OCTAL secures US$296 million for next phase of expansion
OCTAL is on track to complete the second phase of its operational expansion this year following a new round of funding from six Middle Eastern banks. The privately owned, Oman-based manufacturer opened a 400,000 metric ton (m/t) PET resins and sheet packaging facility in the southeast port city of Salalah in January 2009.
Spirit of partnership: representatives of OCTAL and six Middle Eastern banks mark the signing of a US$296 million loan in Muscat.
Nicholas P. Barakat, MD, OCTAL
Phase two of the complex, which will be commissioned from June 2012, will add an additional 527,000 m/t of production, making OCTAL the world’s largest producer of PET resins on one site and the largest PET manufacturer in the world.
OCTAL has secured a RO 114 million (US$296 million) senior term loan from a group comprising Bank Muscat, Bank Dhofar, National Bank of Oman, Bank Sohar, Ahli Bank and Qatar National Bank. Existing shareholders Muscat Overseas and Oman & Emirates Investment Holding Company have also agreed a junior debt facility of US$15 million.
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