Aromatics Oman achieves committed financing in under 6 months after approval

29-Sep-05

Aromatics Oman LLC has committed financing offers of over US$800 million for its new US$1.1 billion petrochemical complex from shareholders, commercial banks and The Export-Import Bank of Korea ('KEXIM'). This is a new record for major project development in Oman, with committed financing achieved less than six months after the project was approved for development. Aromatics Oman LLC is expected to break ground on the project by the end of the year. HSBC Bank Middle East Ltd has acted as financial adviser to Aromatics Oman LLC. Aromatics Oman LLC was established in July 2005 by Oman Oil Company, which owns 60% of its share capital. Oman Refinery Company owns a 20% share, and LG International Corporation owns the remaining 20%. OOC and ORC are wholly owned by the government of Oman. The company will construct and operate this petrochemicals facility which will utilise materials from the soon to be completed Sohar Refinery and will produce over 1 million tpa of paraxylene and benzene. The Commercial bank financing has been secured from fourteen leading institutions from around the world as follows: Societe Generale, Natexis, Royal Bank of Scotland, Korea Development Bank, Bank of Tokyo Mitsubishi, Mizuho, Calyon, Bank Muscat, Arab Petroleum Investments Corporation, Arab Bank (in association with Oman Arab Bank), Arab Banking Corporation, Gulf International Bank, HSBC and Standard Chartered.