Project Name:  OGC – Mina Al Fahal to Sohar Crude Oil Pipeline
Name of Client: OGC – Oman Gas Company
Budget (US$):  210,000,000

Main Contractor: Saipem/CCC
Facility Type:  Oil Pipeline
Status:   LOI (Letter of Intent)
PMC:   Mott McDonald
Location:  Sohar – Mina Al Fahal

Project Status
Mott MacDonald has completed the feasibility study, which contains six separate proposals. In January 2003 the following engineering companies were invited to bid for the FEED package:Granherne, Tebodin Middle East, Mott MacDonald, Electrowatt, ILF Oman.
Bids for the FEED were submitted in February 2003. The FEED contract was awarded to ILF Oman in April 2003.
The following companies submitted offers for the PMC contract: Electrowatt Engineering Services, Ilf & Partners, Mott MacDonald, Tebodin & Partners, Veco.

Mott MacDonald was appointed as the programme manager for the project. Prequalification documents were due for submission in August 2003, but the deadline was extended to August 25, 2003.

The following companies are among those believed to have expressed interest to bid the project: Al Shanfri Trading, CAT International (Declined), China Petroleum Engineering & Construction, Dodsal, Dutco, McConnell Dowell, Enppi Engineering, Erko Construction / Tekfen, Indian Oil Corporation
Metalex Construction Industry Trading (Declined), Punj Lloyd / Al Hassan Engineering, Saipem, Samsung Corporation
Stroytransgas, Suedrohrbau/Ghalfar, The Oman Construction Company (TOCO) / Willbros, Techint, United Eastern Group (Declined)

In January 2004, the EPC contract was tendered. In early March 2004, the bid submission date was extended to March 22, 2004. Bids were subsequently received on the due date.

The three lowest bidders for the EPC contract were:Dodsal – $88.7 million, Stroytransgaz / Bahwan – $82.8 million, Saipem with CCC – $88.5 million.
A letter of intent was issued to Saipem/CCC in May 2004. In June 2004, the scope of work was expanded to include a gas pipeline from Murayat to Min Al Fahal. The pipeline will be 10 inch in diametre and 50 km in length.

Project Scope
The 260-km, 24-inch pipeline will be used to supply feedstock to the proposed Sohar Refinery and will have a capacity of 125,000 bpd. This will consist of both crude oil and long residue. The pipeline will start at the PDO/ORC tank farm and include all the facilities up to the transfer point at Sohar Refinery Company (SRC). The project will be divided into two EPC contracts. This will include the pipeline from the Pig Launcher at the ORC area to the Pig Receiver at the SRC area. The second contract will cover the terminal at the ORC area and the terminal at the SRC area. This will include the SCADA system.

The scope of work for the two packages will include:
Pumping Station
SCADA with 2 central control rooms. One at ORC area & one at OGC control centre for back up & leak detention
Pressure Reduction Terminal
10 x Block valve stations
Mixing Facilities
Metering Benches
Delivery Terminal
Pig Launcher & Receiver
Power Supply
Remote Telemetry Units (RTU's)
Fibre Optic Cable

Prior to the EPC contract award the Company will be responsible for the FEED. This will include :
FEED Hazop Review
Route survey & selection
Preliminary right of way & acquisition survey
Preliminary soil investigation
Wadi crossing clarification criteria which will be verified by the contractor as part of the Detailed Design
Classification of Wadi crossings along the selected route
Environmental Impact Assessment (EIA)
Approval of Environmental Impact Statement (EIS)
Procurement of long lead items (Line Pipe, Pipeline Valves & Main Pumps)
Preliminary MTO
The successful EPC contractor will be required to verify and accept the FEED.

Schedules for this Project
January 2003 - ITB to FEED contractors
April 2003 -  Award of FEED
19th July 2003 - Release of Prequalification documents for EPC package
11th August 2003 - Submission of EPC prequalification documents
25th August 2003 - Extended submission of EPC prequalification documents
January 2004 - EPC ITB
8th March 2004 - EPC bid submission deadline
June 2004 - Expected EPC contract award
Second Quarter 2006 - Project Completion