Duqm Refinery and Petrochemical Industries Company (DRPIC) says it has suspended the Front-End Engineering Design (FEED) work for its proposed Duqm Petrochemical Project (DPP) in Oman, due to the impact of Covid-19, even though it has completed 72% of the construction work.
The statement issued by the company said that DRPIC Board of Directors concluded that the suspension of FEED work of the project is in the interest of the company during a time of unprecedented global economic uncertainty due to the impact of the Covid-19 pandemic, depressed demand, and highly volatile commodity prices.
The shareholders intend to reassess the project, taking into account the current challenging global market environment and the importance of seeking opportunities to enhance the value of the project.
The DPP constitutes the second phase of the integrated refineries and petrochemicals project, which the company plans to implement in the Special Economic Zone of Duqm, as part of the existing strategic partnership between OQ and Kuwait Petroleum International.
The statement emphasised that the construction work on Duqm Refinery continues according to the planned schedule, and the current overall progress stands at 72%.