ORPIC in talks with local banks to raise US$2.5 bln for Sohar refinery expansion, refinance of previous loan

09-Apr-13

Oman Oil Refineries and Petrochemical Companies (ORPIC) is in talks with two local banks to raise US$2.5 bln to expand its Sohar refinery and refinance a previous loan, as per Reuters. The state-owned petrochem major is talking to National Bank of Oman and HSBC Oman to raise the amount. About US$1.5 bln of any loan agreed would be used to upgrade a crude oil processing unit at Sohar refinery to produce 180,000 barrels per day (bpd) from the current 116,000 bpd. The remaining US$1 bln would refinance an old loan taken out in 2007 for a previous expansion of the refinery.