OQ, a globally integrated energy company with roots in Oman and operations in 17 countries globally, has recorded a consolidated revenue of US$22.768bn by the end of 2021 when compared with US$14.006bn in 2020, as posted in the third sustainability report for 2021.
This is a 63 per cent increase in consolidated revenues in the one year period. Earnings before interest, taxes, depreciation, and amortization (EBITDA) stood at US$3.699bn, marking an increase of 154 per cent as compared to 2020. The net profit amounted to US$1.818bn.
The report highlights the Group’s achievements in various fields, as well as its economic progress, in-country value (ICV), social investment, health, safety and environment, digital transformation, and human resources.
Issued as part of OQ’s efforts to achieve sustainability goals, the report was developed in accordance with the guidelines issued by the Global Reporting Initiative, which promotes integrity, transparency, and business governance standards.
As per the comprehensive report, there was an increase in spending on goods and purchases from local markets by 30 per cent, amounting to US$931mn in 2021, compared to 2020.
The increase in spending comes as part of the efforts made to enhance in-country value (ICV), which is one of the areas of focus for OQ. It also highlights OQ’s belief in the importance of increasing the procurement of goods and services from the local markets. OQ makes it mandatory for contractors and suppliers to help national companies become globally competitive and enhance their ability to innovate and grow.
Supporting small and medium enterprises (SMEs) and fostering entrepreneurship is one of the key Omani government priorities. As part of the Group’s ICV program, OQ supports and encourages the growth and progress of SMEs. In 2021, OQ awarded 147 tenders worth US$165mn to SMEs, which is up by 54 per cent when compared to 2020.
As a part of OQ’s social responsibility and its commitment to serve the local communities in which it operates, the Group allocated US$10.5mn for social investment programs. The emergency support for those affected by the climatic conditions arising from Cyclone Shaheen amounted to US$5.10mn. More than 730 volunteers participated in relief efforts for the affected families, thereby completing 8,796 voluntary hours which benefited 11,260 people.
Within its efforts to preserve the environment and natural resources, as well as promote business sustainability, OQ has adopted the decarbonisation policy and has given it the necessary priority. Work is also currently underway on four major projects in green hydrogen. OQ has furthermore implemented a number of initiatives to manage water consumption and produce 30MW of renewable energy in 2021.
As for digital transformation and cybersecurity, OQ has introduced a Cybersecurity Management System. The Group has since carried out 11 cybersecurity risk assessments on cloud hosting service providers and implemented advanced models of artificial intelligence (AI).
OQ continues its efforts to provide employment opportunities to the national workforce. The number of male and female employees in the Group companies in the Sultanate of Oman stood at 4,700, of which 82 per cent are Omanis. It must be noted that 65 per cent of the workforce are also under 30 years old.
On the social front, in 2021, OQ sponsored the education of 22 male and female students in international universities and colleges under the Takatuf Scholarship Program. The Group has nine training programs to develop and rehabilitate national human resources.
The training programs are in line with the government’s efforts to provide Omanis with training, job, and career development opportunities.
As a global energy company, OQ has established a presence in 17 countries across five continents, exporting its products to more than 70 countries. The Group seeks to further strengthen its position globally by meeting the voluntary reporting and disclosure of its business activities.
