MIRA INFORM REPORT

 

 

Report No. :

354513

Report Date :

12.12.2015

 

IDENTIFICATION DETAILS

 

Name :

OMAN OIL REFINERY & PETROLEUM INDUSTRIES CO SAOC (ORPIC)

 

 

Registered Office :

ORPIC Building, Mina Al Fahal Industrial Area, PO Box 3568, Muscat 112

 

 

Country :

Oman

 

 

Date of Incorporation :

14.06.2011

 

 

Com. Reg. No.:

1/11300/3

 

 

Legal Form :

Omani Closed Joint Stock Company

 

 

Line of Business :

Engaged as operators of a petrochemical refinery.

 

 

No. of Employees :

550

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

Payment Behaviour :

No Complaints

Litigation :

Clear

 

NOTES:

Any query related to this report can be made on e-mail: infodept@mirainform.com while quoting report number, name and date.

 

 

ECGC Country Risk Classification List – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

Oman A2

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

OMAN - ECONOMIC OVERVIEW

 

Oman is heavily dependent on dwindling oil resources, which generates 77% of government revenue. It is using enhanced oil recovery techniques to boost production. Muscat has actively pursued a development plan that focuses on diversification, industrialization, and privatization, with the objective of reducing the oil sector's contribution to GDP from 46% to 9% by 2020. Muscat also is focused on creating more jobs to employ the rising numbers of Omanis entering the workforce. Tourism and gas-based industries are key components of the government's diversification strategy. However, increases in social welfare benefits, particularly since the Arab Spring, have challenged the government's ability to effectively balance its budget as oil prices decline. Despite government acknowledgement that Oman’s expansive social welfare benefits are unsustainable, Oman authorities are comfortable with short-term budget deficits and have approved an expansionary 2015 budget. Concurrently, Oman has expanded efforts to support the development of small and medium-size enterprises and entrepreneurship. Government agencies and large oligarchic group companies have announced new initiatives to spin off non-essential functions to entrepreneurs, incubate new businesses, train and mentor up and coming business people, and provide financing for start-ups.

 

Source : CIA

SUMMARY

 

Company Name                                    : OMAN OIL REFINERY & PETROLEUM INDUSTRIES CO SAOC

 (ORPIC)

Also Known As                                     : ORPIC REFINERIES LLC

Country of Origin                                   : Oman

Legal Form                                           : Omani Closed Joint Stock Company

Registration Date                                  : 14th June 2011

Commercial Registration Number           : 1/11300/3

Membership Number                             : 2965

Issued Capital                                       : RO 2,000,000

Paid up Capital                                     : RO 2,000,000

Total Workforce                                     : 550

Activities                                               : Operators of a petrochemical refinery.

Financial Condition                                : Undetermined

Payments                                             : Nothing detrimental uncovered

Person Interviewed                                : Tahir Al Barwani, Finance Manager

 

 

COMPANY NAME

 

OMAN OIL REFINERY & PETROLEUM INDUSTRIES CO SAOC (ORPIC)

 

 

ALSO KNOWN AS

 

ORPIC REFINERIES LLC

 

 

ADDRESS

 

Registered & Physical Address

 

Building            : ORPIC Building

Location           : Mina Al Fahal Industrial Area

PO Box            : 3568

Town                : Muscat 112

Country             : Sultanate of Oman

Telephone         : (968) 24663719 / 24560316 / 24561200 / 24663773 / 26851000 / 22105000

Facsimile          : (968) 24560316 / 24564992 / 24561384 / 26851211 / 22107038

Mobile              : (968) 99865940

Email                : info@orpic.com / faris.sahra@orpic.com / tahir.albarwani@orpic.com /

  tahir.albarwani@orpic.com

 

Premises

 

Subject operates from a large suite of offices and a factory that are rented and located in the Industrial Area of Muscat.

 

Branch Office (s)

 

Location                                                                                               Description

 

PO Box: 277 & 282                                                                                Factory premises

Falay Al Qabail 322

Sohar

 

 

KEY PRINCIPALS

 

Name                                                                                                   Position

 

Mohamed Bin Hamad Al Rumhy                                                             Chairman

 

Sultan Salem Saeed Al Habsi                                                                 Vice Chairman

 

Musaav Abdullah Al Mahruqi                                                                  Chief Executive Officer

 

Mulhem Bashir Al Jarraf                                                                         Deputy Chief Executive Officer

 

Ali Abdullah Al Reyamo                                                                         Director

 

Dr Saleh Bin Ali Al Anbouri                                                                    Director

 

Nazar Al Lawati                                                                                      Chief Financial Officer

 

Tahir Al Barwani                                                                                     Finance Manager

 

Sultan Salem Saeed Al Habsi                                                                 General Manager

 

Faris Sahra                                                                                           Administration Manager

 

Mohamed Hamad Saif Al Rahmani                                                         Operations Manager

 

Mohamed Al Kendi                                                                                Senior Accountant

 

Abdul Basit Al Henai                                                                              Procurement Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 14th June 2011

 

History : Subject was formed from the merger of the following companies:

 

Oman Refineries and Petrochemicals Company LLC (ORPC)

Oman Polypropylene Co (OPP)

Aromatic Oman LLC (AOL)

 

Legal Form                  : Omani Closed Joint Stock Company

 

Commercial Reg. No.   : 1/11300/3

 

Membership No.           : 2965

 

Issued Capital              : RO 2,000,000

 

Paid up Capital            : RO 2,000,000

 

Name of Shareholder (s)                                                     Percentage

 

Ministry of Finance                                                                    75%

 

Oman Oil Company SAOC                                                         25%

 

OPERATIONS

 

Activities: Engaged as operators of a petrochemical refinery. Subject has secured a RO 350 million syndicated corporate loan facility from local and regional banks.

 

Import Countries: Europe and GCC countries.

 

Subject has a workforce of approximately 550 employees.

 

 

FINANCIAL DATA

 

Companies registered in Oman are not legally required to make their accounts public and no financial information was released by the company or submitted by outside sources.

 

 

BANKERS

 

National Bank of Oman Limited (SAOG)

Muttrah Business District

PO Box: 751, Ruwi 112

Muscat

Tel: (968) 24708894 / 24708630 / 24708684

Fax: (968) 24707781 / 24703972

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled. As such the company is considered to be a fair trade risk.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.66.79

UK Pound

1

Rs.101.10

Euro

1

Rs.73.10

Omani Rial

1

Rs.174.39

 

Note : Above are approximate rates obtained from sources believed to be correct

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

TPT

 

               


 

RATING EXPLANATIONS

 

RATING

STATUS

PROPOSED CREDIT LINE

 

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

 

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

 

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

 

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

 

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

 

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

 

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

Credit not recommended

 

--

NB

New Business

--

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                  Payment record (10%)

Credit history (10%)                   Market trend (10%)                                Operational size (10%)

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