Name of Client : Marsa LNG
Estimated Budget : $1,000,000,000
Contract Value : $1,600,000,000
Facility Type : Liquefied Natural Gas (LNG)
Sector : Gas
Main Contractor : Technip Energies
Location : Sohar, Oman
Award Date : 2024-Q1
Background
Marsa LNG is set to develop and operate the Sohar LNG Bunkering Terminal in Oman, aiming to establish the country as a regional LNG bunkering hub capable of supplying LNG as fuel to marine vessels. The terminal will have an annual LNG production capacity of 1 million tons per annum in Sohar. The terminal will switch from traditional marine fuel oils to LNG after the implementation of new sulfur emission limits by the International Maritime Organisation in January 2020. The gas will be supplied through the OQGN network and treated, liquefied, and stored onshore.
Project Scope
The project involves the development of a medium-scale LNG bunkering terminal along with its associated facilities. This LNG plant will feature a single train capable of processing 1 million tonnes per year (t/y) of natural gas, with potential for future expansion. The onshore LNG plant will be constructed on reclaimed land leased by SIPC and will include the LNG train and necessary auxiliary equipment. The feed gas will undergo pre-treatment upstream of the LNG site before being delivered for additional processing at the plant.
The LNG export jetty will be equipped with essential loading elements such as a pipe rack, process manifolds, LNG loading arms, safety measures, and a jetty control station. SIPC will design and construct the jetty’s subsea foundation, access road, and mooring, with the marine component extending about 450 to 500 meters and featuring a 4-meter wide road. Also, it includes an extension of the OQ Gas Networks (OQGN) feed gas pipeline by 2.5 kilometers, with construction and operation managed by OQGN. An electrical transmission line comprising a buried cable approximately 3.5 km long will connect the LNG substation to an existing substation operated by Oman Electricity Transmission Company (OETC).
A solar plant is also planned to be built on a separate plot to supply all necessary power to the LNG plant, connecting to the national grid and developed by a third party.
The LNG plant will incorporate various facilities, including an inlet facility with filters, a let-down unit to reduce gas pressure and temperature, a mercury-removal unit, an Acid Gas Removal Unit (AGRU), a dehydration unit, an onshore storage tank, a boil-off gas recovery system, and carbon footprint reduction facilities. The pre-treatment process will feature inlet facilities, demercurisation (DeHg), acid gas removal (AGR), dehydration (DeH2O), hydrocarbon (HHC) removal, and condensate stabilisation.
Project Status
As of June 2025, Al Sarooj’s work on the project is ongoing. Intecs is forming the project team to launch construction works in the coming few weeks. Third Chemical Construction Company (TCC), the civil works subcontractor, has also yet to start work on its scope.
Project Finance
The project is owned by Marsa LNG, a joint venture comprising TotalEnergies E&P Oman Development, which holds an 80 per cent stake, and Almuzn Liquified Natural Gas LLC (OQ), which owns the remaining 20 per cent. Almuzn LNG is fully owned by OQ. In March 2021, TotalE&P Oman Development held a 5.54 per cent stake in the LNG project. By May 2021, TotalE&P Oman Development rebranded as TotalEnergies E&P Oman Development.
Project Schedules
Project Announced : 1Q-2019
FEED ITB : 2Q-2019
FEED : 3Q-2019
On Hold : 1Q-2021
EP : 1Q-2024
Construction : 4Q-2024
Completion : 1Q-2028 n
