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Salalah signs petrochemical deal

Salalah signs petrochemical deal

Muscat: Senior management of the Port of Salalah and Oman's OCTAL Petrochemicals, have signed an agreement on the storage and transport of chemicals at the port.
Signed Sunday at the Port of Salalah's Muscat office, the contract oversees the ongoing development of Salalah's first liquid chemicals terminal, which will support OCTAL's production capacity expansion and further raise the profile of the port as a regional hub for cargo.
Under the agreement, OCTAL will have a dedicated berth to receive tanker shipments and build specialized facilities to pipe liquid chemicals underground to its manufacturing plant in the Salalah Free Zone. The chemicals will be transported via a US$50 million purpose-built terminal or 'tank farm' within Port of Salalah.
The agreement also covers the leasing of land on which the terminal is being built. Two tanks for receiving mono-ethylene glycol (MEG), each with a capacity of 5,000 cubic metres, have already been completed.
A third tank for MEG, a key ingredient in the manufacture of PET (polyethylene terephthalate), will be delivered by the middle of next year. By 2011, the terminal will comprise of nine tanks, three for MEG and the remainder for other liquid chemicals. [11/03/09]

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