The Business Year

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Super Local Community Contractors, or SLCCs, are closed Omani shareholding companies involved primarily in oilfield services. They're unique from other contractors because they are held entirely by thousands of individual investors who reside in the concession area.

Said Rashid Al Asmi

CEO, Al Haditha Petroleum Services

PDO launched the super local community contractors (SLCC) initiative with the Ministry of Oil and Gas. PDO has assisted us by providing support and training as well as providing us with capital to build up our capability in terms of equipment. PDO allowed us to take on jobs gradually and slowly until we reached our current level of work, which covers the north of Oman. At present, we have contracts with Occidental and CCED, as well as Daleel through the competitive tendering process. Our work involves anything from the wellhead all the way to the gathering stations whether it is a flow line, header, or any other facilities. It has been a continuous progress, and we are now in the sixth year of a 10-year incubation period with PDO. During the final years of this period, our aim is to maximize our experience with PDO not only to execute what we have on hand but maximize our learning and competencies and look for other opportunities as well. The entire objective of these companies is in line with the government’s strategy of ICV.

Mohammed Shehada

CEO, Al Khazain Oilfield Services

Al Khazain Oilfield Services started operations in January 2017, so it is the new kid on the block compared to the other super local community contractors (SLCCs). In our case, we cover the Al Wusta region, in particular the provinces of Haima and Al Jazer. Oxy operates there, so it was natural to make Oxy the sponsor for Al Khazain Oilfield Services in terms of support and contracts. Oxy has been extremely supportive in giving us our first few contracts. When we started operations in 2017, we hit the ground running with the right processes, procedures, and a solid infrastructure in place, then have the right people to operate the company. Al Khazain Oilfield Services operates two lines of business. The first is the well services side of the business, which involves the rigs. Oxy started with one of our rigs and put KPIs in place for us to meet. Our other line of business is logistics, and today we are Oxy’s exclusive logistics providers; we deliver anything that goes on wheels to Oxy, from its mail to the biggest turbines it brings into the country.

Musallam Al-Maashani

CEO, Musallam Al-Maashani

The idea behind SLCCs was to cater to everyone while creating a platform that could develop investors and pass on dividends based on contributions. Al Baraka was developed during this period, in the southern part of Oman, which sits in the middle of the oil and gas concession areas near Shalim. The company was formed, and shareholders were invited to invest. The government also created a team drawing from key ministries to create regulations and governance framework that would direct the firm. There was a heavy emphasis on ensuring that it was a fair deal for everyone. Once this was complete, we reached 1,300 shareholders, and the firm was officially incorporated. The board of directors was then created, and it was filled by members of community who had the background, experience, and knowledge necessary to make the company a success. PDO then started distributing key core businesses to these companies. Al Baraka, for instance, started with hoist workover units, which are drilling rigs. The 10-year incubation period started in 2011, and our real operations started in 2012, and we have been growing ever since.



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