FORGING AHEAD
Despite Oman's fuel market slowing down, OOMCO increased its sales volume of lubricants by 36% in 2019 and is constructing a greenfield bunker terminal at the Port of Duqm. The company has transformed while growing its expertise in Marketing and Digital.
BIOGRAPHY
David Kalife was appointed CEO of OOMCO in 2017. An industry veteran with more than 25 years of experience, Kalife has earned a reputation for driving innovation, talent management, and successfully managing international subsidiaries in complex environments. His extensive professional background includes over 15 years of experience in leadership roles. He graduated from Neoma Business School and holds an MBA from INSEAD, where he subsequently acted as an interviewer.
How did the retail and marine fuel market develop in 2019, and what main trends are you focusing on in 2020?
For the past two years, the fuel market in Oman has witnessed a slowdown, impacting all players, though we have endured, thanks to our strategy launched three years ago while focusing on four pillars. Our first pillar is global expansion with the exploration of opportunities beyond Oman's borders: we have since entered the markets of Saudi Arabia and Tanzania. Our second pillar is to increase our fuel market share in Oman, which we have continuously done through introducing unique integrated service hubs and transforming the fuel industry with our innovative products and services. Regarding lubricants in Oman, we have increased our sales volume by 36% in 2019 on a decreasing lubricants market, thus evidencing our growth strategy. Given the company's strategic interest in the ships bunker fuel business, OOMCO is now constructing a greenfield bunker terminal in the Port of Duqm. This terminal will consist of 30,000m³ capacity tankage, pipelines, pump sets, valves, electrical and mechanical equipment. The terminal will be fully commissioned by the end of 1Q2020: the project timing is broadly aligned with the development and construction of the Duqm Refinery for fuel supply and associated shipping, which will further grow our customer base.
What is your strategy to grow the commercial segment of the fuel industry?
In B2B, we go beyond the default commodity sales concept: we provide our strategic partners with more and better solutions. We focus on delivery efficiency, using advanced systems that are fast, secure, and transparent, and target problem-free experiences for our customers. Our customers are at the core of our operations; that is why we keep introducing innovative solutions like mobile fuel stations, commercial applications, and e-Fill. Aviation is another major source of fuel consumption beyond COVID-19 impacting the global economy and industry.
What role will technology play in shifting the industry to further innovation and sustainability?
We are working on new concepts of service stations. OOMCO is already ahead in adopting sustainability practices as the first fuel marketing company to go eco-friendly in the Sultanate. We have introduced this first green service station at Rusayl, which comprises of a range of unique eco-friendly features including solar panels, LED lights, a vapor recovery system (VRS), and an electric vehicle (EV) charger. Meanwhile, our chain of 110 Ahlain convenience stores offers biodegradable bags instead of plastic ones. In 2021, we will continue to expand our smart fueling offering, expanding ways of digital access to our customers. We launched our OOMCO World app, which brings together products and services offered in our service stations into one rewarding and convenient experience for all customers. We believe cashless is the way to go, and our customers will be able recharge our new “Basma Plus" smart fuel card online and enjoy one of the fastest payment experiences.
How should oil marketing companies position themselves with shaping the industry of the future?
In order to become customer-centric, the first step is to embrace the term “service station" instead of “gas station" or “filling station." The key is to offer a real experience through service hubs to customers so that they will come back and stay longer: our service stations are becoming “destinations." In this sense, we are introducing a new concept, the MEGA service station, where people come not just for fuel, but to find entertainment, a hair salon, a car services workshop, and so on, within a 10,000-sqm service station. The goal is to get passengers outside the cars. We believe in growing the non-fuel retail through our shops, food, and services
activities.
FORGING AHEAD
TABLE OF CONTENTS
Focus: Future foreign policy
Friends to all, enemy to none
In championing the late Sultan Qaboos' non-interference foreign policy, the new ruler of Oman, Sultan Haitham bin Tariq Al Said, is determined to work for friendship and peace, justice and harmony, and coexistence and positive constructive dialogue.
read articleInterview
David Kalife, CEO, Oman Oil Marketing Company (OOMCO)
Despite Oman's fuel market slowing down, OOMCO increased its sales volume of lubricants by 36% in 2019 and is constructing a greenfield bunker terminal at the Port of Duqm. The company has transformed while growing its expertise in Marketing and Digital.
read articleInterview
Azzan Al Busaidi, CEO, Ithraa
Azzan Al Busaidi is an expert in competitiveness and economic growth. He was appointed CEO of Ithraa in 2019 after 17 years spent covering managerial roles in the organization. Al Busaidi was previously Ithraa's director general of planning and studies and is a strong advocate of the potential of digitization. He holds an MBA from the University of Strathclyde and a BSc in Economics from Sultan Qaboos University.
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Qais bin Mohammed Al Yousef, Minister of Commerce, Industry & Investment Promotion & Former Chairman, Oman Chamber of Commerce and Industry
Private Omani companies will be able to benefit greatly from the Fourth Industrial Revolution by enhancing their local value-added strategies and upskilling the workforce.
read articleInterview
Tahir Bin Salim Bin Abdullah Al Amri, Executive President, Central Bank of Oman (CBO)
The Central Bank of Oman's job is to ensure there is adequate liquidity in the system and that banks remain robust and resilient to meet the credit requirements of all segments without undermining financial stability.
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Capital markets
CMA and MSM are supporting Vision 2040 by providing financing to government companies that intend to go public, financing expansion of existing and new IPOs, and widening the investors base in Oman by enhancing and developing the investment funds and insurance industries.
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Khalid Al Balushi, CEO, Khazaen Economic City
International investors and business owners can benefit from Khazaen Economic City's strategic location and its close proximity to the main gateways of the country to import, process, manufacture, distribute locally, and export their goods and services.
read articleFocus: Port 4.0
Destined for greatness
Investments in world-class infrastructure have generated huge rewards for Oman. The goal now is to leverage technology as a disruptive enabler, build human capacity across the public and private logistics sectors, and drive operational efficiencies to build an integrated logistics business environment that is benchmarked against the world's best.
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All bases covered
An amalgamation of local companies and unique experiences in Oman has created an original flavor that is further differentiating Oman's tourism offering from other countries and in the process attracting scores of tourists from all across the world.
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Engineering design
Renardet Engineering Consultants and Design Unit Engineering are recognized experts in their fields. While the former is an international company strongly committed to excellent engineering consultancy services and environmental practices, the latter is an Oman-based team of architects and engineers that incorporates local culture and traditions.
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Construction materials
Oman's construction sector is facing a host of challenges, but Hempel Paints and Al Maha Ceramics are confident that a mix of forward-thinking business models, unique products, and strong government initiatives will help them through turbulent times and generate positive returns in the long run.
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Salim Razvi, CEO, Oman Academic Accreditation Authority (OAAA)
Focusing on higher education institutional accreditation, program accreditation, and the updating and maintaining of the Oman Qualifications Framework, OAAA is helping further advance higher education in the Sultanate.
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