United Kingdom and Oman: A Celebration of Friendship

O F F I C I A L P U B L I C AT I O N

UNITED KINGDOM and the

SULTANATE OF OMAN

A CELEBRATION OF FRIENDSHIP PUBLISHED TO MARK THE 220TH ANNIVERSARY OF ANGLO-OMANI RELATIONS

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OFFICIAL REPORT

UNITED KINGDOM and the

SULTANATE OF OMAN

The Publishers acknowledge with special thanks the support of bp as Senior Sponsor of this publication.

Chairman and Founder Rupert Goodman dl Hon. Chairman, Advisory Council The Rt Hon Lord Hurd of Westwell ch cbe Executive Publisher Declan Hartnett VP, Strategic Partneships Emmanuel Artusa-Barrell Research and Communications Officer Harry Dobbs Designer Jon Mark Deane President, International Affairs Lord Cormack fsa dl Non-Executive Director The Hon Alexander Hambro, Special Advisors Sir Andrew Wood gcmg, Jacques Arnold dl, Professor Victor Bulmer-Thomas cmg obe Chaiman, Judging Panel Rt Hon Lord Judge Award Advisory Panel Lord Cormack fsa dl, Hon. Philip Lader, Professor Lord Plant of Highfield, Lord Robertson of Port Ellen kt gcmg pc frsa frse, Chief Emeka Anyaoku gcvo tc cfr, Marilyn Carlson Nelson, Dr Daniel Vasella, Ratan Tata kbe, Philippa Foster Back cbe, Meg Hillier mp, Baroness Bull cbe and Baroness Nicholson of Winterbourne FIRST

is composed of the opinions and ideas of leading business and political figures.

All

information in this publication is verified to the best of the authors’ and

publishers’ ability, but no responsibility can be accepted for loss arising from decisions based on this material.

Where

opinion is expressed, it is that of the authors.

© FIRST Strategic Insight Ltd 2020 FIRST gratefully acknowledges the cooperation of HE Abdulaziz Abdullah Zahir Al Hinai, Mohamed Al-Busaidi and the staff of the Embassy of the Sultanate of Oman, and HE Hamish Cowell, Ambassador and the staff at the British Embassy in Muscat

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Please convey my warm thanks to all at FIRST for their message of loyal greetings sent on the Accession of Sultan Haitham Bin Tarik and the Two Hundred and Twentieth Anniversary of the Anglo-Omani bilateral relationship.

Your kind words are appreciated and I send my best wishes to all concerned on these significant occasions.

I am very grateful to FIRST for producing this official publication on the Sultanate of Oman as both a celebration of friendship and an important work of reference for the international community.

The past five decades have witnessed a great transformation in the building of our modern state and establishing advanced infrastructure under the wise leadership of the architect of modern Oman, His late Majesty Sultan Qaboos Bin Said Bin Taimour – alongside the efforts of the people of Oman.

Oman will proceed along this path of development and continue the blessed renaissance. Our key national priorities will include education, financial balance, economic diversification and economic sustainability.

Oman is renowned throughout the world for promoting growth and prosperity, security and peace. We are committed to sustaining this historic role and upholding Oman’s message of peace, tolerance and harmony.

I welcome this important publication.

His Majesty Sultan Haitham Bin Tarik

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I Foreword by Rupert Goodman dl Chairman and Founder FIRST

t gives me great pleasure to introduce this Official Publication to commemorate the life of His late Majesty Sultan Qaboos, to celebrate the accession of His Majesty Sultan Haitham bin Tarik and to mark both the 220th Anniversary of Anglo-Omani relations and the 50th Anniversary of Oman’s renaissance.

Lord Astor, Lord Hurd and I are extremely grateful to His Excellency Abdulaziz Abdullah Zahir Al Hinai, the Ambassador of Oman and his Embassy staff for all their help and guidance in the preparation of this publication as well as HE Hamish Cowell CMG and the staff at the British Embassy in Muscat for all their invaluable support. We are also especially grateful to Her Majesty The Queen and His Majesty Sultan Haitham bin Tarik for contributing such important and personal messages.

The United Kingdom and Oman have a broad and longstanding bilateral relationship extending back to the Anglo-Omani Agreement signed on 12th October 1798.

The subsequent Treaty of 1800 declared that the bond between the two nations would be ‘unshook till the end of time.’ The vital, deep and remarkable bilateral relationship is testament to the fulfilment of the ambitious aims of this treaty.

We commemorate the life of His late Majesty Sultan Qaboos. He was an exceptionally wise and respected leader who will be remembered for his devotion to the development of Oman into a stable and prosperous nation and for dramatically improving the lives of the Omani people. He leaves a profound legacy and a commitment to peace and understanding between nations.

His Majesty Sultan Haitham bin Tarik ascended to the throne on January 11th 2020.

His Majesty has considerable leadership experience and has confirmed that Oman ‘will continue along the path of development and we will continue the blessed renaissance march as the late Sultan wished it be.’ His Majesty Sultan Haitham bin Tarik has also reaffirmed Oman’s

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foreign policy that promotes ‘peace among nations and peoples, respecting national sovereignty and supporting international cooperation.’

The United Kingdom and Oman enjoy a close and enduring relationship built on strong economic ties and shared defence and security interests. There are also important links in education and the arts. The two nations also cooperate closely on regional issues to promote peace and stability. As part of this friendship both nations have held large joint military exercises called Saif Sareea or Swift Sword.

The Joint Defence Agreement signed on 21st February 2019 is further demonstration of the close bond in the military sphere.

The bilateral relationship has been much enhanced by the many reciprocal official and State Visits. Her Majesty The Queen and HRH The Duke of Edinburgh made a very successful State Visit to Oman in 1979. Her Majesty The Queen and HRH The Duke of Edinburgh returned to Oman on a State Visit in November 2010 to commemorate Oman’s 40th National Day. On the 22nd May 2019 the UK-Oman Comprehensive Agreement on Enduring Friendship was signed, committing both nations to promote cooperation, share expertise and enhance links in technology, science, education, health, innovation, prosperity, fisheries and agriculture. With its strategic location Oman offers significant trade and investment opportunities.

This important moment in Oman’s history gives us all an opportunity to study the important developments in both our countries and to weigh carefully the many opportunities to work together even more closely.

We at FIRST are delighted to have been asked to produce this official publication and hope that it contributes, in a small way, to the increasing development of this important bilateral relationship. We wish His Majesty Sultan Haitham bin Tarik our very best wishes in the knowledge that Oman will enjoy further progress and prosperity under His Majesty’s F wise and experienced leadership.

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Unwavering support and total commitment for over 50 years BAE Systems is proud to commemorate the life of the late Sultan Qaboos Bin Said Bin Taimour and mark the accession of His Majesty Sultan Haitham Bin Tarik.

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Historic and enduring friendship

By RT HON LORD ASTOR OF HEVER PC DL Prime Minister’s Trade Envoy to Oman and the Defence Secretary’s Adviser for Military Cooperation

I LORD ASTOR is a Conservative Peer and has sat in the House of Lords since 1986. Lord Astor was Parliamentary Under-Secretary of State at the Ministry of Defence from 2010-2015.

As a British Army Officer in The Life Guards, part of the Household Cavalry Regiment, he served on mounted ceremonial duties in London and, amongst other countries, in Malaysia, Singapore and Hong Kong. He is Deputy Lieutenant of Kent, President of the British Motorsport Industry Association, Vice Chair of the AllParty Parliamentary Group on Oman and President of the ThaiUK Business Council.

t gives me great pleasure to welcome this FIRST report and to express my warmest congratulations to His Majesty Sultan Haitham bin Tarik on his accession. I know that His Majesty Sultan Haitham bin Tarik will build on the achievements of his predecessor.

His late Majesty Sultan Qaboos was one of the most inspirational and visionary leaders of our time.

Over the course of his near 50 years of leadership, he completely transformed Oman into the developed and forward-thinking nation that it is today.

Like so many of my compatriots, my family and I have been regular visitors to Oman for many years, and the Omani people have a very special place in my heart. I have been honoured to visit Oman in a variety of official capacities – initially in my role as a Defence Minister, and more recently in my dual role as the Prime Minister’s Trade Envoy to Oman and the Defence Secretary’s Adviser on Military Cooperation with Oman. Through these visits, I came to know both His late Majesty Sultan Qaboos and his Ministers very well – I have always been heartened by the way I was received by them, and have been humbled by their generosity and warmth towards me, and on a personal level towards my family. On this latter point, it was a moment of personal pride when my daughter, Violet, held her “Wild Oman” art exhibition in Muscat in October 2019, and I am delighted that her work has both raised awareness of endangered wildlife in Oman and has generated funds for the Omani Environmental Society.

However, the UK’s relationship with Oman is far broader and deeper rooted than my personal connection – this is an extremely special and long-standing bilateral friendship dating back hundreds of years, and which spans the whole of our respective societies – from political to defence to economic, and of course to trade. As Trade Envoy, I have observed first-hand that the UK has a very close commercial relationship with Oman, of which we should be very proud. Bilateral trade reached £1.4bn in 2019; and the UK accounts for 50 per cent of all Foreign Direct Investment in to Oman, with large recurring investments in the oil and gas sector. But, it’s not just about oil and gas – we have also developed particularly strong links in defence, financial and professional services, education, healthcare and retail. Iconic British brands have had a long affinity with Oman; HSBC have been here for 70 years and are one

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of the largest banks in the country; BAE Systems have been here for 60 years and are a major supplier to the Omani Ministry of Defence; and British engineering and construction companies have built key national infrastructure, including the Sultan Qaboos Grand Mosque and Royal Opera House in Muscat.

I have had the honour and the privilege of travelling extensively around Oman, and nothing has captured my attention more than the development of Duqm.

Duqm is the flagship mega-project of Oman’s drive to diversify its economy. The vision is enormous (port, economic freezone, heavy/light industry, residential and tourism), and development of the whole 2000km2 site will make Duqm one of the world’s largest logistics hubs and freezones. The Special Economic Zone Authority Duqm (SEZAD)’s priority is commercial success, and investment is keenly sought. The BabcockOman Drydock Company (ODC) Joint Venture reflects Omani trust in British companies to support the long-term development of Duqm. Atkins are also heavily involved, having undertaken the master planning activity; and Petrofac are one of the major construction contractors working on the Duqm Oil Refinery project.

The Department for International Trade (DIT) team in the Embassy in Muscat stand ready to offer support to any British company interested in doing business with Oman. In recent years, they have provided excellent support to International Hospitals Group (IHG), Petrofac, Vodafone, BAE Systems, BP, Shell, KPMG, Dentons, Interserve, Mace and many others. The team know Oman incredibly well, and regularly go above and beyond to support UK business – if you reach out for assistance, you will not be disappointed.

With an expansive Indian Ocean coastline, Oman is a politically and economically stable country. At the same time, Oman offers a strategically advantageous place to do business in the Middle East – outside of the Strait of Hormuz, on the open ocean (Duqm), and in very close proximity to major East-West global shipping routes. Oman offers excellent opportunities for companies with high quality products looking for long-term relationships.

I wish His Majesty Sultan Haitham bin Tarik every good wish and congratulations and know that the Sultanate of Oman will enjoy further progress and prosperity under His Majesty Sultan Haitham bin F Tarik’s wise leadership.

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Joint message from

General Sir Nick Carter kcb cbe dso adc gen

The Rt Hon Ben Wallace mp Secretary of State for Defence

H

Chief of Defence Staff

is late Majesty Sultan Qaboos was a leader respected across the world and will be remembered by the United Kingdom and within Defence and the UK Armed Forces as a true and greatly valued friend. We will sorely miss his sage advice and experience of charting the waters of a region that has experienced more than its fair share of challenges and crises.

Over the past 50 years, His late Majesty Sultan Qaboos’s vision transformed Oman. His commitment to reconciling differences and building bridges helped bring peace to the region and beyond. He was a key ally for the United Kingdom and under his leadership, the friendship between our two nations, already centuries old, flourished and strengthened year on year.

The Sultanate of Oman is the United Kingdom’s longest-standing ally in the Middle East, with the first treaty between the East India Company and the Port of Sohar dating back to 1646. Since then, Oman has been a key ally for Great Britain in the Gulf and Indian Ocean regions and we have worked together tirelessly to promote peace and prosperity and enable the flow of free trade.

Today our two countries have a unique military relationship based on shared values, history and interests. Our relationship has been forged in battle with our forces fighting shoulder-to-shoulder for shared values.

Our Armed Forces also work side-by-side on a daily basis. Since the

1920s, our cooperation has included loan Service personnel who support the Sultan’s Armed Forces. The UK currently has a Loan Service team of around 90, the largest British Loan Service Team anywhere in the world. Recognising the benefits of this system, His late Majesty Sultan Qaboos proposed that Omani personnel should also serve on loan service in the UK alongside British forces. This came to fruition in 2018.

There have also been many generations of sailors, soldiers and airmen and women from both nations who have collaborated on exercises and courses. As so often, His late Majesty Sultan Qaboos set a shining example, with his commission from the Royal Military Academy Sandhurst in 1962 followed by his service with the Cameronian regiment in Germany. Many Omani servicemen have followed in the footsteps of His late Majesty Sultan Qaboos by attending initial officer training at Sandhurst, Cranwell and Dartmouth. And many have excelled; in December 2019 Officer Cadet Omar Al Alawi was awarded the International Sword for the best International Cadet at Sandhurst and Officer Cadet Mohammed Al Alawi was awarded the Overseas Students prize for the best overall performance by an international cadet at RAF Cranwell.

Over the years, the Saif Sareea exercises in 1986, 2001 and 2018 have been the beating heart of our defence relationship. These large-scale exercises, established under His late Majesty Sultan

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“The friendship of the two States may remain unshook till the end of time, and till the sun and the moon have finished their revolving career”

Qaboos, are designed to develop Omani and UK capabilities. Saif Sareea 3 in 2018 was the largest UK exercise since Saif Sareea 2 and saw 5,500 British troops live, work and train alongside 70,000 Omani personnel across land, sea and air. The series will continue with Saif Sareea 4 in 2028.

Building on the success of Saif Sareea 3, the UK and Oman signed a Joint Defence Agreement in early 2019 to further develop capabilities and promote regional stability. This has been complemented by a Comprehensive Agreement on Enduring Friendship, promising cooperation across a number of sectors including health, science and technology. These agreements are a clear demonstration of the

commitment from both the UK and Oman not to rest on our laurels but continue to build our centuries-old relationship.

We take pride in the partnership developed between the UK’s Armed Forces and their Omani counterparts during the reign of His late Majesty Sultan Qaboos. We will mourn the loss of His late Majesty Sultan Qaboos but, as we look to the future and to a new partnership with His Majesty Sultan Haitham bin Tarik, we will continue to be inspired by a sentence in a treaty between Oman and Britain from 1800: “the friendship of the two States may remain unshook till the end of time, and till the sun and the moon have finished their F revolving career.”

Rt Hon Ben Wallace mp Secretary of State for Defence

General Sir Nick Carter kcb cbe dso adc gen Secretary of State for Defence 15

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Message from H.E. Dr. Abdulla Al-Harrasi

Minister of Information, Sultanate of Oman

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he media landscape in Oman, in terms of its legal, legislative and professional framework, was very much masterminded

by HM the late Sultan Qaboos. We have no doubt that HM Sultan Haitham Bin Tarik will be instrumental in sustaining the credibility and consistency of media in Oman.

The media landscape began to emerge in Oman at the beginning of the Omani renaissance in the early 1970s. It was at that time that the various press establishments, notably radio and television channels, were established in Oman.

These Omani media channels contributed to the pace of development in Oman by providing information and enlightenment to the citizens of the country, introducing modern ideas, reflecting trends and informing of current affairs in the local, regional and international spheres.

His late Majesty Sultan Qaboos Bin Said defined the Omani media’s policies and principles at the start of the renaissance and nurtured them throughout their different stages. His successor, His Majesty Sultan Haitham Bin Tarik, now the torch bearer, continues this leadership, progressing confidently forward towards achieving the goals and underpinning the principles for which they were devised.

Any observer, who has pondered the growth and development of

Omani media since its early beginnings, will find that it champions legitimate human rights, justice and peace. Omani media puts the value of humans at the forefront, considering them the cornerstones of civilisation building.

In implementing its policies, Omani media relies on a set of basic values, the most significant being advocating a clear-cut information based on transparency and credibility, as well as a balanced approach to tackling various regional and international developments in light of Oman’s domestic and foreign policy.

The Omani media’s basic principles and pillars also include ongoing training and capability development for Omani print, visual, audio and electronic media services. These principles also include the continuous articulation of society’s issues (of public interest), values and traditions, as well encouraging private sector investment in media. There is an ongoing assessment and measurement of public opinion in the quality of the media’s message and performance and it’s role in spreading public awareness.

Amid the rapid developments influencing the sector, progress cannot stop. Accordingly, the Sultanate continues to train journalists and media personnel in both the public and private sectors to help them F deal with different and emerging developments in this field.

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Message from HE Abdulaziz Abdullah Zahir Al Hinai Ambassador of the Sultanate of Oman to the Court of St James’s

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he year 2020 is an important milestone for the leadership, government and people of Oman. In the midst of our preparations for the 50th anniversary of a modern state, the renaissance and the legacy of His Late Majesty Sultan Qaboos bin Said, as fate would have it, the story was different.

In his first address to the nation on the 10th of January 2020, His Majesty Sultan Haitham bin Tarik, the Sultan of Oman, quoted the late Sultan as “the dearest, finest and the best of men”. In that speech, His Majesty emphasised the need to march the country forward to attain and maintain its prominent place in the world- a vision of the late Sultan for which he committed his life to realising.

This year (2020) is not solely the Anniversary of 50 years of His Majesty’s eternal legacy, but also a year to celebrate our foreign affairs approach which is based on the solid fundamentals of peaceful coexistence, good neighbourliness, non-interference in the internal affairs of others and respect for sovereignty. We also shine a light on more than 220 years of deep-rooted relations between the Sultanate of Oman and the United Kingdom of Great Britain and Northern Ireland.

This unique and fundamental relationship between two nations is

not merely historic, but also strategic, political, economic and cultural, established through the signing of the first treaty between Oman and the United Kingdom in Sohar in 1646. It is a relationship that will continue to flourish under the recent signed joint defence agreement and the Comprehensive Agreement on Enduring Friendship.

His Majesty Sultan Haitham bin Tarik, on his first declaration to the nation has committed himself to Oman, its gains, its renaissance and most importantly its youth, the inexhaustible resource and the strength that builds nations. His Majesty encouraged the government to listen, to sense and to attend to the needs of the people. While enriching this vital process, His Majesty accords full attention to education, support, research, innovation and empowerment.

As our government will pursue progress in various sectors, we believe that nation building and development are a public responsibility. We will be forever committed with all dignity and strength to provide full support towards the achievement of our F country’s future goals at all levels.

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HE Abdulaziz Abdullah Zahir Al Hinai Ambassador of the Sultanate of Oman to the Court of St James’s

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IHG is proud to commemorate the life of His Majesty Sultan Qaboos bin Said al Said.

We are truly honoured to support the healthcare sector in the Sultanate of Oman.

IHG is working with our esteemed partners to contribute to the health and well-being of this incredible country. www.ihg.co.uk

International Hospitals Group Leading Healthcare Worldwide

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An enduring spirit of friendship

By H.E. HAMISH COWELL CMG Ambassador of the United Kingdom to the Sultanate of Oman

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HAMISH COWELL joined the Foreign and Commonwealth Office in 1987, and has spent much of his career on Middle East and North African issues, including as Deputy Head of Mission in Tehran, Head of the Political and Economic Section in Cairo and as British Ambassador to Tunisia.

Other postings include Paris and Brussels as well as No 10 Press Office and Foreign Secretary’s Speechwriter. He was made Ambassador to Oman in 2017.

his time last year, we looked ahead to 2020 with two important anniversaries in mind.

First, of course, the 50th anniversary of HM Sultan Qaboos’ accession; of Oman’s remarkable transformation during his rule; and of the exceptionally close relationship between our two countries over this time. The second was the 220th anniversary this year of what is known as the ‘Unshook Treaty’ between our two countries. As I discussed with His late Majesty last year, the convergence of HM Sultan Qaboos’ Golden Jubilee year and the 220th Anniversary in 2020 of the treaty that most succinctly expresses this special and historic relationship seemed a perfect way to celebrate our partnership.

2020 has seen plans confounded everywhere. But an unprecedentedly challenging year globally started also as a very sad one in Oman, and for Oman’s many friends around the world. Those friends shared with the people of Oman their deep sense of loss at the death of HM Sultan Qaboos in January, a feeling reflected in tributes paid by leaders from around the world.

In the case of the United Kingdom, it was exemplified in person on the first day of condolences by the presence of His Royal Highness The Prince of Wales, by the Prime Minister, the Defence Secretary and the Chief of the Defence Staff amongst others. Their presence testified to our respect for His Majesty Sultan Qaboos, to our commitment to His Majesty Sultan Haitham and to the relationship between Oman and the UK, which goes back beyond the ‘Unshook Treaty’ of 1800.

The plan to bring together those two anniversaries was in part inspired by a fascinating conference on the history of UK/Omani relations organised two years ago by Oman’s National Archives under the auspices of His Majesty Sultan Haitham, when then Minister of Heritage and Culture, which brought out many enduring themes of this unique and historic partnership, not least our shared commitment to stability, security and freedom of navigation in this region.

It was therefore no surprise that the National Archives conference coincided with the start of Exercise Saif Sareea 3 – the UK’s largest joint military exercise in the world in nearly twenty years. Following the success of SS3, in 2019 we signed our Joint Defence Agreement. As part of that, we are now working closely together on developing a Joint Logistics Hub at the new Duqm port.

Our trade and investment ties are similarly significant. The UK is the largest investor in Oman, accounting for nearly half of all foreign direct investment. That investment, like Oman’s economic aspirations, is diversifying beyond the hydrocarbon sector to explore opportunities for cooperation in sectors including education, healthcare and ICT. In keeping with Vision 2040, we see the digital opportunities as exciting. Last year we launched our UK/Oman Digital Hub initiative, reaching out to schools and universities as well as start-ups in the private sector- the first such initiative in this region.

The opportunities in other sectors are no less exciting. Tourism has huge potential, as do fisheries and aquaculture. We have experts working with their Omani counterparts to develop sustainably the Blue Economy, a focal point of HRH The Duke of Cambridge’s visit last year.

Education links remain second to none. Each year, around two thousand five hundred Omanis go to study in UK universities and colleges. Four years ago, the British Council in Oman launched, with Embassy support, a UK graduate Alumni Association which now has nearly 1700 Omani members – the most thriving in the Gulf region.

Last year, our two countries sought to capture the breadth and depth of this cooperation in a Comprehensive Agreement on Enduring Friendship to sit alongside the Joint Defence Agreement. The Comprehensive Agreement is a little longer than the 1800 ‘Unshook Treaty’ but the spirit is the same; as that earlier Treaty put it, to ensure ‘that the friendship of the two States may remain unshook till the end of time, and till the sun and moon have finished their revolving careers.’

That spirit of enduring friendship brings me back to my starting point, to why we were represented at such a high level to convey our condolences to His Majesty Sultan Haitham. And it is reflected in the deeply woven links between the Omani and British people.

It is what makes this relationship so strong. Our engagement in 2020, including visits since March by the Foreign Secretary, the Defence Secretary and the Minister of State for the Middle East, underlines our commitment to His Majesty Sultan Haitham and the people of Oman. As they and we celebrate 50 years of Oman’s renaissance, and as they embark on the process of renewing that renaissance, I am delighted that this special edition is, in its own way, contributing to it. F

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Celebrating 50 years of Oman’s modern renaissance.

We honor the legacy of HM Sultan Qaboos bin Said.

The torch has passed to HM Sultan Haitham bin Tarik.

Under his leadership, Oman and its people continue to grow and thrive.

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Friendship and cooperation

By SIMON PENNEY Her Majesty’s Trade Commissioner for The Middle East, Afghanistan and Pakistan

I SIMON PENNEY has been Her Majesty’s Trade Commissioner for the Middle East, Afghanistan and Pakistan since May 2018 and he leads the work of the UK Department for International Trade in the region. His remit covers trade promotion, investment, trade policy and export finance.

Before joining the government, Simon held roles in the Middle East with First Gulf Bank and the Royal Bank of Scotland, prior to which he was with ABN AMRO Bank in South Africa and the UK. He holds an Engineering degree from Reading University and an MBA from Nottingham University.

begin by extending my own personal and heartfelt condolences to the people of Oman on the passing of the ‘very best of men’, His late Majesty Sultan Qaboos. He was a visionary leader whose steadfast guidance, enduring faith, and unwavering commitment to his people were the foundation upon which Oman’s success is built. We celebrate his achievements and his legacy, for his is a life worth commemorating.

At the same time we celebrate the transition to His Majesty Sultan Haitham bin Tarik, and wish him all the very best for a long and prosperous reign. We look forward to working with him, in friendship and partnership, in the months and years ahead. Friendship is the backbone of our bilateral relationship. Ours is a friendship that is deep, historic and enduring.

I reflect back on the signing in May last year of the UKOman Comprehensive Agreement, which demonstrates our two countries’ commitment to working together across a number of sectors. In signing this agreement, our ministers jointly stated that for decades, His late Majesty Sultan Qaboos and British Prime Ministers have been at the forefront in ensuring that our close friendship has been maintained in the spirit of the 1800 ‘Unshook’ treaty – for which we celebrate the 220th anniversary this year.

In my role as Her Majesty’s Trade Commissioner, I see for myself the positive impact of this enduring friendship. Not only in the exchange of goods and services leading to increased trade and investment, but crucially in the exchange of ideas and the strengthening of relationships at every level.

As Oman seeks to drive diversification to create new economic opportunities across key sectors, my message to all Omanis is that the UK is here to support your vision. By creating partnerships at a Government-toGovernment level, and working together to tackle common challenges, we can deliver solutions that benefit both countries.

Bilateral trade between the UK and Oman last year hit £1.4 billion, which constitutes a 70% increase if we go back just five years to the end of 2014, and a 110% increase over the course of the last decade.

While our Department for International Trade (DIT) seeks to drive exports overseas and promote investment into the UK, this is not all we strive to do.

Today, the Department also has a strong Outward Direct Investment remit. Indeed, the UK is already the

number one investor into Oman, making up roughly 50 per cent of all FDI into the Sultanate.

One area of growing collaboration is between DIT and Ithraa. We share similar ambitions, to grow mutual trade and investment between the UK and Oman.

With Ithraa’s mission to attract sustainable investment, promote the export of Omani goods and services, and thus support jobs and growth, it’s clear that DIT and Ithraa have complementary goals, so it is fitting that we collaborate to meet these ambitions together.

Another key priority for DIT is the establishment of Freeports across the UK. As the UK moves towards this goal, we can learn much from the ports and freezones in Oman.

With the opportunities afforded by their strategic location on the open ocean and in close proximity to major East-West shipping lanes, I have no doubt that Oman’s emerging ports will flourish and take a larger share of global trade flows.

Oman’s unique position makes it geographically ideal as a gateway between East and West. And increasingly as a gateway to the South.

ASYAD’s ports and freezones in Sohar, Salalah and Duqm can facilitate the movement of goods to growing middle classes in Asia and Africa.

British businesses have played a role in making this happen. Atkins’ master plan for the Special Economic Zone Authority Duqm (SEZAD), Babcock’s Joint Venture with Oman Drydock Company (ODC) to build up and operate Duqm Naval Dockyard, and Petrofac’s work in Salalah and Duqm are just a few examples to share.

UK Export Finance also plays an important role, both in funding projects and bringing in the UK supply chain. Douglas OHI’s work on the Liwa Plastics project in Sohar Port, the project financing packages put in place for the new oil refinery in Duqm, and the new hospitals which International Hospitals Group (IHG) are building in Salalah, Khasab and Suwaiq demonstrate the value that UK Export Finance can bring.

UK-Oman partnerships are going from strength to strength. Our long history as trading partners means that British companies can rest assured that they will be supported as they grow their businesses in Oman.

I underline the UK’s commitment to take the historic friendship with Oman into a new era of collaboration F to benefit future generations.

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Cooperation and support

By LOUIS TAYLOR Chief Executive, UK Export Finance (UKEF)

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LOUIS TAYLOR is Chief Executive of UK Export Finance (UKEF). He is also a Director General in the Department for International Trade, and a member of its Executive Committee and Management Board.

Before joining UKEF, Louis held senior roles at Standard Chartered Bank, including from 2013 to 2015 as Chief Operating Officer of Group Treasury, based in London. Before that, he spent three years as the bank’s CEO for Vietnam, Cambodia and Laos. His earlier career included working for JP Morgan, Cookson Group plc and BTR plc. He has an MA in Law from Cambridge University.

wo hundred and twenty years ago, Sultan ibn Ahmad signed a treaty with Great Britain, which expressed the hope that “the friendship of the two states may remain unshook till the end of time, and till the sun and moon have finished their revolving career.”

During the following two centuries, our relationship has deepened and strengthened. Many further agreements have been signed, most recently with the Comprehensive Agreement in May 2019.

I have visited Oman on a number of occasions since becoming CEO of UK Export Finance, most recently in October 2019, and every time I visit, I am struck by the dynamism of the country and the commitment of its business community to diversifying the economy and contributing to Omani society more broadly.

Oman is a country of considerable natural wealth, and the volatility in oil prices in the last decade has seen the country significantly diversify its sources of revenue through the Sultan’s Vision 2020. The UK is fully supportive of this approach, which aims at creating a more sustainable and diverse economy, as well as utilising the country’s oil and gas reserves to invest in healthcare and education.

We believe that trade is crucial to realising the late Sultan’s Vision and unleashing the full potential of the Omani economy. UK-Omani trade is worth £1.4 billion, with the UK’s most significant goods exports to Oman being in the power, aviation and automotive sectors.

While this is a significant figure, it does not reflect the full promise of what we could achieve together.

Key to unlocking our countries trade potential is the availability of finance, and that is where UKEF comes in. UKEF is the world’s oldest export credit agency.

We celebrated our centenary last year, marking 100 years of experience in helping UK exporters and their overseas buyers to do business. We continue to be recognised as a leader in the field of export credits, most recently named as the world’s best export credit agency by Global Trade Review, Euromoney’s Trade Finance and Trade Finance Global.

UKEF’s mission is to ensure that no trade with the UK should fail for lack of finance or insurance. One of the ways that we do this is by helping buyers and project sponsors to access attractive long-term finance to make sourcing from the UK more competitive.

This opens up the potential for Omani public

and private sector buyers to tap into the UK’s long tradition of innovation and expertise, particularly in construction, services and technology.

UKEF are already heavily involved in Oman, with nearly £3 billion committed in various projects over the past few years. One of our largest transactions in the country is the Duqm refinery project, to which we provided $700 million in financing as part of a $4.6 billion ECA-backed package of support – a deal that was named as the best ECA finance deal of 2018 by TXF. As part of our support, we held a supplier fair in London, where we introduced the project sponsors to 187 UK companies with products or services that meet their needs. Events like this offer real and tangible opportunities to do business that would not have occurred without UKEF support, allowing Omani buyers to access the UK’s world-leading supply chain.

We have also recently announced support worth £540 million to enable the construction of three hospitals in Oman. The new Salalah, Suwaiq and Khasab hospitals will provide intensive care, emergency services and specialist baby care. These projects will also see the construction of wastewater treatment plants, roads and other associated infrastructure, and will significantly enhance the provision of healthcare in the Sultanate.

Transactions like these, and others that we have supported, demonstrate how our support for Oman is helping its mission to diversify its economy and create employment opportunities for its citizens, and we want to do more. We recognise that flexibility is vital in financing economic growth. That’s why we can support a range of structures – from project finance to public-private partnerships and Islamic finance.

UKEF was the first export credit agency ever to guarantee a sukuk in 2015 when it supported Emirates’ purchase of four new Airbus A380 aircraft, another example of how our capacity to innovate has only increased over the last 100 years.

Support through our buyer credit scheme is available in the Omani Riyal, one of over 60 different currencies that UKEF can support, allowing project buyers the flexibility to access long-term finance in their own currency.

We are delighted to have been able to offer this support to Oman, continuing the long tradition of cooperation between our two countries, and I look forward to seeing our relationship continue to go from F strength to strength in the years to come.

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Shared interests and future

By ALDERMAN WILLIAM RUSSELL Lord Mayor of the City Of London

I WILLIAM RUSSELL is serving as the 692nd Lord Mayor of the City of London for 2019–2021.

Educated at Eton and Durham University, graduating with a Bachelor of Laws, Russell started his career in financial services at First Boston, and later joined Merrill Lynch, working in Hong Kong, New York and London. He is a member of the Advisory Board of Innovate Finance, an independent not-for-profit membership organisation serving the global FinTech community and a Court Assistant to the Haberdashers’ Company.

was deeply saddened to hear of the recent death of His late Majesty Sutlan Qaboos. I will remember him as a respected leader across the world as well as for his huge contribution towards the development of Oman into a stable and prosperous nation, to the benefit of millions of Omanis.

I will also recall the huge role he played throughout his rule in strengthening the UK-Oman bilateral relationship - 220 years old this year – and his unmatched support for its foundation of friendship and mutual prosperity through cooperation in trade, defence and culture.

His late Majesty fully epitomised this spirit since his accession in 1970, and fully embraced the potential of collaboration between our two countries – whether it be through military cooperation following the signing of the Joint Defence Agreement last year, encouraging the sustainable development of Oman’s natural resources through UK investment and expertise, or promoting cultural and educational exchange. In doing so, Oman and the UK have both benefitted and flourished together. And it is these relationships which will take on a renewed importance as the UK departs from the European Union.

Thanks to His late Majesty Sultan Qaboos and his ability to see the full potential of the relationship between our two countries, we start from a position of fantastic strength. Trade between the UK and Oman is soaring, hitting a record £2.8 bn in 2018 – up a massive 90 per cent on 2016. Elsewhere, almost half of all foreign direct investment into Oman originates from the UK. This is a tremendous legacy, and truly worthy of celebration.

It is now our duty to the late Sultan to look at ways in which we can further build on this progress, and ways in which London and the UK’s world-leading financial sector can offer support. For instance, he understood that the UK – with strong credentials and world leading expertise in green and sustainable infrastructure financing – could be a key partner in his drive for Oman to diversify and create new economic opportunities across key sectors. As the home of more than £1 trillion of capital through the London Stock Exchange and the globe’s leading asset management firms, we can help realise that ambition. We even recently saw a great example of this in the last few months of the late Sultan’s life, with the financial support offered by the UK Government to build three new hospitals across Oman.

That could be useful assistance as Oman looks to develop infrastructure at its ports – another ambition of His late Majesty Sultan Qaboos - therefore taking advantage of its strategic position at the gateway of the Gulf and creating free zones, further stimulating foreign direct investment and enabling local SMEs to grow.

Away from business and finance, the late Sultan was an avid champion of Oman’s unique cultural charm – something particularly close to my heart here in London, with culture forming an integral part of my mayoral theme. His late Majesty had the vision to see that our wonderful cultural ties were something to truly celebrate and bring us closer together as two peoples. Muscat’s magnificent architecture, including the stunning Grand Mosque gifted to the nation by the late Sultan to mark his 30th year on the throne, as well as the souks and forts of the city of Nizwa and Oman’s stunning coastline are contributing to its flourishing reputation as a jewel for tourism. Here too London and the UK are on hand to offer assistance, as Oman looks to build on the late Sultan’s legacy by further developing this growing industry for the benefit of both of our countries, therefore helping to share Oman’s cultural heritage with the world.

Meanwhile, the signing of the Oman-UK Comprehensive Agreement as recently as October further underlined the late Sultan’s commitment to working together across science, technology and much more. In line with his directive, that included university exchanges with the UK to help upskill Oman’s youth, and therefore prepare them for future challenges and the next stage of the nation’s development.

His late Majesty Sultan Qaboos leaves a profound legacy then, not just for Oman but for across the region too, as well as its relationships with its friends across the world. The fruits of his leadership have seen our trading and investment relationship continue to hit new heights and look set to do so for some time yet, while the cultural ties he helped to foster are bringing our two countries and peoples closer together than ever before. The UK is a proud friend and enduring partner of Oman, and our thoughts and prayers are with the Omani people at this difficult time.

I am determined that we support His Majesty Sultan Haitham bin Tarik as he looks to build on his predecessor’s indefatigable work, as we strive towards the promising F future that our two countries can share together.

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Oman and Britain: 220 years

By STUART LAING Chair of the Anglo-Omani Society

I STUART LAING had a first career in the British Foreign Service, serving in Saudi Arabia and in Cairo, and then as Ambassador in Muscat (2002-05), and later in Kuwait (2005-08).

He was then Master of Corpus Christi College, Cambridge (2008-2018), and now researches and writes on Arab and East African history.

He is co-author of a book on Omani-British history, Unshook till the End of Time, and has published a biography of Tippu Tip, the ArabAfrican ivory trader.

General Sir John Malcolm, Governor of Bombay. He was nicknamed ‘Boy Malcolm’ for his youthful looks, not apparent in this portrait of him in mature years by an unknown artist

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Picture by courtesy of Annan Museum, Dumfries and Galloway, reference ANNMS:90

n this publication we celebrate with admiration the life and achievements of His late Majesty Sultan Qaboos bin Saʿid; and at the same time we look back on the 220 years of close relations between Britain and Oman, since the Agreement of January 1800 which contained the famous and poetic aspiration that “… the friendship between the two States may remain unshook till the end of time, and till the sun and moon have finished their revolving careers.”

As a former professional diplomat, I can express only regret that we have lost the art of using such imaginative language in international treaties in the present age!

The 1800 Agreement was signed at a time when both the British Government and the Ruler in Muscat

had particular reasons for protecting their maritime interests and ensuring stability in the northern Indian Ocean. In this article I shall look at the context of that signature, and at a few other important moments in the life – so far – of this important relationship, and see how far the parties to it have lived up to the 1800 promise of eternal friendship.

First contacts between Britain and Oman go back well before 1800, in fact to the period following the foundation of the East India Company in 1600. As English vessels began trading to India and Persia, they looked for suitable locations for trading posts and depôts (known as ‘factories’), and wanted naturally to ensure safety – from pirates, or from commercial competitors such as the Portuguese on their trading routes. The Portuguese, having first invaded the coast of Oman in the early 16th century, were still in occupation, and were attacked by the Persians and then driven out by the Omanis in 1649. It was about this time, actually in 1646, that the first written BritishOmani agreement was signed, between an official of the East India Company and the people of Sohar (see end-note)*.

Negotiations for a similar agreement with the Imam in Muscat were not concluded, although the Company’s ships regularly called there.

From the start, then, British interests in the Gulf in general, and Oman in particular, were seen though the perspective of India. This trend was strengthened as the British expanded their presence in India itself through the 18th century, fighting off rivals such as the Dutch and the French. Later they joined forces with the rulers in Muscat, as Omani maritime traders had shared interests in security and stability in the northern Indian Ocean.

And this was the context in which the 1800 ‘Unshook’ treaty was signed. Oman had been suffering from destructive civil wars and a Persian occupation, from which Ahmad bin Saʿid, the founder of the al-Busaʿidi dynasty, emerged as

victor and liberator. The British had been engaged in heavy fighting in India (as well as elsewhere) in the Seven Years’ War, and were reeling from the shock of the loss of the American colonies in the War of Independence (1775-1783), which had the effect of making retention of the Indian possessions all the more important. Rivalry with the French continued after the French Revolution (1789 onwards), including in Muscat, where the al-Busaʿidi rulers hoped to maintain neutrality between the two major European powers.

The British needed to edge out the French, secure communication with India now being vital, and in 1798 the Governor of Bombay sent a Persian employee of the Company to Muscat to negotiate permission for a ‘factory’, mutual friendship, and the expulsion of French (and also Dutch) traders and vessels.* The 1800 Agreement came about because the Governor-General in Calcutta, who had taken over responsibility for Gulf and Arab affairs from the Governor in Bombay, was concerned that Sayyid Sultan bin Ahmad, the Ruler in Muscat, was backsliding from his 1798 commitments.

He sent John Malcolm, then a young captain, with a large entourage designed to impress, to bring Sayyid Sultan firmly round to the British side.

In this he was entirely successful, and the first British Political Agent soon took up residence in Muscat.* After Sayyid Sultan was killed in battle a few years later, a succession dispute broke out among the al-Busaʿidis, from which his son Saʿid emerged as Ruler.

Saʿid bin Sultan reigned from 1806 until his death in 1856, a fifty-year period during which he brought his country out of turbulence to prosperity, and maintained a strong and (mostly) friendly relationship with the British. In all these respects, comparison with His late Majesty Sultan Qaboos is tempting.

The first episode in which the friendship was to be tested was in the wars aimed at ending piracy in the Gulf.

Sayyid Saʿid faced enemies in the shape of Arabs from the Nejd in central Arabia (usually referred to as Wahhabis, from their religious leader Muhammad ibn Abdul Wahhab), who at various times encroached on his northern and western borders; and the Qawasim from what is now the United Arab Emirates, who attacked Omani shipping (or, according to another interpretation, used force to exact tolls on ships transiting their waters). The British, also concerned to maintain free (and toll-free) navigation

in the Gulf, joined forces with those of Sayyid Saʿid in two campaigns, in 1809 and 1819, to bring the Qawasim to heel. The outcome was a ‘General Treaty’ establishing a ‘lasting peace’ between Britain and the tribes of the Gulf, which can be seen as a precursor of the Truce of 1835 that gave rise to the coast from Abu Dhabi to Ras al-Khaimah becoming known as the Trucial Coast.

If joint action against piracy brought Britain and Sayyid Saʿid into collaboration, the issue of slavery and the slave trade was more contentious. After William Wilberforce’s Act of 1807 which made illegal the trading of slaves in British ships and British ports, UK governments responded to public opinion in seeking to pressurise others to end slavery. A prime target was Sayyid Saʿid, whose countrymen – and whose own ships – brought slaves to the Gulf and elsewhere from the market in Zanzibar. By this time Omani settlements were well established on the East African coast, to the extent that in about 1840 Sayyid Saʿid moved his court and main residence to Zanzibar. He mainly resisted the attempts to force on him the ending of the slave trade (slaves being essential to the clove and spice plantations

The 1800 Agreement was signed at a time when both the British Government and the Ruler in Muscat had particular reasons for protecting their maritime interests and ensuring stability in the northern Indian Ocean

The great Sultan Sayyid Saʿid, Ruler from 1807 to 1856. Picture by courtesy of Beit al-Zubair, Muscat

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The two countries and peoples, and their governments, have developed a mature and equal relationship as befits states in the global community of nations

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in Zanzibar, and elsewhere in Omani society), but acquiesced in British arm-twisting by agreeing to limit the carrying of slaves to vessels in coastal waters, in a series of agreements including a Commercial Treaty in 1839 and another treaty in 1845. But it was only in 1873, after his death, that treaties ending the slave trade were signed with his two sons, Sultans in Muscat and Zanzibar.

The division of the Sultanate was another episode in which the British intervened in Omani affairs.

When Saʿid bin Sultan (formerly referred to as ‘Imaum’ or ‘Imam’ Saʿid, but as ‘Sultan’ in British official documents from about 1839) died in 1856, the succession was disputed among his sons. Anxious to avoid turmoil, Lord Canning, Governor-General in Calcutta, set up a tribunal to arbitrate. The tribunal split the Sultanate in two, with one son as Sultan in Zanzibar and another as Sultan in Muscat, and required Zanzibar to pay an annual subsidy to Muscat of 40,000 Maria Theresa dollars to compensate for the differential in income between the two. From 1873, as a sweetener to end the slave trade, the British agreed to pay the subsidy on behalf of the Zanzibar Sultan, and continued to do so until well into the 20th century.

Protection of interests in India continued to motivate the British relationship with Oman through the 19th century, and this became a government – rather than commercial – concern after the nationalisation of the East India Company in 1858. The Political Agent in Muscat progressively increased his influence on the Sultan’s conduct of affairs, and in 1890 officials in India even considered declaring a protectorate over Oman. Lord Curzon, Viceroy of India, is reported to have said that he had “little doubt that the time will come … when the Union Jack will be seen flying from the castles of Muscat.” But it never did. The sultan at the time, Faysal bin Turki, was determined to retain freedom to conduct his own foreign policy, and was at odds with the British over his relationship with the French, and other issues. He died in the middle of a crisis with religious conservatives following the revival of the Ibadi Imamate and the election of a new Imam as a rival to the sultan. His eldest son, Taymur, who succeeded him, realised that he could only put down the rebellion, or reach an accommodation with the Imam and the tribes supporting him, with the armed assistance of the British. Eventually, after nearly five years of stalemate amid worsening economic conditions (partly the effects of World War 1), an agreement was brokered by the Political Agent and signed at Seeb in September 1920, under which Sultan Taymur agreed not to interfere in the affairs of the interior, and the Imam agreed to remain in peace with the Sultan and not to attack the coastal area.* Through the 1920s, despite reluctance by British Indian authorities to engage in

further involvement in Oman, Sultan Taymur was obliged to accept an ever-increasing British presence in his administration, to improve governance and relieve strains on the economy.

The British commitment to sustain al-Busaʿidi sultans in power in Muscat was most clearly demonstrated in the Jabal Akhdar (‘Green Mountain’) and Dhofar campaigns of 1955-59 and 1968-75.

There are plenty alive today who were involved in both campaigns, and in this article we need touch on them only briefly. The Jabal Akhdar, above Nizwa, had become the headquarters of the Imamate, and Sultan Taymur’s son and successor, Saʿid, took the decision to end the division of the country and force the ‘rebels’ – as he saw them – into submission. This was eventually achieved, again with British military involvement, in January 1959, enabling Sa’id to style himself ‘Sultan of Muscat and Oman’ (‘Oman’ being, strictly speaking, the interior part of the country). The Dhofar campaign was of different character: although it began as an insurrection in protest at aspects of Sultan Saʿid’s rule, it became a confrontation between communist forces supported by the Soviet Union and China operating out of Yemen on the one side, and Omani forces allied with British, Jordanian and Persian troops on the other.

The Dhofar campaign ended after His late Majesty Sultan Qaboos had ousted his father from the throne and introduced measures that removed the causes of discontent and later led to the prosperity experienced

by Oman from the late 1970s onwards.

With the hindsight of history, how can we summarise this relationship, or assess how the ‘end of time’ friendship has fared? In the time of Sayyid Saʿid bin Sultan, interests were shared (for example in maritime security and the furtherance of commerce), and – despite the great power and wealth of the British in India – surprisingly well-balanced. Sayyid Saʿid was a determined ruler, with a strong character, and resisted British pressure (for example, over slave trade abolition) when he wished. Later, the equilibrium was lost, as Muscat was separated from its East African empire and Oman suffered from poverty and internal dissent. British economic, administrative and military support was central in keeping al-Busaʿidi sultans on their throne. In the closing decades of the 20th century, as Oman has successfully developed its natural resources and has been led by its second great Sultan, the two countries and peoples, and their governments, have developed a mature and equal relationship as F befits states in the global community of nations. *Note: texts of these Agreements and Treaties are reproduced in: Alston, R, and Laing, S,Unshook till the End of Time: a history of relations between Britain and Oman, Gilgamesh,London, 2017. The 1646 agreement is on pp 9-10; the 1798 agreement (“Cowlnamah”) on pp 34-35; the 1800 Agreement (the ‘Unshook Agreement’) on pp 42-43; and the 1920 Seeb Agreement on pp 179-80.

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In fond memory of a visionary

A tribute to His late Majesty Sultan Qaboos, Sultan of Oman, 23 July 1970 – 10 January 2020

He combined charisma and political acumen, uniting disparate factions throughout the country in the common cause of what would become known as the Omani Renaissance

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he philosophy that guided His late Majesty Sultan Qaboos over the course of his halfcentury at the helm of Oman is perhaps best encapsulated in his oft-quoted maxim: “make progress and safeguard tradition,” an inclusive approach that served his country well as it underwent a steady, measured process of economic, political and social transformation that emphasised retaining a national identity rooted in the family, a tolerant interpretation of Islam and strong cultural traditions.

In 1970, His late Majesty Sultan Qaboos took over the reins of an impoverished, overlooked backwater on the Arabian Peninsula riven by armed insurrection and tribal divisions. Furthermore, it was wholly dependent on its relations with Britain, with no diplomatic ties with Arab neighbours or international bodies.

His late Majesty Sultan Qaboos, aged 29, educated in the United Kingdom and a recent graduate of the Royal Military Academy in Sandhurst, England, embarked on a daunting task: laying out a vision for Oman’s future development and progress. In pursuit of his goals, he combined charisma and political acumen, uniting disparate factions throughout the country in the common cause of what would become known as the Omani Renaissance, or Al-Nahda.

At that time, Oman had barely 10 miles of paved roads and only three schools, with a total of 900 students, all of them boys. Two-thirds of the adult population (and nearly 90 per cent of women) were illiterate. One in five children did not live to celebrate their fifth birthday; life expectancy was 49 years. Today, bridges, roads and highways, dams and desalination plants, public utilities, high-speed internet, world-class sports and cultural centres, and hundreds of education and health care facilities, both public and private, attest to the success of his modernisation program. Life expectancy exceeds 77 years and literacy is estimated at 96 per cent of the adult population.

His late Majesty Sultan Qaboos also encouraged women to play their role in driving the development of their country, opening education and the labour market to girls and women in increasing numbers, while at the same time taking the lead in promoting women to positions of influence in the government and ensuring representation in popularly elected legislative councils. As a result, in 2013, Oman was recognised as the most advanced country in the Arab world in terms

of the participation and rights of women.

His late Majesty Sultan Qaboos understood that central to modernising Oman was a strong institutional framework, and in the early 1990s he was the driving force behind drafting a new Constitution, creating the Council of Oman (Majlis Oman), a bicameral parliament – consisting of the State Council (Majlis al-Dawla) an upper, appointed, house; and the Consultation Council (Majlis al-Shura), a lower, elected, consultative assembly – along with ministries to manage the effective functioning of a modern state. And while, in the strictest sense, he served as absolute monarch, holding a number of portfolios (including head of the armed forces, minister of defence, minister of foreign affairs, and chairman of the Central Bank), he also surrounded himself with trusted advisors and travelled throughout the land regularly to meet with his people and help frame priorities and respond to their demands.

Enhancing its citizens’ participation in the political process and undertaking public sector management reforms, Oman underwent several restructurings of state institutions in 2011 and 2012, creating an electorate that would play a major participatory role through the Council of Oman. Further legislation transformed the country’s regions into governorates, regulated the functions of governors, and introduced a greater degree of decentralisation.

His late Majesty Sultan Qaboos’s commitment to economic diversification and political reform was underscored by recognition that the country’s relatively limited oil and gas reserves would not last for long and had to be used wisely to lay the foundations of a modern state. To this end, a series of five-year plans focused on strengthening the private sector, speeding up privatisation, public-private partnerships, improving human resources, diversifying sectoral and production bases and including social safety nets for the vulnerable. Further, His late Majesty Sultan Qaboos pushed for investment in income-generating projects in industry, mining, agriculture, and fisheries, while modelling business advisory services and frameworks for its banking sector on those of leading international financial institutions.

Navigating regional and international diplomacy For the wider world, perhaps His late Majesty Sultan Qaboos’s most enduring legacy will be his

foreign policy, based on principle and pragmatism.

Independent since 1650 and mindful of its history and the realpolitik of the region, His late Majesty Sultan Qaboos understood that his diplomatic skills, military training and his engaging personality could allow him to give Oman a regional role based on policies of moderation and dialogue. His late Majesty Sultan Qaboos doggedly pursued a path of independence and nonalignment – “friend to all, enemy to none,” – even at the risk of reproach from his neighbours.

On assuming the throne, His late Majesty Sultan Qaboos acted quickly to reverse his county’s isolation by joining the League of Arab States and the United Nations. His late Majesty Sultan Qaboos’s reign was also shaped by his determination to keep the country firmly oriented toward the West while following a path of moderation and peaceful co-existence with its neighbours. Oman welcomed the Camp David Accords in 1978, ending the Egyptian-Israeli conflict and was one of the first countries in the Arabian Peninsula to open lines of communication with Israel while maintaining firm support for an independent Palestinian state.

Equally, after the 1979 revolution in Iran, His late Majesty Sultan Qaboos insisted that Oman would respect its long-standing ties to Tehran. The Sultanate under His late Majesty Sultan Qaboos became a trusted and respected third-party that could provide a diplomatic back channel and neutral platform for talks between players with very different agendas. As he explained to an Egyptian newspaper in 1985: “There is ultimately no alternative to peaceful coexistence between Arabs and Persians, nor to a minimum of agreement in the region.”

While maintaining Oman’s neutrality, His late Majesty Sultan Qaboos was also one of the founders of the Gulf Cooperation Council, formed in 1981 at the height of the Iran-Iraq war. He understood clearly that the states of the Arabian Peninsula could only prosper if they built reliable institutions of political, economic, and security cooperation.

Recognising his strong background in military and security affairs, Gulf leaders asked His late Majesty Sultan Qaboos to take the lead in promoting integrated military

structures for the GCC organisation. In 1984, the Sultan’s leadership culminated in the creation of the Peninsula Shield Force.

In the early 1990s, His late Majesty Sultan Qaboos showed his support for US Middle East policy by inviting Israel’s prime minister Yitzhak Rabin to Oman - the first public visit by an Israeli leader to an Arab state. In late 2018, he hosted Israeli premier Benjamin Netanyahu in Oman for talks.

After the attacks on America in September 2001, Oman was a major NATO logistics base during operations in Afghanistan and Pakistan, with cargo airlifted to Afghanistan on a daily basis via Muscat.

Following the Syrian unrest and violence that broke out in 2011 on the heels of the Arab Spring, Saudi Arabia and its Gulf allies lined up with the rebels and armed and funded their war against Iran’s ally President Bashar al-Assad. Seeing the potential for a long-running conflict that would destabilise the region, His late Majesty Sultan Qaboos again opted for strict neutrality.

His late Majesty Sultan Sultan Qaboos was determined to preserve the best of Oman’s traditional society while incorporating it into a modern framework

His late Majesty Sultan Qaboos

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MANAGING THE FUTURE OF ENERGY

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That year, Oman was largely spared the widespread conflict that shook the Arab world. There were protests, but demonstrations in the Sultanate were largely confined to two areas of the country, focused on corruption, salaries, and employment. His late Majesty Sultan Qaboos responded rapidly, shuffling his cabinet, dismissing ministers, increasing wages, and promising to introduce 50,000 public sector jobs.

The following year, Oman’s reputation for discreet diplomacy and as a mediator in the arch-rivalry between the Gulf Sunni monarchies and Iran led it to host bilateral talks between the US and Iran from 2012 that produced the interim deal over Iran’s nuclear programme and the first signs of a rapprochement between Iran and the US since the 1979 revolution.

His late Majesty Sultan Qaboos was the first world leader to visit the newly elected President Hassan Rouhani in Iran in August 2013. In the same year, Oman signed a billion-dollar gas pipeline deal with Iran. In early 2017, Rouhani made his first visit to the Arab world to Muscat, where he met His late Majesty Sultan Qaboos.

A country well-prepared to face the future His late Majesty Sultan Qaboos was determined to preserve the best of Oman’s traditional society while incorporating it into a modern framework. In economic development, too, he made sure that Oman pursued a measured pace and resisted those aspects of development, like opening the country to mass

tourism, that he believed would undermine Omani social and cultural values.

It will now be up to Omanis themselves to complete the journey begun by His late Majesty Sultan Qaboos half a century ago. His late Majesty Sultan Qaboos’s legacy will endure, yet challenges lie ahead: how to meet the expectations of a growing population of a young, tech-savvy population; the traditional Middle Eastern social contract between a generous state and an appreciative populace, is being challenged. The aspirations of the next generation are clear: greater freedom of expression, a loosening of controls on media, robust political debate, meaningful participation in the legislative process, greater employment opportunities, and economic reform.

Thanks to His late Majesty Sultan Qaboos, in 2020, Oman is in a better position to address these challenges than many of its neighbours. He remains the only leader the majority of Omanis have ever known, and is rightly remembered for having led their country from poverty and relative obscurity to prosperity and international recognition. His late Majesty Sultan Qaboos built the infrastructure of a modern state. The transition to power of His Majesty Sultan Haitham bin Tarik, His late Majesty Sultan Qaboos’s first cousin and personal choice for succession, has been swift and smooth. The new Sultan, with the support of his fellow Omanis, has a unique opportunity to continue on the path established by his predecessor and further F enhance Oman’s global standing.

The transition to power of His Majesty Sultan Haitham bin Tarik, His late Majesty Sultan Qaboos’s first cousin and personal choice for succession, has been swift and smooth

Her Majesty The Queen and His late Majesty Sultan Qaboos

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Soldier in the sand

By LT. GEN. (RET) SIR SIMON MAYALL KBE CB Former Middle East Adviser at the Ministry of Defence (served in the Sultan’s Armed Forces 1985-1987)

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SIMON MAYALL joined Greenhill in 2015 after a career with the British Army, where he held a series of roles including Commanding Officer, 1st The Queen’s Dragoon Guards, Commander, 1st Mechanised Brigade from and Deputy Commanding General for Multi-national Corps (Iraq). He served as Deputy Chief of Defence Staff (Operations) from 2009-2011, Defence Senior Adviser (Middle East) from 2011-2014 and Prime Minister’s Security Envoy to Iraq from 2014-2015. He holds an MA in Modern History from Oxford University and an MA in International Relations from King’s College London. His book ‘Soldier in the Sand’ is published

by Pen & Sword.

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Sir Simon Mayall serving alongside Omani officers and soldiers

he passing of His late Majesty Sultan Qaboos early in 2020 was a huge sadness, not just for the people of Oman, but for all those many people around the world who had such respect and admiration for the His late Majesty’s strategic vision, judgement, humility, and love of his country and his subjects. He was genuinely the ‘father of his country’, and it was a small comfort that he lived into the 50th year of Oman’s ‘Renaissance’, although not long enough to see it marked at the 2020 National Day celebrations.

Among those who mourned His late Majesty’s death were the many British officers and noncommissioned officers who had had the privilege of serving in the Sultan’s Armed Forces (SAF) during His late Majesty’s 50 year rule. I had been one of those British officers fortunate enough to have been ‘seconded’ to the Sultan’s Army, and from early 1985 until late 1987 I commanded E Squadron, equipped with British-built Chieftain tanks, in the Sultan of Oman’s Armoured Regiment. The Regiment, which had grown from a small squadron-sized organisation during the Dhofar War, was initially stationed in Seeb Camp, north of the International Airport. However, in 1986, in line with His late Majesty’s plans for the overall expansion of the Armed Forces, the Regiment moved to a new camp, Sha’afa, built near the interior

city of Nizwa, and designed to hold an armoured brigade, in due course. In the years after I had returned to the British Army, these ambitious and far-sighted plans came to successful fruition, as was seen during the demanding Saif Sareea exercises of 2001 and 2018, during which the SAF demonstrated an admirable level of professionalism.

From its foundation in 1744 under the His late Majesty’s predecessor, Ahmad bin Said al Busaidi, Oman had an enviable reputation as a military force in the region, and wider, and the early Oman Navy developed a formidable presence in the Indian Ocean, second only to Great Britain. In 1798, in the light of Napoleon Bonaparte’s plans to invade British India, via Muscat, Britain and Oman agreed a Treaty of Commerce and Navigation. In 1800, the two countries declared their intention that “the friendship of the two States may remain un-shook till the end of time, and till the sun and moon have finished their revolving career”, and so it has proved to be over the intervening two centuries.

I arrived in Oman on the 15th anniversary of His late Majesty Sultan Qaboos’s accession, and on the 10th anniversary of the SAF success in the South.

His late Majesty had invested heavily in His Armed Forces, not simply as the guarantors of Oman’s security and territorial integrity in a volatile region, but also as a vehicle for further social development, via

education and a whole range of personal and technical training, and to continue to help build a sense of modern nationhood. Those British servicemen who had fought in the Dhofar War, or who served across the SAF at its conclusion, absolutely understood the importance of the SAF in His late Majesty’s vision and ambitions for His country.

By the time I arrived in Oman, the period of maximum British contribution was rightly coming to an end, as the competence and confidence of the Omanis in modern doctrine, tactics and equipment grew year by year, and as their own officers and NCOs became more experienced. The Royal Military Academy Sandhurst, which His late Majesty Sultan Qaboos had attended, continued to make its contribution to the officer-corps of Oman. By 1985, most Omani infantry units only had a single British officer, normally the second-in-command, who was responsible for the training programme. However, in the armoured, artillery and engineer regiments the British presence remained thicker on the ground, because of the technical demands of those elements of the force, and I was fortunate enough to have one of the last remaining command appointments.

Serving alongside Omani officers and soldiers was an absolute delight, as anyone who served in SAF will testify. The natural charm, hospitality and generosity of the Omani culture permeated the Armed Forces, and our combined commitment to the Sultan and the SAF meant that we worked together in great harmony, despite the occasional language difficulties. The work could be hard, difficult and demanding, given the heat and the terrain, but it was always hugely professionally satisfying, and personally uplifting. Sitting around a camp-fire, laughing and joking with the Omani officers

and soldiers after a long day on the firing ranges, while sipping strong Omani coffee out of small, finjaan, cups, was the stuff of dreams, and of startlingly vivid memories. How lucky we were.

I was fortunate enough to have met His late Majesty Sultan Qaboos several times, both during my service there and later, and to have returned to the Sultanate on many occasions, both for business and pleasure. My most recent visit was in early 2020, with a dozen other retired British officers who, between 1977 and 1995, had all served in the Armoured Car Squadron, the Sultan of Oman’s Armoured Regiment, or the Sultan’s Armoured Brigade. Our host was Fareeq Ahmed Harith al Nabhani, the Chief of Staff of the Sultan’s Armed Forces, and a great and admired friend of all of ours. He had answered the late Sultan’s ‘call-to-arms’ in 1975, as a 15 yearold boy from the Jebel Akdhar. He had served in the Armoured Car Squadron as a gunner and driver, and had subsequently been selected to go to Sandhurst for officer training. He and I had served alongside each other in Seeb, as Majors and tank squadron leaders, before he went to the British Staff College in Camberley. His subsequent rise to Chief of Staff of the Omani Armed Forces represented everything that was best about modern Oman, the SAF, and the close relationship between Britain and the Sultanate.

The Sultan’s Armed Forces now have a new Supreme Commander, His Majesty Sultan Haitham bin Tarik.

I know that every British officer and NCO who has served in the SAF, or is currently serving, will join me in wishing His Majesty the greatest of good fortune on His accession, on Oman’s 50th, ‘Renaissance’ Anniversary, and for the continued success and wellF being of His Armed Forces.

Every British officer and NCO who has served in the SAF, or is currently serving, will join me in wishing His Majesty the greatest of good fortune on His accession

Sir Simon Mayall serving in the Sultan’s Armed Forces

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bp and the Sultanate of Oman

A long term partnership that continues to strengthen

With an estimated 10.5 trillion cubic feet of recoverable reserves, Khazzan and Ghazeer are some of the largest tight gas fields in the Middle East

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Breaking records in well drilling

T

here are some relationships that just get better with age, that deepen as each side learns more about the other. Such is the relationship between bp and the Sultanate of Oman – a partnership almost a century in the making.

It began in 1927 when the company’s founder William Knox D’Arcy was granted a two-year exploration licence. A decade later, bp became a 23.75 per cent partner in Petroleum Development Oman and Dhofar and later went on to build a substantial network of petrol stations (no longer in service), alongside a successful lubricants business, lifting of cargos from Oman LNG and bunkering operation in the south of the country.

Today, the jewel in this relationship’s crown is Block 61, home to the giant Khazzan and Ghazeer fields, located around 350 kilometres southwest of Muscat, deep in the Omani desert, where summer temperatures regularly hit 50°C. With an estimated 10.5 trillion cubic feet of recoverable reserves, Khazzan and Ghazeer are some of the largest tight gas fields in the Middle East.

They’re also some of the most complex, thanks to the five kilometres of millennia-baked rock that sits

above the reservoirs. Indeed, when Khazzan was first discovered in the 1990s, the economics were simply too prohibitive to develop this ‘tight’ gas.

Breakthroughs in seismic and drilling techniques changed all of that and, by 2007, bp had become a leader in developing tight gas projects, thanks to its work in the US. So, it was an honour for the company to be awarded the Khazzan contract and share the lessons it had learned to help Oman assess and later develop the field. bp quickly set to work, conducting what would become the largest onshore seismic survey of its kind, gathering vital reservoir data from a 2,800 square kilometre area in just five months. The study was followed by a three-year extended well test, in which gas and condensate were recovered rather than flared, which proved that Khazzan was indeed a viable reservoir and, by 2013, bp and Oman had signed an agreement to proceed to full-field development, on the promise of first gas by the end of 2017.

To meet this challenging deadline, some 13,500 people (at the peak of construction) helped drill dozens of new wells, lay hundreds of kilometres of pipeline and build some of the most efficient gas processing facilities

anywhere in the world. “It takes teamwork to build the kind of world-class facilities that you see at Khazzan today,” says bp Oman president Yousuf Al Ojaili. “It’s been a pleasure to work alongside our partners at the Ministry of Oil and Gas, OQ and to achieve this.”

But this partnership didn’t just build a gas plant out in the desert, it helped an entire town blossom, with new roads, a water treatment plant, waste facilities, accommodation blocks, kitchens and a clinic that, in 2019, won the Ministry of Health’s Excellence Award for the Best Private First Aid Clinic.

The site is now the same size as the whole of Greater London, which brings its challenges – not least in terms of safety. Khazzan is a six-hour drive from Muscat and it takes about 90 minutes to drive from one side to the other. bp manages some of this risk by bussing in shift workers to reduce the number of vehicles on the road. However, the kilometres still mount up and, in 2019, the team drove some 14.4 million of them without an incident.

“People’s safety, health and wellbeing have always been our first priority,” says Al Ojaili. “We have thousands of people on site, often working in incredibly hot conditions, so it’s important we have the right breaks in place and that everyone has access to essentials, like water.”

In 2018, bp Oman also piloted the use of wearable technology at one of its drilling rigs. The special vests are tailored to the wearer and send data on heart and respiratory rate and skin temperature to their smartphone.

If the data exceeds the individual’s healthy parameters, a text message and email alert is sent to the rig medic and health and safety leader so that they can intervene.1 Technology isn’t just benefitting people, it’s also

helping to lower Khazzan’s greenhouse gas emissions.

Khazzan is pursuing methane reductions by using gas cloud imaging cameras that continuously monitor and identify new leaks – known in the industry as fugitive emissions. The cameras send an alert to the control room whenever emissions are detected, meaning bp can respond and fix the problem more quickly.

Reducing emissions and methane are part of bp’s 10 aims to become a net zero company by 2050 and to help the world get to net zero, as it reimagines energy for people and the planet.

And as you’d expect of a site located in the desert, bp closely monitors its water consumption. As well as drinking supplies, the company uses saline water in several operations, including hydraulic stimulation.

That water is piped from bp-drilled wells 60 kilometres away and the salt removed in a reverse osmosis plant that bp built.

Nevertheless, water scarcity is a key issue for Oman and these supplies are subject to the country’s rigorous conservation regulations. So, in 2018, bp conducted a computer modelling study and incorporated the findings into its long-term water management plan to continue reducing its demand over time.

If the effort this partnership has gone to demonstrates anything, it is just how important Khazzan and Ghazeer are to Oman. The field’s first phase of production will eventually see around 200 wells and is currently producing 1 billion cubic feet of gas plus 30,000 barrels of condensate every day.The second phase, Ghazeer, was started up safely and ahead of schedule in October 2020.

Total production capacity from Block 61, comprising

Technology isn’t just benefitting people, it’s also helping to lower Khazzan’s greenhouse gas emissions

Water treatment plant – helping to conserve water

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bp was the first company to pilot a Ministry of Oil and Gasmandated digital tendering tool with its subcontractors

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Central processing facility

both Khazzan and Ghazeer, is expected to rise to 1.5 billion cubic feet of gas a day and more than 65,000 barrels a day of associated condensate. The block has the capacity to deliver approximately 35 per cent of Oman’s total gas demand.

“The project exemplifies what a resilient and focused hydrocarbons business looks like,” said Bernard Looney, chief executive, bp on 12 October 2020. “When we introduced our plans to reinvent bp, we were clear that to deliver them, we have to perform as we transform. There are few better examples of how we are doing just that than Ghazeer. This project has been delivered with capital discipline four months early, wells are being drilled in record times and, importantly, safety performance has been excellent.”

Khazzan and Ghazeer have become a symbol of Oman’s economic ambitions. Back in the 1970s, when the late Sultan Qaboos came to power, Oman had just one hospital, three schools and about 30 kilometres of tarmac road. The late Sultan Qaboos invested his 50-year reign in transforming his country’s economic and social infrastructure, with gross domestic product rising from around US$250 million to US$79.2 billion in 2018.2 Much of that was powered by a commitment to the Oman Vision 2020, set out by the late Sultan Qaboos in 1995 with the intention of using energy supplies to boost investment in areas such as health, education and enterprise to raise living standards.

That commitment has since evolved into the Oman Vision 2040, spearheaded by Oman’s new leader, His Majesty Sultan Haitham bin Tarik, with the aim now of turning the country into one of the most ‘developed nations’ in the world.

“We know how important energy, especially gas, is to a country’s economic and social development,” says Al Ojaili. “bp is proud to be able to play a part in delivering new

resources that can help continue this important work.” bp supports this Vision in several ways, including a firm commitment to work with – and help develop – local supply chains. For example, in 2019, the company spent around US$1 billion with Omani registered companies, while Ghazeer awarded six construction programmes worth US$300 million to Omani companies.

Meanwhile, bp was the first company to pilot a Ministry of Oil and Gas-mandated digital tendering tool with its subcontractors, helping local companies embrace the digital revolution to improve their sourcing processes and build competitive edge. And bp supported a local company to provide domestic tight gas well stimulation services and help it compete with other multinational businesses operating in the Middle East.

Employment is another way in which bp supports the Vision and, over the past decade, it has invested in its local team, with Omani nationals now representing more than 85 per cent of its 700-strong core team and half its leadership team. The company intends to reach 90 per cent ‘Omanisation’ of its whole team by 2025.

Graduates have always been key to this success, with bp Oman recruiting the first four into its global ‘Challenge Programme’ for fresh graduates back in 2010. Today, there are 80 Omani Challengers.

Meanwhile, in 2012, the company set up its Technicians Development Programme, with candidates coming in from technical colleges and universities across the Sultanate to complete a four-year programme, including 18 months working towards an NVQ (National Vocational Qualification). More than 100 technicians were trained, many of whom now work at Khazzan as mechanical, electrical and production engineers.

Some of these technicians and graduates have also

In education, bp supports a range of different programmes designed to help young people develop skills in science, technology, engineering and maths (STEM), as well as other skills like leadership and communication

Top: Safe and reliable operations to deliver up to 1.5 bcfd Bottom: Targeting 90 per cent Omanisation by 2025 (Images taken before Covid-19)

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The depth of the commitment to the Omani people can also be seen in bp’s longstanding social investment programme

Helping sustain Oman’s economy

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had the opportunity to work with our partner OQ and Oman LNG, thanks to an agreement between the three companies. What’s more, around 20 Omanis are currently working with other bp businesses around the world, with the intention that they will eventually bring the skills they learn to Oman.

“We’re passionate about developing our people,” says Al Ojaili. “So, it’s really pleasing to see our graduates at Khazzan and to be able to share best practices with OQ. It’s testament to the depth of our relationship with Oman that we can create opportunities like this.”

The depth of that commitment to the Omani people can also be seen in bp’s long-standing social investment programme. Since its launch in 2014, bp has invested US$13.3 million in more than 70 initiatives that have reached more than 55,000 people.

The programmes it supports fall into one of three areas – enterprise development, education and energy sustainability – all of which are close to bp’s heart and align with the Vision’s goals.

One beneficiary is Abdullah Al Saidi, whose company, Nafath Renewable Energy, installs and maintains solar panels. He has seen his company’s revenue grow dramatically in the past six years and credits the bpsupported ‘Khazzan Project for SME Development’ for much of that success.

“My background is in electrical engineering,” he says, “so I had no financial training. I found out about bp’s financial skills course for entrepreneurs via social media, and it has transformed my business.”

Al Saidi and his company are a perfect example of the way in which bp’s social investment programme is helping empowering local Omanis with skills that

can help them build a self-sufficient and progressive future for their country. “When Abdullah came to us with the idea, we asked him why he wanted to work with bp,” says Shamsa Al Rawahi, bp Oman’s social investment manager. “He said: ‘The way that we have learned from bp, not all organizations do that. We saw more involvement, a willingness to work together, bp asks for our feedback and you care about changing things based on our words.’ That was very satisfying to hear.”

In education, bp supports a range of different programmes designed to help young people develop skills in science, technology, engineering and maths (STEM), as well as other skills like leadership and communication.

Where possible, those programmes take a practical approach. For example, the Fab Tech bus is the country’s first mobile education lab, which offers students and teachers hands-on experience of technologies such as 3D printing and virtual and augmented reality. “We’re supporting Fab Tech bus initiatives that spread knowledge of manufacturing and innovation to thousands of young people across Oman,” says Al Rawahi.

The energy sustainability programmes that bp supports also offer young people opportunities to develop skills in alternative energies, such as solar. In November 2019, for example, a new state-of-the-art solar training facility was inaugurated at the German University of Technology in Oman (GUtech). The outcome of a unique partnership between bp, Shams Global Solutions and GUtech, the facility will give students the chance to develop practical skills on different types of solar systems and installation processes that they can use to launch their careers.

These programmes demonstrate that the best relationships take teamwork and a willingness to evolve. For bp, that also means being ready for new opportunities to help Oman achieve its ambitious goals.

For example, in 2018, the company’s trading division signed a deal with Oman LNG to buy 1.1 million tonnes of liquefied natural gas (LNG) over the next seven years.

And in 2019, bp and Eni signed an exploration and production sharing agreement with Oman to explore for gas across a 2,700 square kilometre ‘block’ that lies just 30 kilometres east of Khazzan.

“These new agreements are important for bp,” says Al Ojaili, “because they represent the next stage in our longstanding commitment to the country and His Majesty’s Oman Vision 2040. We’ve always been proud to help Oman secure the energy supplies that drive its Vision and we are excited to be working together on new projects that will continue to make those ambitions a reality.” F 1. Taken from 2018 SR https://www.bp.com/content/dam/ bp/business-sites/en/global/corporate/pdfs/sustainability/ group-reports/bp-sustainability-report-2018.pdf 2. World Bank https://data.worldbank.org/country/ oman?view=chart

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Continuing growth and prosperity

By H.E. TAHIR SALIM AL AMRI Executive President, Central Bank of Oman (CBO)

C TAHIR SALIM AL AMRI has been the Executive President of CBO since 2017. His career started at the Ministry of Finance in Revenue Accountancy before becoming the Acting Director of Oil Revenue and then the Director of Gas Revenue. Later he became the Director General of Treasury and Accounts and then the Director General of Budget and Contracts.

In 2015, he became Deputy CEO of Oman Investment and Finance Company. His Excellency Al Amri has also served on the Board of various prestigious private and public entities.

entral Bank of Oman is an independent monetary authority in Oman. Thanks to the wisdom of His late Majesty Sultan Qaboos and his profound understanding of the subject, Central Bank of Oman has been given fullfledged authority to take its own decisions in the best interest of the banking sector and Oman’s economy.

When the Central Bank of Oman was established in 1974 through the promulgation of the banking law, the prevalent economic setup was in its nascent stage.

After the advent of His late Majesty Sultan Qaboosmay his soul rest in eternal peace – in 1970, the economic outlook of Oman underwent a remarkable change. The country launched a massive drive to build basic infrastructural facilities and improve consumption standards of the Omani citizens. As a result, Central Bank of Oman came into being and its humble journey began with a start-up capital base of RO 1 million, which has now reached RO 1 billion.

Ever since CBO began operations in 1975, it has been playing a significant role in the economic development of Oman as an important public institution. The policies adopted by CBO in the face of external shocks like many episodes of oil price decline and financial crises around the globe were proven to be exemplary, and have contributed in easing the adverse impact of unfavourable international economic developments on the domestic economy in general, and the banking sector in particular.

The Central Bank of Oman has undergone a great measure of transformation ever since its inception in 1974. The banking law of 1974 was revised in 2000 to accommodate emerging compliance requirements, followed by the adoption of best international practices in regulating and supervising banks such as the Basel Guidelines, Anti-Money Laundering and Combating of Finance Terrorism (AML/CFT) legislation, etc.

Many other endeavours such as the establishment of specialised banks, finance and leasing companies, money exchange houses, the College of Banking and Financial Studies (CBFS) introduction of several payment systems, Bank Deposit Insurance Scheme (BDIS), to name a few, have all contributed to the growth and success of the banking industry and the overall development in the country. BDIS provided the participating banks with a high level of security for deposits, while cushioning the effects of any unforeseen circumstances.

Similarly, CBO has mandated and incentivised all commercial banks to allocate at least five per cent of their total credit to SMEs and provide easy access of credit to SME entrepreneurs, in view of their significant role in the development of the economy.

From three commercial banks in early 1970 with seven offices, Oman has come a long way with 18 commercial banks, two Islamic banks and two specialised banks as of June 2020. Of these 18, nine are local banks and five have Islamic windows. The branch network, totalling 564 as of December 2019, is spread out throughout the Sultanate. From a total asset value of RO 197.3 Million in 1975, the conventional banks asset value rose to reach RO 30.804 Billion in 2019.

The increase in banking activity and banking penetration has extensively contributed to financial inclusion in Oman. Islamic Banking in the country was introduced in 2012, as well as a comprehensive Islamic Banking Regulatory Framework (IBRF). The Islamic banking market share has grown rapidly and is at 15 per cent today, with its asset value rising from RO 815.2 Million in 2013 to 4.884 Billion in 2019.

The advanced payment and settlement system in Oman placed by CBO, culminated in the enactment of National Payment Systems Law (NPSL) and the issue of Executive Regulations thereunder in 2018. It paved the way for licensing of non-bank entities as “Payment Service Providers” and set the field for the emergence of FinTech players in the Sultanate. Under NPSL, CBO has recently issued its first license to a firm in May 2020 to operate as payment service provider.

The setting up of Oman Credit and Financial Information Centre (OCFIC), under the name Mala’a in 2019 is another recent milestone achieved by CBO. Taking cognisance of the emergence and rise of financial technologies in the banking and finance industry, CBO has approved the Fintech Regulatory Sandbox Framework, which enables applicants from both licensed and non-licensed institutions to test their proposed Fintech solutions live under CBO’s oversight.

CBO expects to thrive and prosper further under the reign of His Majesty Sultan Haitham bin Tarik and seek his wise intervention on matters of critical importance. CBO also looks forward to align itself closely with the requirements of Oman Vision 2040 document and undertake financial inclusion at a larger scale to ensure greater reach of banking services. F

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Oman – A vital regional hub

By OLIVER BLAKE Trustee, Anglo-Omani Society, Chairman, NGG, and Managing Director, Blake Evans & Co

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OLIVER BLAKE is a trustee of the AngloOmani Society, Chairman of the New Generation Group and Managing Director of Blake Evans & Co, through which he advises several CEOs of large international companies who operate and invest in the Sultanate of Oman. He is also Vice Chairman of the Omani British Business Council and a non-executive director of IDU, a UK drone solution company. Born in Muscat, he grew up in the Middle East and was educated in Scotland.

After commissioning from Sandhurst, he went on to join the Light Dragoons, a long-range reconnaissance unit. He holds a Master’s degree in Public Policy from Oxford University.

s I write this, most countries around the world are imposing various states of lockdown with policies of minimal movement, social distancing and selfisolation in the hope of reducing COVID 19 infection rates. The sense of fear and uncertainty makes me think of the difficult domestic circumstances that existed when His late Majesty Sultan Qaboos acceded to the Omani throne in 1970. Faced with few resources, very basic infrastructure and limited national income, he led the country towards lasting peace and reconciliation, built roads, hospitals and schools and created a unified nation driven by a successful economic engine. Under his direction, Oman developed strong institutions from the judiciary to the police, upper and lower houses of parliament, the armed forces, civil service, the Diwan, press and broadcast agencies amongst many others.

These are all pillars that will continue to support the country long after his sad and recent passing. In 2010, the UN Human Index ranked the Sultanate as number one in the world for the development of its health and education sectors over a forty-year period and more recently, Oman was given the top global position for having had no acts of terrorism. Beyond the Sultanate’s domestic development and its foreign policy positions of neutrality, peace and mediation, is the worldrenowned reputation of its people. His late Majesty led by example and personified the deep characteristics of the Omani people – kind, compassionate, patient, humble, humorous and generous.

The father of the nation chose His Majesty Sultan Haitham bin Tarik to lead Oman into this new decade and new era. With strong diplomatic skills forged in the Ministry of Foreign Affairs, and with a deep understanding of the country’s cabinet and political systems from his time as Minister of Heritage and Culture, HM Sultan Haitham bin Tarik has spent decades promoting Oman’s international relationships.

He has also simultaneously supported the nation’s beating heart of traditions, customs and legacies. Over the last seven years, his Chairmanship of Vision 40 has given the new Sultan an intimate, informed and technical understanding of the economic changes required for diversification in Oman’s post oil world.

Through Blake Evans & Co, I advise international firms entering the Omani market on domestic policies, regulation and the commercial environment. We also

facilitate stakeholder engagement, interaction and a wider understanding of Oman’s unique culture.

Whilst the Sultanate has long been the most popular country in the region for executives and their families to live and work in, potential investors have historically flagged succession related concerns. Allaying those fears, the world recently witnessed an incredibly smooth, seamless and transparent changeover. His Late Majesty Sultan Qaboos’s wishes were communicated on live television naming His Majesty Sultan Haitham bin Tarik as the country’s new ruler. In the weeks and months since that transition, our company has been privileged to introduce some of Britain and America’s largest institutional investors and sector leaders to the Sultanate. As Oman looks to privatise a number of energy, telecommunication and wider infrastructure assets –the international appetite for inward investment has immediately stepped up for a country that remains safe, stable and open for business.

Whilst the Omani market is small comparative to the wider region, its policies, location and stability make it a natural choice for conventional and technology firms wishing to establish a Middle Eastern hub for expansion into the Gulf and East Africa. With a highly educated bilingual workforce of Arabic and English speakers, the Sultanate enables technology firms to ‘Arabise’ their products and scale whilst also providing significant opportunities for collaboration as the country diversifies. Through the Tanfeedh initiative, Oman is now heavily focused on its Agricultural, Tourism, Mining, Fisheries and Logistics sectors – all areas attracting inward investment given the geopolitical advantages of being positioned beyond the Straits of Hormuz.

Overlooking the Indian Ocean, Oman’s ports are fast becoming the most attractive docking points as ships seek to save time and reduce cost. With some of the most promising solar and wind statistics for the entire region, the Sultanate’s comparatively small population will increasingly pivot to renewables for domestic consumption in a low oil price world. And with peaceful polices, domestic stability and safety, Oman will carry on competing and attracting talent in an era of continued technological disruption. In spite of the many global economic challenges that lie ahead, the Middle East will remain one of the world’s key F regions, and Oman, its gateway.

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A thriving tourist destination

By PAMELA GOODMAN Travel Writer and Editor

His late Majesty Sultan Qaboos was quick to understand the value of Oman’s abundance of natural beauty... recognising that tourism would become a key economic driver in powering Oman into the modern world

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Khor Rori, Salalah

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ourism in Oman, prior to the reign of His late Majesty Sultan Qaboos, was an alien concept and it is a well-known fact that, at the point of His late Majesty’s accession in 1970, the country had no more than 10km of paved roads within a surface area of some 300,000km². His late Majesty Sultan Qaboos was quick to understand the value of Oman’s abundance of natural beauty – its spectacular mountains, its wind-blown deserts, its pristine coastline – recognising that tourism would become a key economic driver in powering Oman into the modern world.

Unlike neighbouring countries in the region, however, which have appeared bent on excessive grandstanding in the development of their tourism models, Oman has taken a softly, softly approach, always mindful of preserving a strong sense of identity.

Now, fifty years on, the country’s rich heritage and ancient soul, rooted in its role as an historically important trading route, remain intact and Bedouin values continue to form the core of an Omani welcome.

First-time visitors to the country will almost certainly spend their days in and around Muscat, a city blessed with multiple cultural assets, a fine strip of coastline

and a climate perfectly suited to those international tourists searching for a winter escape. Highlights of the city include the Grand Mosque, a modern Islamic architectural masterpiece boasting a 50-metre gold dome and the second largest Persian carpet in the world; the Bait Al Zubair Museum for tracing Oman’s past; the Opera House - the first of its kind in the region; and the Muttrah Souk which retains the chaotic interest of a traditional Arab market in bringing together Omani and Indian arts and crafts.

Though closed to the public, Muscat’s two distinctive 16th-century forts of Al-Mirani and AlJelani act as precursors to the forts in and near the historic town of Nizwa, an hour and a half’s drive from the capital - along new roads of the smoothest tarmac. Set on a plain surrounded by a thick palm oasis and some of the country’s highest mountains, Nizwa acquired its importance as an ancient centre of trade, religion, education and art, transforming in modern times to become the second-biggest tourist destination in Oman – due, in part, to its souk and popular Friday livestock market and in part to its role as the natural access point for the impressive castles of Bahla and Jabreen. The latter, in particular, has a brooding

magnificence, well-preserved both inside and out with numerous distinctive painted ceilings still intact.

From Nizwa the obvious route, aside from returning to Muscat, is to drive the impressive switchback road into the mountains, the heat of the plains receding, the temperature dropping with each metre climbed. The Jabal Al Akhdar range is one of Oman’s most admired geological features forming a huge plateau, some 2,000m above sea level, split with chasms and canyons that plunge to obscurity. These rugged mountains, with a semi-Mediterranean climate, have been cultivated for at least 1000 years, producing a wide range of flowers and fruits. So much so that in 2011, His late Majesty Sultan Qaboos declared Jabal Al Akhdar a nature reserve in a bid to conserve its fragile bio-diversity.

But these mountains are more than just a fruit basket; this is Oman’s adventure playground - for hikers and bikers, for rock climbers and star gazers – as well as the country’s scenic show stopper. Lying alongside Jebal Shams, the highest peak in both the Al Akhdar range and Oman as a whole, is the spectacularly deep Wadi Ghul, a straight-sided fissure with 1,000m cliffs known colloquially as the Grand Canyon of Arabia. The 5km Balcony Walk, just below the canyon rim, is one of the highlights of the region.

The mountains of northern Oman maybe the highest and the most frequently visited, but Southern Oman has impressive mountains, too, not least Jabal Samhan – more plateau than peak - which forms the eastern flank of the Dhofar range. Riddled with limestone caves and sinkholes Jabal Samhan is a protected nature reserve and home to the elusive and

critically endangered Arabian leopard. The sanctuary itself is closed to the general public but visitors can drive to the 1,300m-high viewing point on the edge of the plateau, which offers a sweeping coastal panorama over the plains of Salalah.

This, too, is the region of the khareef, the cool, wet south eastern monsoon that sweeps through Salalah and southern Oman between June and September, cloaking the hillsides in green, replenishing the dry wadis and providing a welcome respite from the intense heat of the rest of the region. Domestic visitors, and those from many neighbouring Gulf and Arab countries, flood to the area at this time to enjoy the Salalah Festival, laid on to celebrate the mist and the rain of these cooler months.

By autumn, once the fierce summer temperatures of northern Oman and the khareef of southern Oman have both receded, international travellers from further afield are drawn back by the country’s perfect winter climate. November to April are the best months for desert adventures and, again, Salalah comes into its own – firstly as a superb beach destination in its own right, and secondly as the gateway to Rub al Khali, otherwise known as the Empty Quarter, one of the world’s most fabled wildernesses covering 250,000 square miles of southern Arabia in a sea of sand. This is a wasteland of towering dunes, endless horizons and star-studded skies, of shifting shadows, silence and peace. Day trips by 4x4 are possible from Salalah, but far better is to arrange a camping trip for a night or two under canvas.

Salalah is currently reached via an onward flight from Muscat (direct flights from Europe – allegedly under

November to April are the best months for desert adventures and, again, Salalah comes into its own – firstly as a superb beach destination in its own right, and secondly as the gateway to Rub al Khali, otherwise known as the Empty Quarter

Salalah, Oman

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discussion - would be a huge boost for the region) but staying within a comfortable radius of the capital does not preclude a desert experience. Wahiba Sands, an area of rolling, golden sand dunes with a small selection of fixed camps for overnight stays, is a mere three hours’ drive from Muscat and closer still to Nizwa and the coastal town of Sur, one of the most important trading and fishing ports on the Gulf and the centre of construction for traditional Arab sailing boats or dhows.

No overview of Oman would be complete without reference to the Musandam Peninsula, Oman’s most northerly region that is geographically separated from the rest of the country by a corner of the UAE. This remote area of high, jagged cliffs and fjord-like inlets juts out into the Strait of Hormuz, a strategically important choke point for global oil supplies linking the Persian Gulf and the Gulf of Oman. For tourists, the peninsula feels thoroughly off the beaten track, the harsh terrain limiting overland travel by road, but dhow cruising, diving and snorkelling are truly spectacular.

And, surprising as it may seem, there’s luxury to be had too, at one of Oman’s most iconic hotels (see sidebar) which, for the well-heeled, international traveller in particular, has been a game-changer in putting this beautiful country firmly on the tourist map.

Where to stay: Muscat: Oman’s capital has a continually expanding choice of hotels on offer. Those suited best to the international leisure market include The Chedi (www. ghmhotels.com), well-located on the sea yet within easy access of all Muscat’s main sites. The hotel’s most distinctive feature is the 100-metre Long Pool – one of the most famous swimming pools in the world. The Kempinski (www.kempinski.com), a relatively new arrival to the sea shore, works well for both the business and leisure markets, conveniently close to the airport in a new residential area of the city, known as The Wave. Twenty minutes from downtown Muscat, The Shangri-La Al Husn Resort & Spa (www.shangri-la. com) is an adult-oriented hotel with a spectacular headland setting that forms one part of a three-hotel resort (the other two, Al Waha and Al Bandar are geared more for the family market). The seclusion and large private beach make it perfect for holidaymakers.

The Al Bustan Palace (www.ritzcarlton.com) originally built as a palace for His Majesty Sultan Qaboos, is the grande dame of Muscat hotels boasting an exquisite setting on the beach, large gardens and every sporting and spa facility imaginable. The show-stealer is its cavernous, domed atrium.

Jabal Al Akhdar: At 2,000m high, Anantara Al Jabal Al Akhdar Resort (www.anantara.com) has a sublime plateau location with sensational views of the canyon.

There’s a cliff-edge infinity pool and a viewing platform

Information Oman Air (www.omanair.com), the national carrier, flies between Muscat and several major international destinations, as well as between Muscat and Salalah. For bespoke luxury adventure travel within Oman go to: www.omanexpeditions.com and for more information about the country as a whole visit: www.omantourism.gov.om named after the late Princess of Wales, who visited this site in 1986. A wide range of activities and cultural experiences are on offer. The views from Alila Jabal Akhdar (www.alilahotels.com) are even more impressive - principally due to the hotel’s remote location. Here stone-clad clusters of luxurious suites are scattered on the edge of a clifftop, blending seamlessly into rugged desert beyond.

Salalah: The Anantara Al Baleed Resort & Spa (www.anantara.com) has a sophisticated setting on a vast stretch of exquisite sandy beach. Amongst the accommodation options are 96 supremely private, low-rise villas with private pools, the best of which open directly onto the sand. Salalah’s fascinating frankincense museum is a short bike ride away (hotel bikes are available to guests).

Musandam Peninsula: Guests can choose to arrive by car at Six Sense Zighy Bay (www.sixsenses.com) or by paraglider from the mountains which cradle the picture-perfect bay. Rooms are laid out like a traditional Omani village of individual stone-walled houses. Each comes with a private pool and is only steps away from a stunning beach. The hotel has won countless awards and continues to rank amongst the F most desirable hotel destinations in the world.

Wahiba Sands, an area of rolling, golden sand dunes, is a mere three hours’ drive from Muscat and closer still to Nizwa and the coastal town of Sur

Anantara Al Jabal Al Akhdar resort

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Conservation through Art

By VIOLET ASTOR Wildilife Conservation Artist

I VIOLET ASTOR is a UK based wildlife conservation artist who collaborates with governments and NGOs around the world to celebrate their native wildlife as well as raise awareness and funds for their endangered species.

She is a self-taught artists who taught herself how to draw during the years she was chronically ill with Lyme disease. In 2019 Violet was voted one of Oman’s ‘Top Ten Nation Builders’ as a result of her work raising the profile for the Sultanate’s endangered wildlife.

knew very little about Oman when the idea of holding an exhibition in Muscat was presented to me in November 2018. I knew even less about its wildlife; however, brief research revealed a plethora of unique species that enflamed my desire to travel Arabia’s hidden gem. A few months later I found myself on an adventure of a lifetime; from trekking the vast jebels of the Dhofar mountain range at sunset in search of the elusive Arabian leopard, to trudging the pristine beaches of Ras al Jinz in the dark to watch Green Sea Turtles lay their eggs before sunrise. I certainly was not let down by the striking beauty of the Sultanate’s breath-taking landscapes.

With the support and generosity of the many people I encountered along my journey, my quest led me to a project tagging Steppe Eagles in Salalah. It was such an honour to join the team from the Office for the Conservation of Environment and other biologists, who were capturing and fitting this critically endangered species with satellite transmitters to record their behaviour and flight patterns. It was a humbling, and at times unsettling, experience to look into the eyes of a powerful wild raptor. Yet, the reality of the Steppe Eagles’ vulnerability was never more present than being surrounded by a team of scientists frantically

measuring, taking blood and tagging in an effort to save them. My part to play in this endeavour was to study the intricate detail of their feathers and the sheer power and stretch of their wingspan in order to bring the species to life through my artwork. My hope was to rouse enough awe to motivate public interest and action into protecting the natural environment and all those species living within it.

Inspired by the wildlife I encountered, I created a series of large and detailed charcoal artworks depicting the fauna from Oman’s skies, mountains, deserts and oceans. My desire was to immortalise species such as the charismatic tool-using Egyptian Vulture, the comical Arabian Tahr and Oman’s elegant Unicorn of the Desert; the Arabian Oryx. These species’ survival is in the balance and they may not be around long enough for future generations to enjoy. In the case of the uniquely non-migratory Arabian Sea Humpback Whale, of which fewer than 100 are left off the coastal waters of Oman, the species’ survival is essential in the maintenance of the ocean’s ecosystem. Whales help regulate the flow of food by helping to maintain a stable food chain and ensuring that certain animal species do not overpopulate the ocean. Even whale excrement plays a large role in the environment by

Opposite page: Gold leaf leopard Right: Golden Eagle art in progress Far Right: Creating the eye of the Arabian Leopard

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Inspired by the wildlife I encountered, I created a series of large and detailed charcoal artworks depicting the fauna from Oman’s skies, mountains, deserts and oceans

54

Opening of ‘Wild Oman’ exhibition under the patronage of HH Sayyida Dr Mona Fahad Al Said at the Ministry of Heritage and Culture

helping to offset carbon in the atmosphere.

I have always felt very passionate that my work draw attention to endangered species and raise awareness and funds to support their survival. So, with sponsorship from Land Rover and the Anglo-Omani Society, I was able to hold an exhibition in collaboration with the Environment Society of Oman and the Ministry of Heritage and Culture to highlight the work being done to protect Oman’s most at-risk wildlife. One distinctive piece of artwork was bought by a generous bidder in a silent auction during the opening event, with 100% of the proceeds being donated towards the Environment Society of Oman’s Raptor Project.

In an effort to make the exhibition environmentally conscious, I made sure to use sustainable and natural materials in not only the creation of the work but everything surrounding the exhibition - from lighting the exhibition venue with candlelight, to using Forest Stewardship Council (FSC) paper for all print advertising material. For the artwork itself, I used soil collected from the Dhofar mountains and charcoal created in my own fireplace. The art paper used was recycled from coffee cups, which I chose specifically to raise awareness about the 16 billion disposable cups that are wasted each year. Annually, the manufacture of this single-use item is responsible for the consumption of 6.5 million trees, 4 billion gallons of water and enough energy to power 54,000 homes. My hope is to model to others the creative ways that we can support the environment.

Getting the community involved through a series of public lectures was one of my favourite facets of this project. As I watched a stream of young Omani children come into the Natural History Museum

Celebrating Oman’s unique wildlife

I

n November 2019 Conservation Artist Violet Astor held an exhibition to celebrate Oman’s striking natural heritage under the patronage of HH Sayyida Dr Mona Fahad Al Said, welcomed by the Ministry of Heritage and Culture in support of the Environment Society of Oman.

Oman’s large diversity of habitat reveals some of the most spectacular and unique species on the planet. This artists’ paradise attracted the attention of wildlife conservation artist, Violet Astor, who visited Oman over the period of a year to explore the different landscapes in search of the Sultanate’s striking fauna. Her mission- to foster a sense of pride amongst the Omani population, to draw attention to this hidden gem from an international audience and to inspire the protection of the Sultanate’s natural heritage.

to hear me talk about wildlife and conservation art, I gained a real sense of why this endeavour was so important to not only Oman’s natural heritage but also to the future generations of Oman. To witness the swell of pride in learning about the wildlife in their own backyard and to see their passion for conservation, shown through a number of subsequent pupil-initiated environmental assignments, left me with the feeling that the project had been all I had hoped and dreamed it to be.

The exhibition was opened in the Ministry of Heritage and Culture on 4th November and went on tour to Bait Al Baranda until 15th December 2019. F

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OMAN

Oman, cyber security & the world

By TALAL AL ZUBAIR Founder and Chief Exectuive Officer, National Security Services Group (NSSG)

T

TALAL AL ZUBAIR is the founder and current CEO of the National Security Services Group – Oman’s leading Cybersecurity firm. He holds a Bachelor Degree in International Business from the Grenoble Graduate School of Business (France) and a degree in Terrorism and Radicalisation Studies from the University of St. Andrews. Talal Al Zubair is the first ever non-British Civilian to have enrolled in the prestigious Joint Services and Command Staff College for the Advanced Command and Staff – Strategy and Policy Course.

A meeting of the OmaniBritish working group

he modern Oman Renaissance (1970present) founded by His late Majesty Sultan Qaboos (may his soul rest in peace), has had an unprecedented positive effect on transforming the country from all dimensions (healthcare, education, infrastructure & economy to name a few). By the mid-seventies of the previous century the Sultanate managed to reconstruct the national infrastructure needed to ensure a thriving society and economy. From there, through education and an ample dosage of incentives, the growth of all industries took shape in Oman, and the successful turning point was the burgeoning development of proprietary Omani products that have found their consumers in international markets.

With the blessed arrival of HM Sultan Haitham bin Tarik (may God bless and protect), HM’s advocation and pursuit to continue on the same foreign policies of his late predecessor, and the implementation of the National Strategy Oman Vision 2040 (HM Sultan Haitham bin Tarik is the Chairman of the committee), which aims to further robust the economy, as well as in his Speech to the Nation in February 2020, which emphasises to empower the youth, who are the posterity and future of Oman; there is the indication of the necessary momentum for ensuring a propitious trajectory for the Sultanate.

Today, local Omani products and services have managed to successfully penetrate international markets. Today, the National Security Services Group (NSSG) has become that role model and a success story of being independent and exclusive with its

own range of proprietary services and solutions in the cybersecurity domain. We are proud to become the first indigenous cybersecurity firm in Oman. The importance of self-sufficiency (to a relative degree) in any particular industry ought to be the primary goal of any National pursuit. Today we have customers in the GCC, Asia and Europe. We aim to assist and become trusted companions of our partners, and help them navigate into the digital universe securely, but more importantly resiliently. NSSG also happens to be the only organisation in the entire MENA region to be CREST (International Cybersecurity Accrediting body based in London,UK) certified for its Penetration Testing services, and happens to be the only firm in Oman providing a full-Technology Indemnity Insurance Coverage to its clients under Cyber audits.

This projects our virtue in rendering trust and assurances towards our partners before commencing any given services.

The NSSG is playing a seminal role in Oman’s Digitisation strategy, through National workshops and working along with other national stakeholders to identify ways and means to address challenges through a collective effort delivered through various programs (i.e Tanfeeth). We are proud to witness the speed of the results of all efforts which have been worked hard on. In 2018, Oman ranked third globally (behind the USA and Canada) for “countries best prepared for cyber attacks”. This demonstrates the level of sophistication Oman possesses, and our aim is to share our experiences with our international partners and clients to help them F narrow down their cybersecurity challenges.

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Historic ties and shared interests

By NICK LYNE Senior staff writer, FIRST

A treaty was signed in 1800, requiring the full-time presence of a UK representative at the port of Muscat

The Sultan Qaboos Grand Mosque, Wilayat Bawshar, Muscat

58

W

hen, 50 years ago, the United Kingdom welcomed the accession of a 30-year-old Sultan Qaboos bin Said al Said to the throne of Oman, the two countries had already enjoyed official bilateral relations dating back to 1800. For more than two centuries, Britain and Oman have established bonds that include security cooperation and trade, as well as a close relationship between the respective royal families. The Al Said family, of which His late Majesty Sultan Qaboos was a direct descendent, has ruled Muscat and Oman since 1749.

In the 18th century, as Oman began establishing colonies in the Indian Ocean as far north as presentday Pakistan and down the coast of East Africa to Zanzibar, Britain was also strengthening its presence in the region, challenging that of France and Holland, eventually emerging as the dominant naval power in the Indian Ocean. The East India Company reached agreement an in 1798 with the Al Said family to advance British political and economic interests in Muscat, in return for military protection.

Oman was primarily a commercial staging post between Europe and the Indian sub-continent and shipping companies and businesses were content to work in the relatively peaceful framework of the Omani empire.

Ships from the British Indian Navy would regularly call

into the ports of Oman on their way to and from Europe and as part of anti-piracy or slavery missions.

A second treaty was signed in 1800, this time requiring the full-time presence of a UK representative at the port of Muscat, tasked with overseeing relations with other states. These treaties stand out from others signed with neighbouring territories, and gave considerable autonomy to the Al Said family, more along the lines of a special relationship than that of a protectorate, providing Oman with commercial, political and military advantages.

That special relationship was put to the test with the death of Said bin Sultan in 1856: in the subsequent succession dispute, the British effectively split the Omani empire into two; one based on Muscat and the other on Zanzibar. This weakened the Omani economy and made the ruling family more dependent on the British, who provided successive leaders with political and military support. The two states further strengthened their relationship through treaties in 1891, 1939 and 1951.

Meanwhile, Britain’s curbing of Omani economic activities meant successive sultans were unable to pay subsidies to the influential tribal sheikhs of the interior, which led to a series of rebellions and attacks on Muscat by those tribes. As a result, in 1895, the British committed to protecting Sultan Faisal bin Turki in Muscat and Muttrah from attack, a move that allowed the British to exert informal imperial control.

Less than 20 years later, the British were required to intervene after the crisis prompted by the death of Sultan Faisal Bin Turki, in 1913, when tribes from the interior attempted to take Muscat. A fragile truce was reached between the Sultan, whose powerbase lay on the coast, and the Imam, who claimed to rule the interior.

A few years later, the British would be called upon again to protect Omani territory, this time from Saudi Arabia’s Ibn Saud, in the wake of the collapse of the Ottoman Empire at the end of World War I. Desert borders were difficult to agree upon, which would cause problems after oil was discovered in the region in the 1950s. Following the siege of Muscat, between 1913 and 1920, the British-brokered Treaty of Sib in 1920 recognised the Imamate as the de facto authority in the interior of Oman.

In the 1920s, the British implemented reforms created a Council of Ministers with Bertram Thomas

as Financial Adviser. In effect, Thomas ruled the Sultanate during the long absences of Sultan Taimur bin Faisal, who continued to express a desire to abdicate and reside in India, visiting Muscat only sporadically. It was only when Sultan Said bin Taimur took the throne, leading the country from 1932 until 1970, that the coast and interior of Oman was reunited with Britishorganised military forces.

The Buraimi crisis in the 1950s saw a standoff between Oman and Britain on the one hand and the Saudis and tribes from the interior on the other. In return for oil concessions, the British provided Sultan Said Ibn Taimur with political and military support to eject the Saudis and to destroy the powerbase of the interior tribes once and for all.

In the 1950s, in order to allow further oil prospecting in the interior, British officials helped create and coordinate military forces to reinforce the Sultanate’s authority in those regions, culminating in the military occupation of the mountainous interior. Specifically, the British firm Petroleum Development (Oman) helped finance the Muscat and Oman Field Force that occupied Nizwa in December 1955.

Some historians have argued that during this time, Oman became overly dependent on Britain, and that Sultan Said failed to implement development policies, leading to political and economic stagnation.

In 1967 oil exports finally came on-stream, but it was already too late for the rapidly disintegrating regime. Said bin Taimur’s cautious approach to development had engendered ill-feeling among the populace, which led to further rebellion against his rule in the southern province of Dhofar in 1968. The rebellion spread to the north, triggering the various

forces opposed to his rule to seek to overthrow him.

The pressure of the rebellion was too much for the regime: with British backing, his son, His late Majesty Sultan Qaboos, who had served in the British army and attended Sandhurst and the RAF officers’ college at Cranwell, replaced him in 1970.

Following the end of the Dhofar conflict, in 1977, the RAF air bases at Salalah and Masirah Island were officially handed over to the Sultanate. However, the United Kingdom retained its influence, with British personnel continuing to work alongside the Sultanate’s armed forces. The relationship with Britain remains of vital importance: the UK and Omani armed forces regularly train together.

In 2016, Britain announced the development of a large new military base at the Duqm Port complex in central Oman. The new Omani base will sit alongside a new platform in the region, the British military base established at Mina Salman port in Bahrain, another long-standing British ally. Bahrain already houses the largest permanent detachment of the Royal Navy outside Britain as part of the Combined Maritime Force, which includes the US Navy 5th Fleet in Manama. Together, these bases will provide the United Kingdom with its largest military intervention capability in the region since the late 1960s.

Separated from the rest of Oman by a 50-mile strip of the UAE’s eastern coastline, the Musandam Peninsula offers Oman an important strategic position overlooking the Strait of Hormuz. Situated some 6,500 feet atop the Jebel Harim is a telecommunications/ intelligence station established by Britain that allows Oman to monitor activities throughout the Gulf region as well as into the Indian Ocean.

In 2016, Britain announced the development of a large new military base at the Duqm Port complex in central Oman

Prime Minister Boris Johnson MP and His Majesty Sultan Haitham bin Tarik

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Over the past half century Oman has played a role in three critical arenas: Gulf security; the Arab-Israeli conflict; and global security threats

60

HRH The Prince of Wales and His Majesty Sultan Haitham bin Tarik

A key regional role under His late Majesty Sultan Qaboos In 1970, His late Majesty Sultan Qaboos immediately set about reversing the isolationism of his father’s rule by finding a new role for Oman regionally and internationally, characterised by a subtle balance of independence, pragmatism and moderation. The young sultan began modernising Oman’s economy, exploiting his country’s relatively small but increasingly lucrative oil exports. He also set in motion the so-called “Omani renaissance” by undertaking the social, educational and cultural reforms that continue to this day.

A combination of the country’s geostrategic position on the southern shore of the Strait of Hormuz – through which 30 per cent of globally bound oil passes every day – its oil-dependent economy, and the challenges posed by stronger, neighbouring regimes, notably Saudi Arabia and Iran, have largely shaped foreign policy, which has meant working closely with the United States and Britain. Formal relations were established with Saudi Arabia following a State Visit by the Sultan to the kingdom in 1971. That same year, Oman joined the United Nations and the Arab League.

Relations between Oman and its Gulf neighbours have been strengthened since 1970 through the resolution of long-standing territorial disputes with the UAE and the former North Yemen, while Muscat signed a treaty in 1981 with Saudi Arabia over the Al Buraimi Oasis, giving Saudi Arabia an outlet to the

Gulf through UAE territory. In 1990, Saudi Arabia and Oman formalised a border pact legitimising the existing line separating the two countries.

Under the guidance of His late Majesty Sultan Qaboos, Oman’s foreign policy was flexible and pragmatic. As the head of a small but influential state, His late Majesty Sultan Qaboos strove to make friends and avoided making enemies. Nevertheless, Muscat often took independent positions on regional and global issues. Over the past half century Oman has played a role in three critical arenas: Gulf security; the Arab-Israeli conflict; and global security threats.

The Iranian Revolution of 1979 and the fear of militant Islam among Arab Gulf leaders, combined with the Iran-Iraq War and the potential interruption of tanker traffic through the Strait of Hormuz, catalysed the formation of the GCC in 1981(which also includes Saudi Arabia, the UAE, Kuwait, Bahrain, and Qatar). The GCC is designed to ensure collective security of the member states.

During the Iran-Iraq War (1980-88), unlike Saudi Arabia and Kuwait, which openly supported Iraq and opposed Iran, Oman showed its independence by maintaining positive ties with both sides, hosting secret cease-fire talks in Muscat. No formal agreement resulted, but the consultations reduced mistrust between the parties. Similarly, after 1988, Oman acted as mediator as Tehran sought diplomatic relations with Britain and Saudi Arabia.

Following Iraq’s invasion of Kuwait in August 1990, Oman, along with the other GCC states, cooperated militarily with the United States to liberate Kuwait.

Subsequently, Muscat supported the UN sanctions regime against Baghdad during the 1990s. But, at the same time, throughout the 1990s, Muscat moved quietly to improve political relations with Baghdad.

Washington’s influence in Oman has been felt more strongly since the 1970s as Britain’s disengagement east of Suez in 1971 opened up the region to greater competition for influence. When His late Majesty Sultan Qaboos assumed power, there was no US diplomatic presence in Oman. A US consular officer made a yearly visit, with contacts managed by the British, who had full control of Oman’s foreign relations and defence matters.

Following the attacks of 11 September, 2001, Oman quickly and publicly supported the US war on terrorism. That said, reflecting its foreign policy of avoiding making enemies in the Gulf, Muscat opposed the US and UK-led invasion of Iraq in March 2003, warning that the allies would get bogged down and find it hard to withdraw from Iraq. But again, pragmatism came into play and Omani officials withheld public criticism of the occupation.

Oman’s neutral position has allowed Muscat to play a mediating role in the Arab-Israeli conflict. Nevertheless, His late Majesty Sultan Qaboos was often ahead of the Arab orthodoxy with respect to supporting the ArabIsraeli peace process, and in the 1990s, worked hard to build diplomatic bridges with Israel.

Oman’s 200-mile coastline running from Muscat to the border with the UAE serves as the gateway for maritime trade entering and leaving the Gulf.

The main deep-water channels and shipping lanes in the strait lie in Omani waters. For Western powers, in particular, Oman will remain of key strategic importance to the security of the entire Persian Gulf.

Oman’s foreign policy of neutrality and noninterference in its neighbours’ affairs meant it did not participate in the Saudi-led coalition formed in March 2015 to eject Iranian-backed Houthi rebels who had taken over much of Yemen in late 2014. Though militarily uninvolved, Muscat has supported peace efforts in Yemen as a facilitator and convenor, hosting many meetings between Yemeni parties and Western officials.

As an indicator of Oman’s importance in peacemaking efforts in Yemen, the foreign minister of Oman was invited to attend a meeting in December 2016 of the so-called “Quartet.” The group of four countries – the United States, Saudi Arabia, the United Arab Emirates, and the United Kingdom – was formed in June 2016 to hold periodic meetings on resolving the crisis in Yemen and coordinate closely with the office of the UN envoy.

Former UN envoy Ismail Ould Al-Sheikh at the time described Oman as being “part of the solution and [having] a positive role to play by facilitating communication with the Houthis on the Yemeni issue, as well as hosting a number of meetings.” Since then, Oman has attended several of the infrequent meetings of the group of foreign ministers, which became known as the “Quintet.”

A trading nation diversifies its economy Oman’s unique geographical position has created a cosmopolitan society and culture in addition to opening up potentially enormous economic opportunities.

Oman is closer to India and Pakistan than to the northern Arab Gulf states. The development of Salalah on the Indian Ocean, just 100 miles from its border with Yemen, underlines Oman’s key role it as the gate way for international trade to South Asia. Geography, history and economics are thus working together to lead Omanis to look outward, not inward.

Oman’s modernisation program over the past four decades has been fuelled largely by its oil exports, with revenue from oil and natural gas making up almost half of GDP, more than three quarters of export earnings and up to 80 per cent of government revenues, on average. The Omani government has been working hard to reduce dependence on oil exports through a steady process of diversification of the economy, based on further strengthening trade ties with its oldest ally, Britain. F

For Western powers, in particular, Oman will remain of key strategic importance to the security of the entire region

His late Majesty Sultan Qaboos and Her Majesty The Queen

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OMAN

People turn ideas into reality

By RASHAD MOHAMMAD AL ZUBAIR Chairman, Al Zubair Corporation

S RASHAD MOHAMMAD AL ZUBAIR has been Chairman of The Zubair Corporation since 2010.

The Zubair Corporation’s mission is to foster prosperity by investing in high potential opportunities to impact society for the better.

Since graduation in 1986, Mr Al Zubair has worked across a number of executive management positions including Group President of The Zubair Corporation and President of Zubair Automotive. He is the Chairman of Oman Arab Bank and Vice Chairman of Barr Al Jissah Resort and Muscat University.

He also serves as a member of the Board of Oman Centre for Corporate Governance and Sustainability.

tarting as a family business which expanded from entrepreneurial beginnings in an Omani souq, the Zubair Corporation is now a conglomerate of over 60 companies operating in local, regional and global markets – a true success story.

Celebrating its 50th anniversary in 2017, the family enterprise has grown by leaps and bounds since 1967, a reflection of the exemplary vision of founder Mohammad Al Zubair, and played a significant role in the social and economic development of Oman under the wise leadership of the late His late Majesty Sultan Qaboos – may his soul rest in peace.

Our founder and father entered the business world with the establishment of the Muscat Trading Company in 1967. Today, thousands of employees work across different sectors from automotive, energy and logistics, engineering, construction and contracting, financial services to IT, manufacturing, real estate and hospitality, and transportation both in Oman and abroad.

It is our father’s farsightedness, coupled with the opportunity to help build the private sector with the accession of the His late Majesty in 1970, that has allowed the Corporation to understand and respond to the immediate needs of the Sultanate at a time of rapid change and development. Diversity and flexibility are values we cherish to this day. Equally, a consistent degree of dynamism has allowed our corporate activities to match the challenges and opportunities at local and global levels.

This is especially important with Oman’s current economic diversification efforts. Under the leadership of His Majesty Sultan Haitham bin Tarik – may the Almighty preserve him – the Sultanate is moving away from oil and gas production, to more long-term economic drivers such logistics, tourism, mining, manufacturing and fisheries as potentital future revenue streams for the nation and its people. Diversification, privatisation and Omanisation are the focus for Oman Vision 2040 and, at The Zubair Corporation, we are committed to making a significant contribution. The future, for us, is centered around the requirements of the nation, with special interests in the tourism, real estate, telecommunications, energy and education sectors.

Over the years we have been fortunate to lead and contribute to many important, strategic projects in the Sultanate and beyond. We are particularly honoured to

continue fulfilling our commitment to educating and training Omanis to assume positions of responsibility in the various companies of the Group.

The Corporation’s philosophy also encompasses the cultural well-being of the wider community through the support of many social activities, including arts and sport. As a family, we know the importance of our social responsibilities towards our nation and fellow citizens, on a personal and corporate level.

With the establishment of The Bait Al Zubair Foundation in 2004, we have laid the foundation for future generations to treasure and understand Oman’s traditional and contemporary culture. Headquartered in our old family home, and operating the renowned Bait Al Zubair Museum, it is the first foundation to commission Omani artists for projects, supporting them through exhibitions, music events, conferences and symposiums, and facilitating arts and skills sharing through summer internships, summer schools and international artist residencies.

Another initiative worth mentioning is the Zubair Small Enterprises Centre (Zubair SEC). Aligned with the directives of the late His Majesty Sultan Qaboos bin Said in 2013, award-winning Zubair SEC supports the important role of small enterprises in an increasingly diversified economy and by providing an inspiring and professional environment for young Omani entrepreneurs wanting to establish and accelerate sustainable businesses.

An important stage in the journey of the Corporation was the passing on of leadership roles to the second generation in 2007. Together with my brothers and sister, we took over the responsibilities and are determined to build on the success my father worked hard to achieve by broadening our reach, increasing our brands, building state-of-the-art facilities and ensuring exceptional service. As Oman diversifies, so must we to support national efforts and infrastructure.

With the current COVID-19 pandemic, it’s even more important to invest in human capital and protect our experienced and talented team. Our success as a conglomerate in today’s increasingly more competitive business environment is a direct reflection of our people’s dedication to The Zubair Corporation and our forward-looking, future-ready, holistic approach to business development. Businesses do not take decisions F and turn ideas into reality, people do.

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OMAN

A regional leader

By SHEIKH AHMED BIN YOUSEF BIN ALAWI BIN ABDULLAH AL-IBRAHIM Chairman of the Board of Directors, Raysut Cement Company

E SHEIKH AHMED BIN YOUSEF BIN ALAWI BIN ABDULLAH AL-IBRAHIM is an accomplished executive, investor and entrepreneur with experience in multimillion-dollar global operations, holding many positions of trust, including being the Chairman of Dhofar Tourism Co., the largest and most diversified developer of sustainable towns in Oman. He also serves on the Board of Directors at Virgin Mobile Middle East & Africa, a joint venture with UK based Virgin Mobile with operations in Saudi Arabia, the UAE and Oman. He joint Raysut in 2012.

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stablished in 1981, Raysut Cement Company (RCC) began production three years later, and our first factory was officially inaugurated on 17 November, Oman’s National Day. Since then we have pursued a steady strategy of growth and acquisitions based on quality in all products and solutions, that has made us the largest producer of cement in Oman. The company’s main products are Ordinary Portland Cement, Sulfate Resisting Cement, Class G oil well cement and Pozolana oil well cement (Pozmix).

We are based in the port of Salalah, the capital of the southern governorate of Dhofar and the secondlargest city in Oman, as well as being the birthplace of His late Majesty Sultan Qaboos. RCC is proud to say that it has been a major player in the economic growth and success of Salalah and the to the overall development of Oman.

In collaboration with many local and international partners, RCC provides the expertise, focus, and resources required to efficiently deliver solutions to aid the growth of construction across the Middle East.

Furthermore, thanks to its sizeable maritime fleet, RCC has expanded its reach to boost the development of businesses and communities from Southern Oman to Yemen, East Africa and the Indian Ocean.

Our expansion process began in 1994, when we decided to increase production capacity by adding a second production line to reach a capacity of 750,000 tonnes of clinker per year, equivalent to 825,000 tonnes of cement per year.

Nine years later, we further increased production capacity by adding a third production line, expanding capacity to 1,850,000 tonnes of clinker per year, equivalent to 2.25 million tonnes of cement per year.

In 2005, we increased production capacity again by adding a fourth production line, taking us to 2.6 million tonnes of clinker per year, equivalent to 3 million tonnes of cement per year.

The company then entered a joint venture with its partners in Yemen to establish a cement terminal facility for cement packaging and distribution at the port of Mukalla; the facility began operation in August 1999. Following this, RCC established a second cement terminal facility for cement packaging and distribution at port Sultan Qaboos Port in Muscat; the facility started operating in May 2000.

Building on our high quality products, strong partnerships, rapid growth, and major acquisitions, RCC is consolidating itself as a strategic partner for growth in the developing world. We are looking at an aggressive expansion strategy with a view to eventually expanding our production to 20 million tonnes a year by 2025.

Our overseas expansion took off in 2011 when we diversified into ready mix concrete and other cement products through a 50 per cent ownership in Oman Portuguese Cement Products LLC, allowing the company to now provide a full range of cement and cement products, and meet the needs of customers and that of the country.

This was the period when I joined the company as Chairman of the Board of Directors, with the goal of leading the company to take on new challenges across strategic global business expansions and in increasing social relevance of the company in the markets where Raysut has roots.

My background is in industrial and social reformation as well as institutional development, and I see my mission as helping the company expand its geographical footprints and to raise its profile in the community as a responsible corporate citizen acutely aware of its role in integration and community intermediation.

In 2011 we expanded our production bases to Ras Al Khaimah in the UAE through the 100 per cent acquisition of Pioneer Cement Industries, a regional leader and one of the largest modern cement manufacturers in the UAE. Pioneer Cement has been a major partner to the success of the Ras Al Khaimah Investment Authority.

In collaboration with many local and international partners, Pioneer Cement provides the expertise, focus, and resources required to efficiently deliver solutions to aid the growth of construction across the Middle East. Now, with our high quality products, strong partnerships, rapid growth, and major acquisitions, Pioneer Cement has established itself as a strategic partner for growth in the developing world based on our vision of creating value on a sustained basis for all stakeholders while fulfilling corporate social responsibility.

My aim since joining RCC as Chairman has been to help the company expand its geographical footprint and raise its profile in the community as a responsible

corporate citizen acutely aware of its role in integration and community intermediation. My belief is that companies have a role beyond the bottom line by realising their social value and relevance, wherever they are located, and we have assiduously worked to put Raysut on the path of a salient contributor to nation building and a sustainable society. The Board of Directors has led an array of corporate reforms internally that has continued to aid Raysut in seamless decision making processes and prudent institutional reforms.

In 2019, we bought Sohar Cement, based in the northern city on the Gulf of Oman for US$60 million as part of plans to boost our capacity in rapidly growing markets, particularly Africa.

The acquisition brings Raysut Cement’s cement capacity to 6.4 million tonne per annum. Raysut had earlier outlined its plans to expand its reach through acquisitions in Africa. For its next expansion phase, the Omani cement group will be looking at India, where it is likely to enter through acquisitions. The acquisition of Sohar Cement forms part of Raysut’s ambitious plan to expand its capacity to not only meet growing domestic demand but also to service the rapidly growing markets, particularly in Africa, and to focus on diversification and growth outside the Gulf region.

Sohar Cement is the Sultanate’s third cement plant after Oman Cement and Raysut Cement. The facility was developed by a partnership between Sohar Cement, holding 70 per cent of the equity, and UAE-based Fujairah Cement Company, owning the remaining 30 per cent of the equity. Sohar Cement features a cement-grinding unit with a capacity of

around 240 tonnes per hour and aims to help add to domestic production capacity and reduce the nation’s dependence on imports of cement. The Sohar acquisition also includes taking over the 20 per cent stake of Fujairah Cement.

We now plan to further expand our portfolio by entering the Indian cement markets of Gujarat and Chhattisgarh, as well as targeting a 70 per cent stake in Kenyan producer ARM Cement.

We have been focusing on high-growth markets and we are seeing that India has a significant potential in the next 20 years. We would also like to participate in the country’s infrastructure development and economic growth.

RCC has business partners and joint ventures across the region. Our business partners maintain the same standards of quality and professionalism as our own company to ensure that every RCC product and/or service is of top-notch quality regardless of its point of origin.

This is the vision that has reinforced Raysut’s strategy across infrastructural development, introduction of new and leading cement products and long-term industry partnerships and that have been widely acclaimed and supported by federal and local government entities.

I feel I have brought new dimensions to Raysut Corporate Social Responsibility (CSR), making the company more outward oriented in sharing its profits with the larger society across sectors such as education, health etc. I have also focused on employee training and skills development for employees for F taking up challenges of social relevance.

RCC is consolidating itself as a strategic partner for growth in the developing world

Raysut cement plant

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OMAN

Committed to sustainability

By JOEY GHOSE Chief Executive Officer, Raysut Cement Company

O JOEY GHOSE has been CEO of Raysut Cement since December 2017. Prior to that he was the Managing Director of Binani Cement, part of Braj Binani Group, an Indian conglomerate. He has over 25 years’ experience in the cement industry across the Middle East, Africa, India, China and the Far East. At Raysut his focus is to bring profitable and sustainable change, growing Raysut to a 10 million tone company by 2022 while simultaneously driving Omanisation and being a Responsible Corporate Citizen in Oman’s development.

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ne of the aspects of RCC that most struck me when I took over as CEO in 2017 was its commitment to corporate social responsibility: this is a company that incorporates concerns of sustainability into its decision making process and ensures that best industry practices in safety, social development and environmental conservation are an integral part of the business.

Before I joined, RCC had already received the Environment Award for being the best Omani manufacturer in 1986, 1993, 1994, 1995, and 1998; it was also awarded a certificate of recognition in the years 1996 and 1999 for complying with UK environmental requirements. Additionally, RCC won the GCC award for the Best Environmental Business for the year in 1998.

I began my career in the cement industry in 1998 at Blue Circle Industries in the UK as a business development manager, looking after the Sub-Saharan Africa and Indian Ocean markets. Prior to joining Raysut, I amassed more than 26 years in the cement industry across the Middle East, Africa, India, China and Far East, consistently driving business towards higher profitability, while always maintaining a commitment to sustainability.

Over the last two years, my focus as CEO has been to grow the company into a 10 million tonne entity by 2022, while simultaneously ensuring plant and business performance and adapting rapidly the latest technologies and artificial intelligence tools to keep ahead of the competition. During this time, Raysut has managed to reposition itself as the market leader in Oman through acquisitions and new investments.

These include the 100 per cent buyout of Sohar Cement, a 2mtpa grinding unit and establishing a new 1mtpa grinding unit in Duqm. Since Raysut’s mother plant is in Salalah, far from the high demand zones in the northern Oman market, RCC has pursued an aggressive export strategy leading to market leadership in Zanzibar, most of the Indian Ocean Islands and clinker supply to East Africa.

RCC cares for the environment and makes sure that environmental safety is one of the priorities of the company. Our goal is to promote efficient use of resources, reduce and prevent pollution of any kind, and create sustainable products and business practices.

In my role as CEO I have placed a particular emphasis

on Health, Safety and Environment (HSE) in the context of mitigating the risk of climate change and increasing the use of renewable energy by using waste heat recovery to promote circular economy.

Our environmental policy aims to enhance biodiversity protection by assessing the ecological value of land-use in investment and operational activities; set and achieve targets that promote efficient use of resources and prevent all kinds of pollution. At the same time, we encourage the sustainable development of our local community by enhancing economic benefits from our operations, and contributing to social improvement.

As a leader of Oman’s largest market-listed only cement plant, I have also made major efforts to drive Omanisation, the objective of which is to lessen the Sultanate’s reliance on expatriate talent and to build a skilled labour force within the population. By extensively training locals to take on specific jobs, the Sultanate is building a strong and reliable skilled labour force, giving nationals an opportunity to display the skillset that may have been overlooked previously.

The betterment of its local populace takes precedence over any other agenda within the Sultanate of Oman, and the policy of Omanisation is one of the strongest efforts by the Government of Oman to boost self-sufficiency.

RCC recognises its responsibility to the local community. The company thrives off the support of the community and our goal is to give back in as many ways as we can. RCC strives to establish itself as a good corporate citizen in the community while respecting the values and cultural heritage of the society. We maintain a dialogue with people affected by our operations and work with their approval before implementing programs for economic and social development, environmental protection, public health and more. The objective is to understand actual needs from their perspective and implement real solutions to their issues.

Our HSEC commitments are setting targets for social responsibility programs, developing, implementing and maintaining management standards and systems, complying with relevant industry standards and legal requirements, regularly reviewing our performance and publicly reporting on our progress, while engaging stakeholders to build relationships with honesty, openness, mutual trust and shared responsibility for F meeting the goals of our policies.

OMAN

Playing to Oman’s strengths

By DR. IBRAHIM AL NADHAIRI Chief Executive Officer, Oman Shipping Company

S IBRAHIM AL NADHAIRI is the Chief Exectuive Officer of Oman Shipping Company, and Oman Drydock Company, overseeing the running of the companies’ assets.

He leads a multinational organisation that extends all over the world with mobile units and over 1900 employees. Ibrahim has undergone extensive executive training at INSEAD and is a UK qualified chief engineer with an MBA and PhD in Management.

ince it was set up in 2003, the Oman Shipping Company (OSC), which handles ship owning, technical management and chartering, has been playing an ever-expanding role in the Omani government’s strategy to develop a national fleet that meets the maritime transportation needs of the Sultanate’s rapidly industrialising economy.

Oman’s strategic location gives it natural advantages for trade: the Sultanate is situated close to the world’s major shipping routes and benefits from being closer to the world’s sea traffic than other major ports in the region. At the same time, its longstanding relations with its Gulf neighbours provides an additional advantage in building trade links. The development of Oman’s logistics capacity also enables the country to leverage its strategic position and provide an alternative trade route to the congested Strait of Hormuz.

With its main ports located outside the Strait of Hormuz, Oman is in a strong position to increase the volume of goods transported through its territory, particularly en route to neighbouring Saudi Arabia and the UAE, with which it has well developed road networks.

OSC, which is owned by the government through the ASYAD Group, is an integral part of Oman’s drive to become a top-ten global logistics hub while supporting the integration of all supply chain activities in the Sultanate, providing rapid distribution across the Middle East, as well as acting as the region’s gateway to global markets. The expansion of the country’s logistics sector also offers an opportunity to drive Omanisation, a long-standing policy by which the government seeks to increase the share of Omani nationals in the workforce, particularly in the private sector.

OSC is in the midst of an ambitious fleet expansion plan: after starting out almost two decades ago by transporting Oman’s LNG cargoes to international markets, the company has expanded its fleet to more than 50 vessels. The company has since diversified into the crude oil, chemicals, dry bulk, LPG and container and general cargo market segments of the maritime transport and logistics chain. Our mix of Very Large Crude Carriers (VLCCs), Product Tankers, LNG Carriers, Chemical Carriers, LPG Tankers, Very Large Ore Carriers (VLOCs) and Dry Bulk Carriers, Containers and general cargo vessels are a reflection of the diversifying and commoditised

nature of Oman’s expanding economy.

We continue to order new ships that will be deployed in the spot market, plotting further fleet expansion in the bulk and container market. New-build VLCCs will use the latest eco-friendly technology to meet and exceed the environmental regulation standards of the International Maritime Organisation.

In turn, as part of ASYAD’s strategic plan to elevate group-wide operational efficiency and consolidate complementing business activities, OSC has been integrated with ship repair yard Oman Drydock Company (ODC). The amalgamation further connects Oman’s shipping services with a comprehensive marine offer that meets the group’s aspirations of making the Sultanate the go-to place for global players looking for end-to-end logistics solutions.

From the outset of its launch as a national shipping line, OSC has sought to achieve the highest standards of quality, health, safety and the Environment (QHSE) by incorporating the principles of sustainable development across its business activities. QHSE safeguards are embedded in the company’s business processes and are obligatory for OSC’s stakeholders, including its crew, shore staff, contracted personnel, and others who may be associated with the company’s operations in any way.

As the proud flag carrier and national shipping line of the Sultanate of Oman, OSC has embraced sustainability as the bedrock of its corporate philosophy.

Integral to the concept of sustainability is a steadfast commitment to the principles of environmental and social responsibility, compliance with local and international maritime regulations, and upholding safe working conditions and fair play. In essence, it enshrines a commitment to providing safe, secure and efficient shipping and transportation solutions to its customers, while furthering the strategic interests of stakeholders and the nation.

Looking to the future, OSC will continue to support the national economy. OSC’s long-term strategy is to diversify our customer portfolio, increase security and safety measures, while responding to new environmental regulations through an ongoing fleet renewal to secure a competitive, reliable, modern and green fleet. In the process, we are committed to continue playing a key role in further strengthening F and diversifying Oman’s economy.

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OMAN

Supporting Oman’s development Interview with WALTER SIMPSON Managing Director, CC Energy Development

WALTER SIMPSON is a graduate of the University of Oxford and Heriot-Watt University in Petroleum Engineering.

He began his career with BP in the North Sea before taking roles at Crescent Petroleum and Baker Hughes and BG Group where he rose to the position of President and Managing Director of BG India.

Moving to Australia he worked with QGC and Drillsearch Energy, as Chief Executive Officer, before taking up the position of Managing Director at CC Energy Development in 2018.

Please give an overview of your objectives for CCED. Oman is a country which we believe is one of the best in which to operate in the Middle East and we want to be here right the way through our licence period to 2040 and beyond. To do that we have to ensure a sustainable business, both from an environmental perspective and a business perspective. That means we have to keep training Omani staff, generating revenue, increasing our production volumes and keeping exploration going. Last year all the work we put in previous years into HSE (Health, Safety and Environment) started to bear fruit and we began the year with a safety recordable incident frequency of 1.4 and finished it at 0.5. That dramatic improvement has been down to the hard work of the organisation in taking accountability for improving safety. While it is important in keeping people safe, I am also a firm believer that those behaviours that allow you improve safety performance, are exactly the same behaviours that allow you improve your business performance. We performed equally as well in our production delivery and year on year our production grew by eight percent and we went to over 45000 barrels a day of crude oil. That juxtaposition between an improving safety performance and an improving production is absolutely crucial to us being a successful business into the future.

We also want to be a business that is nationalised in the sense that we have a very strong Omani national workforce and that we have a portfolio of opportunity that we are developing sequentially in a value based way that will allow us to keep the production levels high for both ourselves and the country. We currently have around 750 employees directly employed and we are presently at 83 per cent of Omanisation, but what is most pleasing about that is that at our senior management level we are at 53 per cent Omanisation.

How does operating in Oman compare to the many other countries in which you have worked?

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Very favourably. Oman has a fiscal regime which is very good, has a Ministry of Oil and Gas which is very supportive and which understands our business well and looks for solution to problems when we present them. The education system here which His late Majesty Sultan Qaboos really put at the forefront of his development of the country means that we have a workforce which is extremely well educated.

Would you consider human resource development to have been the greatest legacy of His late Majesty Sultan Qaboos?

Yes, but there is a subtle nuance to it. Education is very important, but education for all, both male and female, has been vitally important. That is something that is special in Oman as we have a number of extremely well educated and very experienced senior females in this organisation who are really driving things forward and that is something that I think is very valuable for the country.

What is your comment on British-Omani relations?

The relationship is very valuable both ways. I found coming to live here that there is a familiarity of the population with the UK, having been there for education or having spent time there. I also think that it works in another way in that it gives that international exposure to the Omani population.

Have you any plans to plans to invest in renewables?

It is clear that the world is changing in terms of global warming and environmental climate change and that requires us as energy businesses, particularly in the oil and gas sector, to revaluate what is our niche in this market as the world changes. I do not think the hydrocarbon sector is going to disappear. However those who will be successful in the oil and gas industry are the low cost operators who have a footprint which is valued by the community and that is the strategy that we are looking at, and we are working hard to bring our costs down so that we are a low cost operator.

We are also looking hard at what our impact on the environment is and that is not just in terms of CO2 emissions but also in how we manage our water, how we manage the land that we have in acreage, how we deal with our waste and making sure that we minimise that impact. We are also looking at how we are being of value to the community and that is not just in terms of being a CSR star and giving funds to this or that project, it is about the training and development of our national staff and how we fit with the community. This is a country which has been extremely good to CCED and we have been very successful working here, and I want to continue that success and ensure that CCED F plays its part in making Oman successful.

OMAN

Serving Oman’s development

By H.E. SHEIKH MUSTAHAIL BIN AHMED AL MASHANI Chairman, Muscat Overseas Group

E SHEIKH MUSTAHAIL BIN AHMED AL MASHANI is Chairman of Muscat Overseas Group, one of Oman’s leading business organisations, founded in 1972. In recent years the company has continued to expand its operations across various sectors in Oman and other countries, promoting new business ventures in key sectors of economic growth in Oman and growing small businesses into scalable and commercial business enterprises. The Group has invested considerably in technology, human resources and expertise for the over-all development of the Sultanate.

stablished in 1972, the Muscat Overseas Group (MOG) has grown steadily and diversified over the last half century, mirroring Oman’s economic development under the leadership of His late Majesty Sultan Qaboos bin Said and benefitting from his far-sighted policies and support to the business sector. MOG’s vision has been to be a trusted partner and contributor to the development of Oman.

Our consistent effort has been to promote new commercial ventures while at the same time helping small businesses grow sustainably into viable enterprises. The Group has been involved with the banking and financial services sector, expanded social infrastructure and housing, invested in independent power projects, schools, universities, healthcare facilities, while participating in industrialisation and other services sectors.

MOG has earned the trust and confidence of its customers across the following sectors: Dealerships: Our story starts with the Muscat Overseas Industrial and Marine Equipment Trading Company being set up in 1972. The company continues to supply a range of industrial and marine equipment and services across Oman. Our franchise model uses state-of-the-art warehouses located in Ghala, Nizwa and Sohar, assuring accurate and timely supply to the construction, industrial, power and marine sectors throughout the country. The company continues to provide In Country facilities for repair and maintenance. The Muscat Overseas Engineering Services Company provides engineering services to the aviation, manufacturing, oil exploration, construction, mining, power and marine sectors. The Muscat Overseas Projects and Services Company delivers rental and leasing services for a range of construction and industrial equipment.

Logistics: Majan Shipping and Transport Company is a preferred supply chain management and logistics service provider and has been delivering operational assistance to companies in the Sultanate since 1998. As a logistics company, Majan Shipping has a proven track record and experience in handling project cargo, heavy and over dimensional cargo, international forwarding and logistics, customs clearance, air freight, ocean freight, land transportation and warehousing services.

Our forays into logistics are in line with the Sultanate’s prioritisation of the logistics sector.

Agriculture and Aquaculture: Expanding our network, in 1974 we set up the Muscat Overseas Agriculture Company, which endeavours to further the Sultanate’s agricultural sector. In an effort to harness the potential of Oman’s diverse marine life, we established Oman Aquaculture Company in 2012. Based out of Salalah, the company aims to produce Abalone on land in a controlled environment. The initiative is an effort to put Oman’s Abalone on the world map as a quality product without depleting natural sea resources.

Agriculture Modern Engineering Company, which is into landscaping has undertaken and delivered a number of projects to client satisfaction.

Oil & Gas: Over the years we have developed a key presence in the oil and gas sector. The Muscat Overseas Oilfield Supplies Company meets the equipment supplies and service requirements of the oil, gas, petrochemical, water and power industries.

Travel & Tourism: In 1989 we branched out into travel and tourism, and have established a reputation for delivering on customer expectations.

Real Estate: Muscat Overseas Group - specialises in real estate project development, property and facilities management and other related services.

Pharmaceutical: We forayed into pharmaceutical with the Drug Manufacturing Company (DMC) in 2010. The primary activity of DMC is to manufacture Active Pharma Ingredients (API). The company has set up a manufacturing plant in the Sohar Industrial Estate to manufacture in bulk the antibiotic cephalosporin. DMC aims to position Oman as a leading supplier of APIs to manufacture drugs in the GCC region and Europe.

Media and Communications: The Group has established itself as a diversified media and communications business with a notable customer base in Oman. MOG looks forward to delivering new experiences and creating opportunities in the media and communications space.

Looking ahead: MOG is an organisation that is rooted in Oman delivering sustainable value to our stakeholders. The Group has consistently invested in technology, human resources and expertise, contributing in the process to the overall development of the Sultanate and creating opportunities across a range of economic and social sectors. We are committed to serving Oman’s development needs under the visionary leadership of His Majesty Sultan Haitham bin Tarik. F

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OMAN

A decade of achievement

By SAID AL MASOUDI Chief Executive Officer, Sohar Aluminium

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SAID AL MASOUDI holds a bachelor’s degree in Oil & Gas Engineering from Sultan Qaboos University and an MSc in Energy Law & Policy Studies from Dundee University, Scotland.

He began his career in 1991 at the Directorate of Natural and Industrial Resources Planning rising to become Director of Natural Resources and Energy Sectors Development at the Ministry of National Economy. In 2005 he joined the Oman Oil Company as Director of Business Development.

He was appointed as CEO of Sohar Aluminium in 2013.

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bout one decade ago, Oman embarked on a mission to create a thriving aluminium industry which would contribute to the economic development of the country. The establishment of Sohar Aluminium Company L.L.C. (SA) was the first step the Sultanate took to help diversify the country’s growing economy through producing what is globally known as the metal of the future, paving the way for other projects that today form a robust cluster of companies in the Sohar Industrial City. As the journey continues, the company looks forward to the future.

Committed to Oman, inspired by Great Leaders SA was established as one of Oman’s ambitious economy diversification projects as part of the Oman 2020 vision that was inspired by the His late Majesty Sultan Qaboos bin Said. The company attributes its successes in the past decade to His late Majesty’s unique and inspiring leadership. Today, the company stands strong and confident to continue performing its national duty in the new era of His Majesty Sultan Haitham bin Tarik.

The company remains committed to its values all the while mindful and respectful of its heritage.

Production excellence and improvements As a facility, Sohar Aluminium’s smelter has produced more than 3.8 million tonnes of finished product since its inception. By utilising cutting-edge technology it has maximised productivity, increasing the volume of aluminium it produces. This has had a positive impact on employment opportunities and business development.The company has a dedicated Power Plant with a total design capacity of 1,000 MW, as well as a dedicated port facility. The company is ISO 9001:2015 certified for its Casthouse, ISO 14001:2015 and OHSAS 18001:2007 certified for Environment, Health and Safety Management Systems. The smelter is recognised within the sector as one of the most modern in the world. By consistently enhancing processes to produce quality aluminium in the most efficient and environmentally – conscious way, SA continues to develop plans for metal production and power generation by utilising state-ofthe-art technology and by constantly developing the skills of its workforce.

An industry leader with strong financial positioning Oman’s unique geo-economic location allowed SA

to attract some of the largest companies in the world and as a result, the last decade cemented its position as a global industry leader. Its ambition has always been to create a successful business climate which inspires confidence amongst partners. SA utilises an approach of lean manufacturing principles and capital improvement projects to significantly improve its productivity through waste minimisation efforts, higher process efficiency, standardised cycle time and reduced material costs.

Contribution to social and economic development Local economic development and the creation of In-Country Value (ICV) are central aspects of SA’s economic considerations. The company continues to make a significant contribution to the national economy and has an important national impact on job creation, ICV and social development. Through hiring more Omanis and an intensive focus on increasing the local supply base while supporting Aluminium downstream factories by supplying hot metal, SA has had an increasing impact on the economic development of the surrounding regions by increasing income and improving lifestyles. This has not only positively impacted Sohar’s economic development, but it has also contributed to the national GDP of the Sultanate.

Commitment to safety and environment The company’s approach is to maximise shareholders’ and social value through responsible business operation. As an organisation, SA adopts a policy of reliability to meet the highest customer expectations for product quality, while maintaining environmentallyfriendly smelting operations. To deal with the environmental issues associated with its operations, the company’s comprehensive environmental management system helps facilitate the realisation of important Environment, Health and Safety objectives.

Growth and innovation Following ten years of operations stabilisation, workforce development and regional and global positioning, in 2019, SA unveiled its new Business Strategy called Innovation and Growth. The company seeks further growth and sustainability by leveraging on breakthrough innovations in aluminium smelting F as well as alternative power generation.