Leading industrial gas provider Air Products & Chemicals Inc. (APD) and Oman Oil Company’s (:OOC) subsidiary Takamul Investment Company have inked a joint venture agreement to supply industrial gases like hydrogen, nitrogen and oxygen to all customers in the Special Economic Zone at Duqm (:SEZAD), Oman.
The joint venture intends to support the economic development of the SEZAD and enhance its competitiveness to attract further industrial investments.
The joint venture will be utilizing Air Products' world-class capabilities in large industrial gas plant design, pipeline infrastructure development and operational know-how along with Takamul's strong multi-utility infrastructure position in Duqm, via its Centralised Utility Company (:CUC), to deliver highest level of operational excellence.
Air Products has been present in the Middle East for more than 50 years with its offices located in Oman, UAE, Saudi Arabia, Qatar and Bahrain. This mutually beneficial agreement will help strengthen Air Products' presence in Oman, by expanding its business in the emerging industrial markets of Duqm. On the other hand, it will augment Takamul's investment portfolio in Oman with the addition of a commercial stake in industrial gases.
Both the parties will be working together to provide innovative solutions for large scale industrial gases that will enable the customers in Oman to become more productive, energy efficient and sustainable.
Formed in 2006, Takamul is a commercial venture of the Government of the Sultanate of Oman. It aims to develop, promote and invest in green field industrial projects and also in existing industrial companies to support Oman's growing industrial sector.
Air Products currently carries a Zacks Rank #3 (Hold).
Other companies in the chemical industry worth considering are Asahi Kasei Corp. (AHKSY), Johnson Matthey plc (JMPLY) and Methanex Corp. (MEOH). While Asahi Kasei and Johnson Matthey hold a Zacks Rank #1 (Strong Buy), Methanex retains a Zacks Rank #2 (Buy).