Oman’s Asyad Shipping sets price range for upcoming IPO

1

What we're tracking today

TODAY: Oman’s Asyad Shipping IPO gets anchor investors, price range + UAE’s NMDC to invest in India’s mega port development

Good morning, nice people. We are closing this busy week with a flurry of news from Oman, including IPO Watch updates on Asyad Shipping’s imminent public offering, as well as LNG and Salalah port news. We also have the latest on NMDC’s latest overseas investment move. Shall we?

WATCH THIS SPACE-

#1- French shipping giant CMA CGM is launching a new Red Sea shipping service connecting India with KSA and Oman, according to a statement. The BIGEX 3 service will call at India’s Nhava Sheva and Mundra Ports before making its way to Oman’s Salalah Port and Saudi Arabia’s Jeddah Port, starting 22 February. The firm will also launch an additional BIGEX 4 weekly service linking Saudi Arabia’s Dammam Port and Iraq’s Umm Qasr Port — both located on the Arabian Gulf — to India’s Mudra and Nhava Sheva Ports, starting 24 February.

IN CONTEXT- The new Red Sea route services are the latest of many updates, suggesting a possible rebound in traffic could be on its way. At least two LNG vessels and one crude tanker have braved the route in the last few weeks, and at least six US- and UK-linked ships have passed through the Red Sea safely within two weeks of the ceasefire announcement in mid-January.

IN OTHER RED SEA NEWS- The EU is extending maritime security operation Aspides in the Red Sea until 28 February 2026, according to a statement. The bloc will plug in an additional EUR 17 mn into the operation over the next year.

REMEMBER- Operations kicked off a year ago in an effort to restore maritime security and navigation stability in the highly strategic maritime corridor. The maritime force’s mandate was declared to be mainly defensive, tasked with maritime situational awareness, escorting vessels, and protecting them from attack.

#2- Qatar will invest USD 10 bn across several Indian sectors, including logistics, manufacturing, infrastructure, and technology, according to a statement. The news comes on the heels of Qatar’s Amir Sheikh Tamim bin Hamad Al-Thani's visit to India, which also witnessed the signing of several collaboration agreements, including an MoU on financial and economic partnership and an MoU between the Confederation of Indian Industry and the Qatari Businessmen Association. No timeline for the investment or specific projects have been disclosed.

The two countries are aiming to diversify and double their annual trade to USD 28 bn within the next five years, reportedly discussing signing a freetrade agreement and enhancing investments in energy and energy infrastructure.

In numbers: India exported USD 1.82 bn worth of goods to Qatar in 2023, while Qatar exported USD 12.9 bn worth of goods to India, according to OEC data. India's exports mainly consisted of rice, jewelry, and cars, while Qatar exported petroleum gas, crude petroleum, and refined petroleum.

IN OTHER NEWS- India is in talks with Oman to lease a crude-storing facility with a capacity of 5 mn barrels, CEO of Indian Strategic Petroleum Reserves Ltd. (ISPRL) L.R. Jain told Reuters. The company is also eying other partners in the region for similar deals, Jain added. The South Asian country imports 80% of its oil needs and is scrambling to raise reserves in a bid to hedge against global supply chain disruptions. India is also moving to join the International Energy Agency, which requires members to hold reserves amounting to a minimum of 90 days of oil consumption. India’s storage capacity currently stands at 74 days.

MARKET WATCH-

#1- Crude prices dropped this morning over reports of rising US stockpiles, reversing an upward trend for most of this week, Reuters reports. Brent crude futures declined by USD 0.17 to USD 75.87 a barrel, while the US West Texas Intermediate (WTI) March contracts — expiring today — dipped by USD 0.30 to USD 71.95 a barrel by 06.00 GMT. WTI April contracts also decreased by USD 0.22 to USD 71.88.

#2- Iranian oil might be successfully evading sanctions: Iranian oil exports to China surged to 1.7 mn barrels per day (bpd) in February, up 86% from the previous month despite tightening US sanctions on Tehran, Bloomberg reports, citing data from intelligence firm Kpler. The increase comes on the heels of a rise in ship-to-ship transfers and the development of alternative crude receiving terminals, traders told the news outlet.

IN OTHER SANCTIONED OIL NEWS- Russia’s oil flows are unlikely to increase, even with a potential Ukraine ceasefire and easing of sanctions, Reuters reports, citing Goldman Sachs. “Russian crude oil production is constrained by its OPEC+ 9 mn bpd production target rather than current sanctions, which are affecting the destination but not the volume of oil exports,” the bank said. The US has announced plans to hold more talks with Russia on reaching a ceasefire with Ukraine.

#4- Baltic index sees a major jump: The Baltic Exchange’s dry bulk sea freight index — which tracks rates for the capesize, panamax, and supramax vessel segments — was up 63 points to 904 on Wednesday. The capesize surged by 110 points to 867, while the panamax index gained 62 points to 1,104. The smaller supramax index climbed by 26 points to 839.

DATA POINTS-

#1- Dubai’s Jebel Ali Port handling capacity saw a 7.4% y-o-y increase to 15.5 mn TEUs in 2024, accounting for nearly 18% of DP World’s total global container handling output during the same period, according to statements here and here (pdf). The port saw breakbulk cargo handled rise up 23% y-o-y to 5.4 mn metric tonnes, reaching its second-highest level of performance in almost a decade. Imports accounted for 80% of total shipments handled at Jebel Ali port, driven by the region's expanding investments in infrastructure and renewable energy.

Behind the numbers: The firm attributes steady local and regional demand – particularly from Asia and the Indian Subcontinent – for driving up container throughput last year, regardless of geopolitical challenges, including disruptions to shipping in the Red Sea.

REMEMBER- The port has an annual container capacity of 19.4 mn TEUs across four terminals, made up of over 100 berths and with a 25 km quay length. Jebel Ali includes dedicated terminals for breakbulk, Ro-Ro, and heavy-lift cargo.

#2- Jordan’s Aqaba Container Terminal saw a 49% y-o-y increase in ship handling to 494 ships in 2024, Petra reports. The terminal also handled 848k containers throughout the year.

***YOU’RE READING EnterpriseAM Logistics, the essential MENA publication for senior execs who care about the industry that connects producers and retailers to global markets. We’re out Monday through Thursday by 9:15am in Cairo and Riyadh and 11:15am in the UAE.

EnterpriseAM Logistics is available without charge thanks to the generous support of our friends at Hassan Allam Utilities, Transmar, and AK-Ships.

Were you forwarded this email? Tap or click here to get your own copy of Enterprise Logistics.

Want to send us a story idea, request coverage, ask for a correction, or otherwise get in touch? Reach out to us on logistics@enterprisemea.com.

DID YOU KNOW that we also cover Egypt, Saudi Arabia, the UAE, and the MENA climate industry ?
***

CIRCLE YOUR CALENDAR-

The UAE is holding AD Ports Group Capital Markets Day on Monday, 24 February in Abu Dhabi. The full-day, in-person event will see investors, analysts, corporate and investment bankers and other securities market professionals gather to evaluate AD Port’s financial performance and the group’s strategy going forward. Group and cluster senior management, as well as other guest speakers, will visit flagship assets in Abu Dhabi.

The UAE will host the WCA Worldwide Conference from Tuesday, 25 February to Saturday, 1 March in Dubai. The event — set to bring together over 4.5k freight forwarders from 179 countries — will host several workshops and courses over one week.

The UAE will host the WCA Worldwide Conference from Tuesday, 25 February to Saturday 1 March, in Dubai. The conference will include delegates from over 180 countries for logistics social networking events, one-on-one meetings and sponsorships.

Check out our full calendar at the bottom of this email for a comprehensive listing of upcoming news events and news triggers.

Oman’s Asyad Shipping sets price range + secures anchor investors for IPO

Asyad Shipping — the LNG transport unit of Omani state-backed logistics giant Asyad group — has set a price range of OMR 0.117-0.123 per share for its upcoming IPO, Reuters reports citing a statement by the company. At the top of the range, Asyad Shipping could raise as much as USD 332.5 mn in IPO proceeds, giving it a market cap of up to USD 1.66 bn upon listing on the Muscat Stock Exchange.

Big backers on board: The Qatar Investment Authority’s Falcon Investments and Omani state-owned Mars Development will act as anchor investors, subscribing to 20% and 10% of the offering, respectively, at OMR 0.123 per share — which is the upper end of the range.

What’s next? Subscription is due to open today, and will run until Wednesday, 27 February, with trading scheduled to begin around Wednesday, 12 March.

REMEMBER- Asyad Shipping is taking a 20% stake — that is just north of 1 bn company shares — to market in a two-tranche secondary offering led by its sole owner, the Oman Investment Authority-backed Asyad Group. The move falls under a broader government privatization push, which includes the sale of an additional 30 Omani state-backed assets, including power utility firm Oman Electricity Transmission.

ADVISORS- EFG Hermes was appointed global coordinator, along with JPMorgan Chase, Jefferies Financial Group, and Oman Investment Bank, back in July 2024. Sohar International Bank was tapped as the issue manager, while Credit Agricole and Societe Generale will serve as joint bookrunners.

NMDC Group to invest nearly USD 2.4 bn into India’s Vadhvan port

NMDC to invest bns in Indian port project: Abu Dhabi-based National Marine Dredging Company (NMDC Group) inked an MoU with India’s Jawaharlal Nehru Port Authority (JNPA) to invest nearly INR 210 bn (c. USD 2.4 bn) into Mumbai’s Vadhvan Port, according to a statement. Under the agreement, NMDC will develop dredging, reclamation, and shore protection operations at the port's offshore land, the Economic Times reports.

What’s on the cards for Vadhvan: India’s mega port is currently under construction and is set to feature nine container terminals, each stretching 1 km in length. It will include specialized berths for wheeled and liquid cargo, as well as one for the coast guard. Slated to be finished by the end of the decade, the USD 9 bn port will be capable of handling around 23 mn container units when it reaches full capacity, possibly positioning it among the top 10 largest ports globally.

A strategic location: The Vadhvan Port — poised to be the starting port for the India-Middle East-Europe Economic Corridor (IMEC) — boasts a strategic location that is set to make it a strategic trade gateway for the region and expand the country’s export capability. It is located along the Arabian Sea coast, with proximity to India’s most populous city Mumbai, and the industrial centers of Gujarat state. The port will also have access to northern and central India via the national railway network and the NH8 highway

REMEMBER- The IMEC reportedly kicked off operations back in June with a focus on establishing the first leg between India and the UAE via sea and rail links. Efforts are currently underway to streamline procedures across the Indian ports of Mundra, Kandla, and Nhava Sheva, as well as the UAE ports of Jebel Ali and Fujairah.

Not the first interested party: Logistics giant DP World inked an MoU with JNPA to develop India’s Vadhvan Port back in October 2023.

Oman inks 10-year LNG agreement with Swiss trader Mercuria

Oman inks long-term LNG agreement: Oman LNG has inked a sales and purchase (SPA) agreement with Swiss commodity trading firm Mercuria to supply it with 800k metric tonnes of LNG annually over a period of 10 years starting April 2025, according to a statement.

The latest in a string of supply agreements: Oman LNG inked a similar SPA with Japanese power-generating outfit Jera in April 2024 for the supply of 800k metric tonnes of LNG annually over 10 years starting in 2025. The firm also inked a five-year agreement with Thailand’s largest energy firm PTT PCL to supply the country with 300k metric tonnes of LNG per year starting in 2026 and a 10-year SPA with Turkey’s BOTAS Petroleum Pipeline Corporation for an annual supply of 1 mn metric tonnes.

IN OTHER LNG UPDATES FROM QATAR-

QatarEnergy has offered China a 10-year supply agreement for 1 mn tons of LNG per year starting 2028, Asharq Business reports, citing traders. The potential agreement comes as Qatar looks for buyers as it ramp up production at the country’s North Field expansion project.

We knew this was coming: Qatar’s national energy firm QatarEnergy was in talks last year with European and Asian buyers to supply LNG from its North Field expansion project, which is set to expand production by 85%.

Upping their game? LNG buyers were reported last year to be turning away from Qatar and towards the UAE, Oman, and the US for more flexible supply agreements, with countries like Japan and South Korea reportedly looking for suppliers who offer shorter-term contacts and, unlike Qatar, do not limit the cargoes’ final destination.

China💙 Qatari LNG: The Chinese state-owned Sinopec snapped 5% of NFE in 2023 after inking a 27-year LNG sales and purchase agreement — one of the longest-known LNG agreements on record — with QatarEnergy to supply 3 mn tonnes of LNG annually. QatarEnergy also inked a long-term LNG supply agreement in December 2024 with energy giant Shell to deliver about 3 mn tonnes of LNG cargoes per year to China.

Bolstering trade volumes: China is the world’s largest importer of LNG, with 71 mn metric tons shipped in 2023, Reuters reported in December 2024, citing government data. Qatar is the third largest LNG exporter globally after the US and Australia, with 73 mn metric tons of LNG exported in 2024, Reuters reported citing Kpler data. Qatar exported USD 37.3 bn worth of LNG to China in 2023, according to OEC data.

Oman’s USD 300 mn Salalah port expansion is complete

APM Terminals-operated Salalah Port in Oman has completed a USD 300 mn expansion project to support the launch of Maersk and Hapag-Lloyd’s Gemini Cooperation launch, according to a statement. The expansion works included increasing the port’s container capacity by 2 mn TEUs to 6.5 mn TEUs, upgrading all six berths, and expanding the port’s yard.

And there’s more: APM Terminals has integrated new equipment at the port to increase capacity and operational efficiency, including the uptake of 10 new STS cranes capable of handling 26-container-wide, ultra-large cargo ships. The firm has also added 12 hybrid rubber-tired gantry (RTG) cranes, two reach stackers, six empty container handlers, and 30 terminal trucks.

That’s not all: The project also included building a new access road to the port, a new electrical power substation, the deployment of 2k reefer plugs, and an electrical network upgrade.

Background: Hapag-Lloyd and Maersk entered into a new long-term operational collaboration — Gemini Cooperation — last year to establish a maritime network with schedule reliability above 90%. The network made its first call at Salalah Port earlier this week, with the new route effective 18 February.

FY 2024 earnings from SAL and Etihad Airways

Saudi Logistics Services (SAL) saw its net income surge nearly 30% y-o-y to SAR 661 mn (c. USD 176 mn) in FY 2024, according to a Tadawul disclosure and an earnings release (pdf). The firm’s topline rose 12% y-o-y to SAR 1.6 bn (c. USD 427 mn) during the same period.

Behind the growth: The Saudi firm attributes the rise in net income to topline growth, improvised cost-control measures, savings from major terminal lease agreements — which includes the signing of an air cargo lease and development agreement from Riyadh Airports Co last year — and earnings from short-term Murabaha deposits.

Revenue was up across the board: SAL’s cargo handling division saw a 20% y-o-y increase in revenues to SAR 1.36 bn. The rise was driven by an overall 20% volume increase in 2024, which was largely caused by high 1Q volumes and a 30% increase in courier volumes. The firm's logistics division earnings increased 15% y-o-y to SAR 271 mn, attributable to diversification efforts.

SAL’s been on a roll: SAL initiated recent expansions to its air cargo operations, putting some SAR 12 mn into an air cargo terminal at Madinah’s Prince Mohammad Bin Abdulaziz International Airport, as well as investing SAR 100 mn in King Fahd International Airport in Dammam to upgrade the facility up till 2033. It also inked an agreement back in August with the Royal Commission for Jubail and Yanbu to upgrade logistics operations in the Kingdom’s Jazan region.

ETIHAD AIRWAYS-

Etihad Airways’ net income after tax surged threefold to AED 1.7 bn in 2024, fueled by strong passenger and cargo growth, the ADQ-owned carrier said in a statement. Total revenue climbed 25% y-o-y to AED 25.3 bn, driven by a 25% rise in passenger revenue to AED 20.8 bn, supported by network expansion and higher capacity. Cargo revenue surged 24% y-o-y to AED 4.2 bn, supported by a 12% rise in cargo volumes and improved yields in the second half of the year.

Additions and expansions gave a boost: Etihad Airways added 12 aircraft to its fleet, including six A320 NEOs. The firm’s passenger revenues also rose 25% y-o-y to AED 20.8 bn on the back of network expansions with 20 new destinations added in 2024 as well as running 1.7k weekly flights.

What’s next for Etihad Airways? Etihad Airways is planning to invest USD 7 bn in the next four to five years to expand routes and upgrade the company’s fleet, CEO Antonoaldo Neves told CNBC back in December. He added that the company’s operations are expected to grow by 80-90% within two years.

Updates on aviation, trade, and digitalization from the UAE, Morocco and Egypt

DIGITALIZATION-

Egypt’s petroleum sector to get a new Cisco-built data center: Egypt’s General Petroleum Corporation (EGPC) has inked a cooperation agreement with US digital communications conglomerate Cisco to build a unified data center for the nation’s petroleum industry, according to a statement. The center aims to boost operational efficiency and cut costs for the sector through the integration of digital transformation and cloud computing tech. The hub will also expand data access and increase cyber security measures.

AVIATION-

UAE’s Sanad to uptake operations at Ammroc’s MRO facility in Al Ain: Sanad — Mubadala’s Abu Dhabi-based aerospace engineering and leasing subsidiary — has partnered with Emirati Military MRO provider Ammroc to expand its MRO operations in the UAE’s Al Ain, according to a statement (pdf). Sanad will gain access to Ammroc’s state-of-the-art 4.9k sqm MRO facility in Al Ain to support aviation firms in Abu Dhabi.

The goal: Sanad hopes that the MRO center — capable of processing 50 inductions per year — will boost its production capacity to 300 engines annually. Ammroc is also set to streamline Sanad’s MRO operations and unburden some 7k man-hours per year by offering cleaning, non-destructive testing, and inspection services.

TRADE-

Morocco + Mauritania partner up on trade crossing: The Moroccan government has completed 90% of a new road linking the towns of Smara, Tifariti, and Amgala with neighboring Mauritania, SNRT News reports. The project covers 3.4 sq km and comes as part of a larger plan to connect landlocked sub-saharan African nations to the Atlantic Ocean in a bid to bolster trade relations in the region.

Chinese lithium processing tech exports may take a pause amid country’s export control push

Several Chinese firms are pausing their tech trade amid export controls proposed by Beijing, Reuters reports. Chinese firm Jiangsu Jiwu Hi-Tech informed its clients earlier this month that it had stopped exporting its filtration equipment used in processing lithium for electric vehicle batteries — known as sorbent — and is currently negotiating with the government on the new restrictions alongside chemicals company Sunresin New Materials, sources told the newswire.

REMEMBER- China incorporated new laws in November that allow it to blacklist foreign firms, through an “unreliable entity list,” and impose its own sanctions. An expanded export control law allows Beijing to leverage its global dominance in supplying key resources, such as rare earths and lithium, which are essential for modern technologies, as a strategic tool.

US President Donald Trump is considering a new wave of tariffs that will see the country hit auto, semiconductors, and pharma imports with 25% duties, the Financial Times reports. While Trump did not announce a rolling out date for the tariffs, he said that more details would likely be out by 2 April, adding that he wants to provide time for companies to set up factories in the US to avoid tariffs.

25%...with the other 25%: Trump ordered a 25% tariff on all imports of steel and aluminum earlier this month, with the new measures set to take effect on 4 March. The tariffs will particularly impact key US metal suppliers in Canada, Mexico, Brazil, Japan, the EU, South Korea, Vietnam, and Taiwan.

Calendar

FEBRUARY

20-22 February (Thursday-Saturday): Dubai Freight Camp, Dubai, UAE.

24 February (Monday): AD Ports Group Capital Markets Day, Abu Dhabi, UAE.

MARCH

No events announced at the moment.

APRIL

2-4 April (Wednesday-Friday): Global Supply Chain and Logistics Summit, Amsterdam, The Netherlands.

3-4 April (Thursday-Friday): Africa Supply Chain Optimization, Johannesburg, South Africa

10 April (Thursday): Gulf Ship Finance Forum, Dubai, UAE.

14 April (Monday): CargoIS Forum, Dubai, UAE.

15-17 April (Tuesday-Thursday): Transport Middle East 2025, Aqaba, Jordan.

15-17 April (Tuesday-Thursday): IATA World Cargo Symposium, Dubai, UAE.

16-17 April: Global Ports Forum, Dubai, UAE.

28 April-2 May: 7th Export Capabilities Exhibition (Iran Expo), Tehran, Iran.

MAY

6-8 May (Tuesday-Thursday): Airport Show, Dubai, UAE.

12-15 May (Monday-Thursday): Saudi Smart Logistics, Riyadh, Saudi Arabia.

13-14 May (Tuesday-Wednesday): Global Ports Forum, Dubai, UAE.

20-22 May (Tuesday-Thursday): Seamless Middle East, Dubai, UAE.

27-29 May (Tuesday-Thursday): Saudi Warehousing & Logistics Expo, Riyadh, Saudi Arabia.

JUNE

1-3 June (Sunday-Tuesday): Annual General Meeting & World Air Transport Summit 2025, Delhi, India.

2-4 June (Monday-Wednesday): Propak MENA, Cairo, Egypt.

5-6 June (Thursday-Friday): Supply Chain & Logistics Innovation Summit, Amsterdam, Netherlands.

11-13 June (Wednesday-Friday): Sustainability World Summit, Frankfurt, Germany.

17-19 June (Tuesday-Thursday): Terminal Operations Conference & Exhibition, Rotterdam, Netherlands.

19 June (Thursday): East Med Maritime Conference, Athens, Greece.

25-26 June (Wednesday-Friday): Decarbonizing Shipping Forum, Hamburg, Germany.

JULY

1-3 July (Tuesday-Thursday): ASEAN Ports and Logistics, Jakarta, Indonesia.

SEPTEMBER

24-26 September (Wednesday-Friday): Routes World, Hong Kong.

OCTOBER

1-2 October (Wednesday-Thursday): Saudi Maritime & Logistics Congress, Dammam, Saudi Arabia.

14-15 October (Tuesday-Wednesday): Investing in Africa Conference and Expo, London, UK.

NOVEMBER

3-6 November (Monday-Thursday): ADIPEC Maritime and Logistics Exhibition and Conference, Abu Dhabi, UAE.

4-6 November (Tuesday-Thursday): Air Cargo Forum, Abu Dhabi, UAE.

17-21 November (Monday-Friday): Dubai Airshow, Dubai, UAE.

EVENTS WITH NO SET DATE

Mid-2025: Iraq will complete phase one of the construction of the Grand Faw Port.

DHL and Aramco’s logistics and procurement hub in Saudi Arabia will commence operations.

AD Ports-operated Safaga Port’s multi-purpose terminal will become operational.

Phase 3 of APM Terminals Tangier MedPort to be complete and operational.

1Q 2025: Sadr Park’s Logistics Center in Riyadh to be completed.

1Q 2025: Phase two of Jafza Logistics Park to be completed.

2026

2026 UNCTAD Global Supply Chains Forum, Saudi Arabia.

2027

4Q 2027: Oman’s Musandam Airport construction to be completed.

Sections

About

Privacy & Support

Get EnterpriseAM daily