ICV Opportunity Catalogue

Business Opportunities in the Oil and Gas Industry

In-Country Value

الفــرص االسـتثمـاريـة

فــي قـطـاع الـنـفـط والـغــاز

القـيمة المحـلية المضـافـة

Purpose of this catalogue

This catalogue was developed in support of the Omani oil and gas industry’s In-Country

Value blueprint strategy 2013-2020 presented on December 18, 2013.

It lists all the business opportunities that have been identified by the oil and gas industry as a

result of the blueprint strategy review as of April 2013. While efforts are ongoing to identify

new opportunities such as the recently identified Security Fencing which was presented on

June 5, 2014.

Out of the business opportunities contained in this catalogue, 15 have been presented on

December 18, 2013 and 6 have been presented on June 5, 2014. The remaining

opportunities will be presented in separate waves subsequently.

Entrepreneurs, Small and Medium Enterprises (SMEs), local and international companies,

local and international investors, and any other interested entity are invited to register their

interests in the respective ICV opportunities through the “ICV Enquiry Form” available in the

website provided at the bottom of this page.

In parallel to the presentation and implementation of the below opportunities, the

ICV Committee is addressing other cross-industry opportunities engaging all relevant

stakeholders.

For more information, please contact the oil and gas industry In-Country Value’s Programme

Management Office (PMO) through www.incountryvalueoman.net

http://www.incountryvalueoman.net/

Catalogue structure

1

2

3 4 5 6

The catalogue is structured with the objective

of providing key information on the business

opportunities. Each page refers to one business

opportunity and comprises of six elements:

Category name: Highlights the category of

goods or services for which the development

opportunity belongs to. It should be noted that

some of the opportunities fall under several

categories and thus the category is set to

‘Cross-Category’.

Development opportunity description: Gives

a brief description of the scope of the

development opportunity.

Size of the opportunity: Refers to the share, in

dollar value, of the oil and gas companies

forecasted expenditure over a given period

of time, which is not yet contributing to ICV

but has high potential impact. This covers

the share of importations (of goods and

services) and expatriates compensation. For

some opportunities, the size of the opportunity

is represented by the demand forecast of the

related category.

Potential ICV: Measures the potential impact on

ICV in terms of dollar value at maturity level of

the business opportunity.

Potential job creation: Represents the number of

jobs across all levels that would be required to

meet the demand for the oil and gas industry.

The number includes both nationals and expats.

Implementation feasibility: This section assesses

the implementation feasibility of the opportunity

with regards to:

Achievability assesses the ability of companies

to seize the development opportunity taking

into account the required technology,

expertise, raw materials among others.

Viability assesses the ability to fund the

development opportunity.

Sustainability considers the return on

investment by evaluating local demand and

export prospects and comparing it to the

required investment. Other considerations

include price competitiveness, and product

quality.

Sections description

1

2

3

4

5

6

Category Reference #

Description of the Supply Chain Development Opportunity

Size of the business

opportunity over 2013-2020*

Potential ICV related to

the opportunity*

Potential job creation

related to the opportunity

Feasibility of

implementation

* Data based on the 2013-2020 forecast of the oil and

gas industry demand in Oman,

as of April 2013

For more information, please contact the oil and gas industry

In-Country Value Programme Management Office:

[email protected]

Construction support services 003

Fabrication of scaffolding and scaffold parts as well as scaffolding services

USD194 – 216 Mln USD84 – 98 Mln 397 – 440 Jobs High for

manufacturing


In-Country Value’s Programme Management Office through

www.incountryvalueoman.net

mailto:[email protected]







the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Switchboards 005

Promote switchboard manufacturing capability and product portfolio


manufacturing








Category demand forecast

over 2013-2020*


the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Cables and Accessories 006

Manufacturing of cable accessories (such as cable terminators, jointers, as well as measuring and

reading devices)


manufacturing













the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Inspection Services 010

SME development in specialist inspection services

USD280 – 300 Mln SME development Job creation within

SMEs High











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

HSE Advisory & Inspection 011

SME development in HSE advisory services

USD25 – 30 Mln SME development Job creation within

SMEs High









over 2013-2020*


the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Casing and Tubing 012

Fabrication and threading of tubulars


fabrication













the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Valves 015

Manufacturing of valves


manufacturing











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Carbon Steel Pipes & Tubes 020

Manufacturing of carbon steel pipes with large (greater than 24 in) and small (less than 8 in) diameters

USD2,848 – 3,149

Mln

Local Manufacturing (imported raw

materials)

Job creation in

manufacturing

Medium for

manufacturing











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Drilling Fluids 021

Purchasing of commodity chemicals

USD379 – 421 Mln USD96 – 107 Mln 220 – 244 Jobs High









over 2013-2020*


the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]


Manufacture of casing equipment and casing spares

USD40 – 55 Mln USD3 – 3.5 Mln/yr 20 – 60 Jobs High for

manufacturing













the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Stimulation & Fracturing Services 027

Manufacture low and medium strength Proppants


manufacturing











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Drilling Rig Services 037

Localise the development of drilling rigs

USD1,390 – 1,539

Mln USD110 – 123 Mln 1,420 – 1,570 Jobs High









over 2013-2020*


the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Pipeline Construction 057

Develop pipeline coating facilities

USD2,848 – 3,149

Mln

High potential due

to highly localized

operations

Job creation in

manufacturing Medium













the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Tank Construction 058

Tank maintenance and cleaning

As shared on

December 18th,

2013

High potential due

to fully localized

services

Job creation in

services High











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Water Treatment 059

Water production from brackish water for

drilling activities

As shared on

December 18th,

2013

Local production

(imported

equipment)

Average job

creation (less then

100 jobs)

High











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Cross-category 004

Set up regional maintenance & repair hubs around concession areas

Local services Direct and Indirect

jobs High




As shared on

June 5th, 2014








the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Engineering Design & Services 007

Promote SME development on engineering design for the manufacturing industry

USD150 – 250 Mln Medium 1,555 to 1,720 Jobs High











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Drilling Services 034

Manufacture shale shaker screens

USD16 – 19 Mln USD4 - 6 Mln 48 – 54 Jobs High











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Pipeline Inspection 043

SME development in pigging technology and pipe inspection services

USD20 – 30 Mln USD8 – 10 Mln 59 – 67 Jobs Medium











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]


Develop an engineering services hub

As shared on

June 5th, 2014 Local services

Job creation in

services Medium











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Security Fencing 062

Fabrication of high security fence and gates as well as fence and gates services

USD 180 Mln USD100 – 120 Mln

Job creation in

manufacturing

and services

High for

manufacturing





as of June 2014















the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Air Compressors 001

Assembly of screw air compressors and incremental manufacturing of low to high complexity components

USD80 – 90 Mln USD32 – 37 Mln 133 – 148 Jobs High for assembly

and manufacturing











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Drilling Fluids 002

Plantation of Guar seeds and production of Guar gum for use in drilling chemicals

USD102 – 114 Mln USD54 – 61 Mln 71 – 80 Jobs

(excluding farmers)

Medium for

production and

plantation











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]


Ensure detailed engineering and engineering management to be performed from Oman

USD2,467 – 2,728

Mln

USD542 – 602 Mln mainly through

localised compensation

1,555 – 1,720 Jobs High











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Cross-construction categories 009

Sourcing of construction material and equipment

USD3,878 – 4,288

Mln USD464 – 515 Mln 577 – 639 Jobs High









over 2013-2020*


the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Non-Metal Pipes & Tubes (HDPE, GRE & GRP) 016

Expand the product range of GRE pipe local manufacturing


manufacturing













the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Fire, Safety & Environment Equipment 017

Develop world-class quality for fire, safety and environment equipment

USD45 – 51 Mln USD22 – 26 Mln 34 – 39 Jobs Medium for

development











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]


Manufacture casing locally


manufacturing











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Cross Category 019

Manufacture insulation material


manufacturing











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Reciprocating Compressors 022

Maintain and repair reciprocating compressors with incremental increase of maintenance scope

Data is under

collection Local services

Job creation in

services

Medium for

maintenance and

repair











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Drilling Fluids 024

Blending of defoamers

USD60 – 80 Mln USD5 – 7 Mln 22 – 25 Jobs High for blending











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Chemicals for Production 025

Blend demulsifiers, H2S scavengers, oxygen scavengers, corrosion and scale inhibitors

USD160 – 210 Mln USD37 – 43 Mln 128 – 142 Jobs High for blending











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Cross Category 028

Manufacture main mechanical spare parts (such as joint bearings,

shafts, sleeves wear rings for pumps, air filters for generators and

turbines, shafts, sealants, bearings, air and fuel filters for engines, tubes,

plugs and seals for heat exchangers, and seals for ball valves)

Data is under

collection

Potential ICV due

to broad range

of products

Low to average

job creation in

manufacturing

Medium











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Generators 032

Assemble low voltage generators with target to incrementally increase scope to manufacturing












the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Cementing Services 033

Fabricate vehicle mount tankers


development











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Generators 035

Maintain and repair low voltage generators and incrementally increase scope of services to serve higher

voltage generators. Expand to include manufacturing

of low voltage generators


High for

maintenance

and repair











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Electric Motors 038

Maintain and repair low voltage electric motors and incrementally increase to include high voltage

electric motors

Data is under

collection

Data is under

collection

38 – 43 Jobs

(manufacturing

jobs)

High for

maintenance

and repair











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]


Development of SMEs in stimulation and fracking services

Data is under

collection SME development

Job creation in

services Medium











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]


Develop fracturing tanks and hydration units


assembly











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Cross Category 044

Repair and maintain heavy machinery for construction and logistics (such as: bulldozers, tractors, loaders, forklifts,

backhoes, excavators etc.)


High for

maintenance

and repair











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Cross Category 047

Manufacture pre-fabricated construction material

Data is under

collection

Development

of local

manufacturing

Job creation in

manufacturing

Medium for

manufacturing











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]


Create industry standards for project design

Enabling initiative N/A N/A Medium











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Civil Works 049

Manufacture HVAC equipment


manufacturing











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Cross Category 050

Assemble construction equipment such as cranes, backhoe loaders and forklifts












the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Shell & Tube Heat Exchanger 052

Fabricate heat exchangers


fabrication











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Fire, Safety & Environment Equipment 053

Assemble and manufacture fire control systems

USD160 – 170 Mln

Potential ICV due to localisation of assembly and manufacturing

Low to average

job creation in

manufacturing

High











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Flanges, Fittings, Elbows, Hangers & Pipe Support 055

Design and manufacture carbon steel flanges


manufacturing











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]

Electrical Logging 056

SME development in wireline services

USD900 – 1,000 Mln SME development Creation of jobs

within SMEs High











the opportunity*



Feasibility of

implementation



as of April 2013



[email protected] 53

Back page from Jancy with backdrop design







the opportunity*



Feasibility of

implementation



as of April 2013



[email protected]


ICV Opportunity Catalogue

Documents

Transcript of ICV Opportunity Catalogue