PDO’s ICV Initiative Generates Over $4.3 Billion: Key Insights for Investors and Businesses in Oman
Petroleum Development Oman (PDO) Drives Economic Diversification with In-Country Value Initiatives
MUSCAT, OCT 19 – Petroleum Development Oman (PDO), the nation’s leading oil and gas producer, has reaffirmed its significant contribution to Oman’s economic diversification. The company has reported an estimated economic impact of $4.3 billion from its In-Country Value (ICV) initiatives to date.
PDO’s ICV program has emerged as a cornerstone of national industrial development, aiming to strengthen domestic supply chains, boost employment, and enhance local manufacturing capabilities in line with Oman Vision 2040. Since launching its ICV framework, PDO has executed seven major national projects focused on retaining value within Oman and reducing the country’s reliance on imports. These efforts have been crucial in fostering local industries, upskilling the workforce, and promoting entrepreneurship throughout the energy sector.
The ICV strategy has resulted in the establishment of 83 manufacturing facilities across Oman, significantly expanding the country’s industrial base. Currently, about 42 percent of PDO’s total supply chain expenditure is retained locally, with 14 percent of contracts awarded to small and medium enterprises (SMEs) and Local Community Contractors (LCCs). Collectively, these initiatives have created over 17,500 job opportunities for Omani nationals across various sectors.
Recent partnerships further underscore PDO’s commitment to strengthening Oman’s industrial foundation. The company has signed two significant contracts: a five-year agreement with Oman Cables Industry for the domestic supply of high-voltage and instrumentation cables, and an extended collaboration with Flowline Valves LLC, a subsidiary of Technofit Trading LLC, for the local production of ball valves.
These agreements are set to boost Omanisation levels, with Oman Cables Industry expected to hire eight new Omani employees, and Flowline Valves expanding its workforce from 22 to 55 employees. Both partnerships aim to accelerate local production and enhance the competitiveness of Omani-made products in regional markets.
Saoud al Jabri, PDO’s ICV Development Manager, highlighted that the company’s achievements are indicative of its profound commitment to national value creation. “Our ICV journey is a national mission. Every contract awarded, every job created, and every factory established represents a step toward achieving Oman Vision 2040 and building a diversified, competitive, and self-sufficient economy,” he stated.
To ensure sustainable impact, PDO continues to work closely with key institutions such as the Ministry of Labour and the Oman Energy Association (OPAL) to provide workforce training and development programs for Omani engineers and technicians. Additionally, PDO has launched 15 Vendor Development Programs to assist local companies in meeting international quality and performance standards.
Looking ahead, PDO plans to focus on strengthening governance, enhancing collaboration, and improving supply chain resilience in its next phase of ICV transformation. A new transparent framework will align with shareholder expectations and national priorities, while also supporting public-private partnerships to enhance Oman’s competitiveness in global energy markets.
Through these initiatives, PDO’s ICV program exemplifies how strategic investment and local empowerment can generate lasting value for Oman’s economy and its people.
Special Analysis by Omanet | Navigate Oman’s Market
Petroleum Development Oman (PDO) is solidifying its role in economic diversification through its In-Country Value (ICV) initiatives, which have already delivered an estimated $4.3 billion in economic impact. This creates significant opportunities for local businesses and entrepreneurs as PDO’s commitment to local supply chains and workforce training expands, thereby enhancing the competitiveness of Omani products in regional markets. Smart investors should consider aligning their strategies with PDO’s goals of industrial growth and job creation, particularly focusing on partnerships that engage with SMEs and community contractors to leverage this evolving landscape.
