The Oomco Stations project stands as a proud model of how Ooman’s resources can be utilized wisely and strategically. By expanding into traditional fuel stations and venturing into new activities such as marine fuel, Omco is building a future that supports the national economy and regional logistics services.
Specialized entities have contributed to the success of such projects, most notably Rawat Al-Tasmeem, a company specialized in executing major engineering and construction projects inside and outside the Kingdom. It offers services to major firms like Omco in design, supervision, construction, and planning. This integration of roles helped turn vision into reality, reflecting standards of quality and sustainability.
Company Background and Objectives
Ooman Oil Marketing Company was established in 2003 following the acquisition of BP’s branches in Oman. Since then, it has successfully launched more than 235 fuel stations across the Sultanate. It is a 100% Omani company that has built a strong reputation in the retail fuel sector by adhering to the latest standards of quality and service.
In a bold expansion step, the company entered the Saudi market in 2019, launching its first station in Dammam. By 2023, it had grown to 16 stations, with 10 more under construction, aiming for a total of 26 by the end of 2023.
By the end of 2026, the company plans to reach 50 stations in Saudi Arabia, reflecting a strong intention to expand in this large and diverse market.
Expansion in Saudi Arabia
As a strategic move, Omco focused its efforts on the Saudi market, taking advantage of the high consumption levels and the continuous demand for fuel. By 2023, the number of stations had reached 26 across eastern and western regions. The company plans to add around 24 more, bringing the total to 50 stations by 2026.
Distinguished engineering firms like Rawat Al-Tasmeem played a crucial role in supporting this expansion by providing integrated engineering solutions and professional designs that meet global standards. This enabled Omco to deliver stations with advanced services and high-quality user experiences.
Omco’s Diverse Activities
1. Marine Fuel – Omco Ship Fuel Station
On December 18, 2022, Omco inaugurated its ship fuel station in Duqm Port, within the Special Economic Zone. Built on a 50,000-square-meter area, the station includes tanks with a capacity of 30,000 cubic meters and cost a total of OMR 11 million (approximately USD 28.5 million).
This is the first dedicated fuel depot for ships in the area, meeting the rising demand in the shipping and logistics sectors, and adheres to ISO 8217 standards for low-sulfur marine fuels.
The station supports Oman Vision 2040 by enhancing the Sultanate’s position as a global logistics hub and reducing carbon emissions through environmentally advanced fuels.
Future plans include providing high-quality fuel for ships via tankers and land trucks, with flow rates reaching 1,000 cubic meters per hour—ensuring supply meets the increasing demand through 2025.
2. Traditional Fuel – Within Oman
Omco continues to expand its traditional fuel station network across Oman, offering comprehensive services that include retail stores, restaurants, and rest facilities for drivers. These offerings enhance the user experience and strengthen the company’s market position.
Revenues and Challenges
Economic Importance
- The oil sector remains a key source of national income, and Omco’s project strengthens this sector through expansion and increased returns.
- The project creates direct and indirect job opportunities, with over 45 jobs created through the Duqm station alone.
- It boosts the logistics economy by investing in core infrastructure for ship fueling, which enhances the competitiveness of Omani ports and attracts foreign investment.
Challenges
- Regional Competition: Entering a large market like Saudi Arabia means facing strong local and regional competitors with vast networks and experience.
- Capital Costs: Building stations—especially marine facilities like Duqm—requires massive investments. The Duqm station alone cost OMR 11 million.
- Environmental Regulations: Compliance with marine fuel standards (ISO 8217) and international emissions laws is a significant operational and regulatory challenge.
- Market Demand Fluctuations: Fuel demand varies with oil prices and global shipping activity, requiring agile inventory management and operational planning.
Sustainability and Future Vision
As a strategic platform, Omco aims to:
- Expand fuel stations across the Gulf, especially in Saudi Arabia.
- Diversify its services: adding oil change services, retail shops, rest areas, and potentially cafés and EV charging stations.
- Focus on clean fuels, particularly at the Duqm station, to meet global emissions standards and align with international sustainability trends.
- Support Oman Vision 2040 in transforming the Sultanate into a global logistics hub through larger projects that enhance port status and marine economy.
Conclusion
The Omco Stations project is a distinguished example of wisely leveraging Oman’s resources. By combining expansion in traditional fuel stations with new activities like marine fuel, Omco is shaping a future that strengthens the national economy and regional logistics.
Its success depends on addressing major challenges such as competition, maintaining service quality, balancing costs with returns, and committing to sustainability standards. However, with smart expansion and strategic planning, Omco has the potential to become a key player in the Gulf energy sector and a solid pillar of Oman’s long-term vision.
Specialized firms like Rawat Al-Tasmeem, which offers engineering, supervision, and construction services for major projects, have been instrumental in transforming these ambitions into reality.
