
2013, maximizing local content was bearing high • Drilling & Workover Division
consideration on Abraj’s decisions. The ICV is an • Drilling Rigs Services
important objective for us to drive sustainable local • Casing Running Services
content growth through procurement localisation and
manpower skills development.
We, in Abraj, are fully committed in maximizing the Workover Services
ICV in order to achieve the fundamental objectives of • Well Services Division • Flowback Services
Oman sustainable development through development • Well Intervention Services • Well Testing Services
of Omani resource skills as well as enhancing local • Pressure pumping Services • Cementing Services
capabilities by increased local sourcing of goods and • Coiled Tubing Services • Hydraulic Fracturing Services
services.
Abraj takes pride in its efforts in Omanization where Opportunities:
it has become one of the highest in the industry with
dedicated in-house training facilities to develop staff There is a gap in manufacturing, especially in the area of chemicals and Wells
technical skills. equipments, where the expenditure is in excess of US$ 150 million annually. The
manufacturing in Oman needs to be for full production instead of assembly only. In
Sourcing of “made in Oman” goods and services takes addition, there should be an incentive for utilizing goods “Made in Oman”
a priority in Abraj by maximizing procurement of
goods manufactured in Oman and services provided
by Omani companies. We have also supported local Project:
manufacturers technically in developing and improving Abraj has embarked on a project with the United Petroleum Industries Company to
the production and quality of their products. manufacture solids separation equipment and accessories during drilling operations
in the Sultanate.
The project started with testing the product on two rigs. Today the product is being
used on nine Abraj rigs across many clients i.e. PDO, Petrogas, Medco, CCED, etc. after
convincing them of the quality being offered in addition to being made in Oman. Prior
to the introduction of this product in the market, there was heavy dependence on
foreign products. Abraj sources out from UPI approximately 80% of the production.

64
 ICV Achievements

In Country Value
Achievements

Purchase of Local Goods and Services

Human Resources Recruitment there are more than
800 approved local suppliers

a large number of are from SMEs, as well as Local Community Con-

Since its inception in 2006 tractors (LCC) operating within the oil and gas concession areas.
over Omanization The share of national companies in 2020 was about 57% of the total

2200 92%
spending of Abraj. The share of goods made in Oman out of the men-
tioned percentage was 45% .
employees 71% in leadership positions

Fixed Asset Investment Local Supply of Subcontracted Services

Since inception, Abraj has

invested close to a 1 Billion US$ Abraj continues to acquire the majority of services through lo-
cal companies whereby in 2020 its total spent reached 95% in
services and the share of SMEs & LCC total spend reached 16%.
in fixed assets such as: Rigs, FRAC Units, Cementing Units,
Camps, Workshop facilities, Offices, etc. We relied on local
sources for a large part of our investments.
Develop and Support SMEs

Training and Qualification Abraj target for SMEs spend in 2020 was set at 10%. At the begin-
ning of 2019, Abraj management had set out an ambitious plan
In an effort to create specialized workforce, Abraj constantly strives in support of SMEs in an attempt to achieve the above target.
to provide high quality structured training programs to enhance Abraj managed to maximize the spend on SMEs where the actual
the skills and develop competency of staff in various disciplines i.e. percentage reached 17%.
electrical, mechanical, drilling operations and maintenance. The
objective is to provide employees with the requisite knowledge and
transfer of skills for effective engagement on every task undertaken. Technology Localization
All training programs are done in house at our training center by
qualified personnel. Our training programs have gained international Abraj have developed numerous technologies using its in-house ca-
accreditation from the International Association of Drilling Contractors pabilities and local workforce in the area of fracturing and cement-
(IADC) and the International Well Control Forum (IWCF).. ing. Our technologies have been approved by oil and gas operators
and Since then, these techniques have been used.

65 Achievements ICV
 ICV Achievements

Worley is a leading global provider of professional project and asset servic-

Jelle Nederstigt es in the energy, chemicals and resources sector. Worley delivers projects,
provides expertise in engineering, procurement and construction and offers
Sr. Vice President Oman a wide range of consulting and advisory services. We cover the full lifecycle,
from creating new assets to sustaining and enhancing operating assets, in the
hydrocarbons, mining, mineral, metals, chemicals, power and infrastructure
sectors.
In-Country Value (ICV) forms a part of our in-tegrated
Worley has a market leading In-country Value (ICV) strategy for Oman, evident
approach to delivering social perfor-mance in our oper-
in our recent achievement of 45% Omanisation. Worley is proactively pursu-
ations and in our projects. Hence, we are committed to
ing ICV objectives as an organization and in support of our customers’ needs
assist with devel-oping world class / SME scale enterpris-
across various contracts.
es capa-bility in vocational and professional education,
training and research institutions in Oman, matched to
actual industry opportunities.
Requis is Worley’s solution for a cloud based B2B market-
place. The Requis marketplace will provide the opportu-
nity for Oman’s oil and gas operators to increase capital
returns on their surplus equipment / scrap and materi-
als. Req-uis has successfully helped repurpose 132,000
tonnes of material and equipment within Oman for reu-
tilized / recycling purposes. “Omanisation is an integral part of our delivery strategy for every
Over the past year we have delivered renewa-ble energy project we execute in Oman. With an Omanisation rate of 45% (of
and waste-to-energy solutions sup-porting the energy Worley direct staff), Worley Oman is one of the largest employers
transition as well as plas-tics-related circular economy of Omani’s amongst our peers. For every project we deliver we
projects. We are committed to bring this Worley global aim to not only deploy Omani employees but also develop our
expertise to Oman” Omani employees into more senior roles. We have been most
We also support circular economy solutions through successful in doing this on our long-term contracts and we see
our Requis platform. Requis connects buyers and sellers these contracts with our clients as an excellent opportunity to
online, encouraging the re-use of redundant and excess continue to develop and increase our Omani workforce”
materials while reducing demand and decarbonizing
supply.

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 ICV Achievements

In Country Value
Achievements

Human Resources Recruitment

Worley’s direct employees in Oman are currently over

Fixed Asset Investments 45 % Omani nationals.

we have recruited thirty one (31) graduates between

Over the past years we have invested significantly summer 2020 March 2021 in multiply technical and
in fixed assets, including establishment of the non-technical disciplines with professional development
office, transportation vehicles, computing and program.
communications equipment, signage, furniture
and fittings, and general facilities within the
office environment. Purchase of Local Goods and Services
On previous contracts, over

Training and Qualification 9,500 sub-contracts

have been issued to various LCCs in Oman. We also
Worley has implemented a long-running Oman office prioritize the utilization of the local JSRS system and
Learning and Development Plan, through which we ensure fair and equal participation from various Omani
have trained over organizations for both products and services.
600 Omanis
over the past 28+ years, utilising a five-phase Develop and Support SMEs
capability development approach which takes a
holistic view of organisational and project needs, and Worley works to support the performance of local
capability demands. subcontractors by identifying opportunities for
Worley is aligned and committed to the investment knowledge transfer, providing access to appropriate
requirements of the Training For Employment training opportunities and providing continuous
scheme. Our focus is on growth and performance feedback on their performance with recommendations
of our Omani nationals. Worley recognises that the for improvement.
TFE spans a number of categories and will adapt to
the use of existing TFE programs where appropriate. • Ambassador scheme, where experts from the
To manage the requirements and track the success company will be mentoring project team staff to
of the program candidates, a series of resources and enhance their knowledge and skills.
tools will be utilized. • Workshops and forums for the management of
selected Omani .

67 Achievements ICV
 ICV Achievements

Mohsen Saleh Khawar

Chairman

SOSCO for oil services is one of the Super Local Community Companies, it
The in-country value in oil companies is a key pillar for was incorporated in 2011 based on Royal Directives of the late His Majesty
national economic growth, based on various standards, Sultan Qaboos bin Said, May God rest his soul in peace.
in particular: fill posts with qualified Omani cadres SOSCO is sponsored by the Government since its inception.
trained in state-of-the-art methods, support national SOSCO number of shareholders reached 2062.
products and goods produced and manufactured in
the country.
Therefore, we have to recognize the importance of
increasing the percentage of purchases from national
production. One of the important standards and a as Activities and Services:
key pillar in creating movement and activity in other • Slickline Services
commercial sectors, is the support of SMEs operated • Pumping Services
by Omanis. • Well Production and integrity Surveillance
On the other hand, if we look at the importance of • Well-head maintenance
localizing technology in a number of fields involved • Well Integrity Services to ensure individuals
in the oil and gas industry, this in turn will constitute and environment safety.
support for the development of the technology sector
in Oman.
SOSCO made a remarkable progress in the in-country
Opportunities:
value consisting of localization of jobs, through training Al Sahari Oil Services Company looking forward to expand its
and development of new employees and attention must scope of work, Where the company and its management work-
be given to the employees to keep up with the technical ing to develop the company continuously in order to cope with
developments in this field and also supporting local the market demands.
SMEs through goods and services supply by entering
into contracts with this company. Achievements
In addition to working with international companies One of the company’s biggest achievements is, investing in man-
with long-standing in oil field, to localize modern power. As a result of the continuous training and qualification,
technology, train and develop omani engineers and the creation of leaders, technicians and applied engineers has
technicians. enriched the Omani labor market.

68
 ICV Achievements

In Country Value
Achievements

Purchase of Local Goods and Services

Goods and services in local
Human Resources Recruitment market constitute over

Total of employees
reached Omanization
90 of the total
% purchasing
which equals to 15% the total of company
221 93% annual expenditure.

Develop and Support SMEs

Fixed Assets Investment
The annual expenditure on the local com-
The company
5 Million Omani Rial panies and SMEs is more than

22%
invested more than
of the company’s total expenditure
To purchase equipment, well maintenance
and survey tools. SOSCO has a significant role in supporting SMEs through
direct support by purchasing, availing services or
through administrative and technical support, that open
Training and Qualification opportunities for these companies to obtain contracts or
sales promotion.

65
More than Thousand Omani Rial
were spent annually.
Technology Localization
• Train and qualify number of the concession area
citizens for example on-the-job training.
• The company trains not less than 10 graduates SOSCO is now working with number of international
and job-seekers annually, to let them gain some companies in new technology field, to find out solutions
experience to equip them with experience to enter and to streamline oil extraction and well safety business.
the labor market or to fill the jobs available in the Currently, the company is also working on system to
company. manage process, as well as purchasing and arranging
• Internal and external training on the new technology, finance and administrative issues.
health and safety training.

69 Achievements ICV