A first lot of 4,900 tonnes from Nippon Steel and Sumitomo Metal Corporation was discharged at the port’s commercial quay, from where it will be moved to a specialised storage area managed by Middle East Tubular Services (METS) in the logistics zone adjacent to the port, according to a press release.
This operation marks the next phase of Sumitomo Corporation Tubular Solutions Oman’s (SCTSO) successful delivery of supply chain management (SCM) services to PDO, following a ‘Mill to Well’ model for the first time in the Sultanate, which will be operated from Duqm. This new model will further optimise supply chain efficiencies and offer substantial cost savings to PDO, by making full utilisation of Duqm’s central location towards PDO’s various inland oil and gas fields.
SCTSO expects that Duqm Port will handle 4-5 similar shipments per month from now on as the project move to Duqm nears completion. The move to Duqm Port also demonstrates the drive of PDO and their partner SCTSO to offer in-country value for Oman, and retain more of the wealth of the oil and gas industry in the Sultanate.
Various service providers, including logistics and industrial companies specialising in the OCTG market, are taking up the opportunity to become part of the creation of an integrated OCTG pipe service centre in Duqm enhancing the overall service level to the industry.
As a result of the relocation, PDO and SCTSO will make a significant contribution to Oman’s strategic objective for Duqm to be the country’s oil and gas hub for the future.