Royal Boskalis Westminster (Boskalis), a leading global services provider operating in the dredging, maritime infrastructure and maritime services sectors, has been awarded a €480-million ($533 million) contract for the design, procurement and construction of a bulk liquid berth terminal at the Duqm port in Oman.

The contract will be officially awarded by Sezad (Special Economic Zone Authority Duqm) subject to its satisfying certain conditions, said a statement from Boskalis.

The contract includes the engineering, design, procurement and construction of a bulk liquid berth terminal, stated the Dutch dredging company.

The Port of Duqm is a an existing strategic dry dock and industrial free trade zone located in the Al Wusta Region between Muscat and Salalah and has been designated as a special economic zone.

According to Boskalis, various dredging and civil activities will be executed under the responsibility of Boskalis, including the deepening of the port basin to a depth of 18 m, reclamation of new land, the construction of a one-km-long quay wall, a double berth jetty island and stone revetment.

The dredging scope will be executed by the new mega cutter Helios, which will be taken into service mid-2017, and a jumbo hopper and medium-sized trailer suction hopper dredger, said the statement.

$265M DEAL TO FUND DUQM

Meanwhile Sezad and China-based Asian Infrastructure Investment Bank (AIIB) have signed a $265 million loan agreement for funding the second phase of Duqm Port, said a report.

The package is related to implementing the commercial terminal within the port, added the report.

As per the agreement, Sezad will receive $265 million worth of loan, which will be repaid in instalments for a period of 25 years, including five-year grace period.

The finance has been availed at a competitive price and low finance fees compared to other financing agencies. The sultanate is one of the leading countries that contributed to the China-based AIIB.

Yahya bin Said Al Jabri, chairman of Sezad, recently signed the agreement with Dr D J Pandian, AIIB vice president and chief executive officer for investment, added the report.

Based on the current expectations, the design activities are likely to start in the coming weeks and equipment will be mobilised by the middle of the year. The project is due for completion in 2020, it added.