Dhofar Bank’s CEO Babicci Resigns

In an announcement released on Sunday by the Bank Dhofar in Oman, Kris Babicci, the bank’s Chief Executive resigned and will be leaving his post as of April 24. In the meantime Mohd Redha Jawad has been named as the acting CEO for the bank.

No reason was given for the departure of Babicci, whose resignation was accepted by Dhofar Bank’s board of directors at a meeting of the board on April 13. The resignation was announced in a statement which was issued from the bank to the Muscat bourse.

Bank Dhofar posted fourth quarter earnings of 7.9 million rials in January, representing more than a doubling in earnings since the previous quarter.

Oman Begins Campaign to Save Electricity

Electricity in Rural Oman

For the second time in two years Oman’s Rural Electricity Company will be kicking off a campaign designed to end wasteful use of electricity in rural sections of the country. Last year’s efforts led to a 9.4% reduction in rural electricity use, according to the Oman Daily Observer.

Promoting Smart Electricity Use in Rural Communities

The campaign to save is being dubbed “Rationalize Electricity…and Save Money for Your Kids.” The goal is to promote a rational approach to using electricity, as well as promoting the safe use of it by people in rural areas of Oman.

Meeting the People

Official representatives of the Rural Electricity Company will meet with residents of these areas, including in Musandam, Dhofar and Al Wusta and discuss with them how electricity is produced, how much it costs to produce including the subsidies which the government provides to offset the high cost of supplying electricity to rural areas, and finally the benefits to electricity users in rural areas as well as the rest of the country of conservative, rational use.

Official Statement

An official from the Rural Electricity Company, Hamad bin Salim al Magdheri said about the campaign that, “The campaign will include the rationalization in the use of electricity and safety from the risks, by focusing on adaption and how to maintain equipment.

“We’re delighted with the success of the first campaign, especially as they came in order to spread awareness of the need for rationalization in the consumption of electricity.”

Protests for Better Wages Continue in Oman

Demonstrating for higher wages, private security guards blocked the main airport in the Gulf State of Oman on Wednesday.

Concessions Granted

Despite the fact that Oman’s ruler, Sultan Qaboos bin Said, has granted several concessions since the unrest began there several weeks ago, the unrest has continued apparently unabated. The Sultan, who has been in power for 40 years, as already decided to give some legislative powers to the Oman Council, to double monthly welfare payments, and to raise pension payments. This follows the pattern of other Gulf States who are offering cash to protesters in an effort to quell the unrest and maintain order.

In the latest action by demonstrators, about 400 to 500 security guards, who are privately employed by several different security companies, staged a protest on the road to the Muscat airport.

One protester, who wished to remain unnamed, said that, “Our objective of this protest is for our wages to be raised.”

The protesters left the scene when the police asked them to disperse. No violence was reported, although some travelers did not make their flights in time.

Other Protests in Oman

Workers from the state run oil firm Petroleum Development Oman (PDO) also demonstrated on Tuesday for better wages. Several hundred employees staged their protest at the company headquarters and in the oil and gas fields. This work stoppage was the first to disrupt a Gulf energy firm since the demonstrations swept through the region.

There have been protests at Oman International Bank, Oman Investment Finance Company and the Intercontinental Hotel, which is owned by the government.

There have also been demonstrations for improved political conditions, including sit-ins at the consultative Shura Council in Muscat, in front of the governor’s office in Salalah in the south and also in Sohar. Along with improved wages, and an increase in the number of jobs, protesters also demand an elected parliament and a new constitution.

Hyundai Wins Contract from Abu Dhabi Company Worth $169 Million

The Abu Dhabi-based provider of creative plastics solutions, Borouge, has finalized a deal with Hyundai Engineering and Construction of South Korea, for them to construct a plant for the manufacture of XLPE (cross-linkable polyethylene) adjacent to its existing petrochemical plant located in Ruwais, Abu Dhabi.

The deal is worth $169 million and is expected to produce 80,000 tonnes of XLPE per year as an added-value complement to the already existing LDPE (low density polyethylene) unit in Ruwais. Together the plants will allow Borouge to produce innovative plastics for low to high voltage cables.

This contract represents the final stage in a multi-stage process which is already well underway. The planned mega-expansion will allow Borouge to grow in such a way that by mid-2014, when the new plant is expected to become fully operational, Borouge will produce more than double their present yearly capacity, reaching 4.5 million tonnes. At this stage Borouge will be the world’s largest producer of integrated polyolefin. The goal is for Borouge to join Borealis to become the leading long-term dependable supplier of polymers for the international cable and wire infrastructure market.

Omran Regional Finance News: Kuwaiti Stock Exchange Moves Lower

Omran News reports that the Kuwait Stock Exchange (KSE) declined 9.43 points to end the trading day to settle at 7.6664 points. The volume of shares traded was 9.98 million shares valued at about 6.15 million Kuwaiti dinars, for 2307 cash transactions. The index of the sector and one out of eight as the industrial sector recorded a rise of 1.24 points, while the services sector was the biggest losers among the sectors with 107 points, followed by the investment sector down 2.79 points, and the food sector a decline of 51 points.

Shares in Al Dar National Real Estate (Canada) the highest level among the gainers, up by 2.10 percent share, followed by Arkan Al-Kuwait Real Estate was up 2.6 percent, and United Industries Company shares was up 6.5 percent. The Company share Privatization Holding the biggest decline among the losers by about 6.8 percent share, followed by Kuwait Investment Company by an average of 4.8 percent and shares of Gulf Investment House, down about 3.8 percent.
Shares in the elite Group Company Holding the highest level of trading among the companies the amount of shares amounted to about 3.11 million shares.

The elite group of Holding and Gulf Finance House acquired five companies, International Financial Advisors (IFA), and United Industries and Agility to 8.32 percent of the total volume of shares traded for a total of about 5.32 million shares.