EXTRANCHECK: PRELICENSE CHECK, AJWAA GASES

UNCLAS MUSCAT 001109 SIPDIS SENSITIVE SIPDIS COMMERCE FOR OEA NCURTIS AND ADYSON STATE FOR NEA/ARP E.O. 12958: N/A TAGS: BEXP ETRD ETTC MU SUBJECT: EXTRANCHECK: PRELICENSE CHECK, AJWAA GASES COMPANY, LLC REF: USDOC 9587 ¶1. (SBU) On December 4, Econoff conducted a pre-license check on reftel company at its office located in an apartment in the al-Ghubra district of Muscat. Econoff met with company representative Saif al-Balushi, who is in charge of administration affairs. Balushi provided the company's registration document, issued by the Ministry of Commerce and Industry, which showed that it was established in July 2007 as a 100% foreign joint venture between Air Products Holding Company of the Netherlands and Abdullah Hashin Equipment and Gases Company of Saudi Arabia. Ajwaa Gases Company's registration indicates that it is permitted to engage in industrial gases activities. ¶2. (SBU) The company is planning to construct a gas plant that produces oxygen and nitrogen for the furnace of a steel plant owned by UAE-based Shadeed in the port city of Sohar (located two hours north of Muscat). Balushi stated that the company has two employees based in Oman, with project managers and engineers traveling between the construction site and Saudi Arabia. All decisions for the company, according to Balushi, are made in Saudi Arabia. Construction of the plant has not yet begun, as Balushi mentioned that the company was considering tenders from project management firms based in Oman. The target completion date for the facility is the end of 2008. Econoff also confirmed with Sohar Industrial Port Corporation (SIPC) Executive Commercial Manager Jaap van Dalen that Ajwaa Gases Company is involved in the Shadeed Steel project located within the port industrial complex. (Note: SIPC is the landlord for the industrial projects at the port of Sohar. End Note.) ¶3. (SBU) Econoff inquired about the proposed purchase of the butterfly valves described in reftel. Balushi provided documentation from Air Products' office that documented the purchase of two butterfly valves from Metso Automation, as well as paperwork showing the company's intent to ship these valves to Shuangxi Equipment Manufacturing of China for the fabrication of the skids for the valves. GRAPPO