Dubai power renter RSS signs Oman JV
13 July 2009
RSS already rents equipment throughout the Middle East from its United Arab Emirates base, but the agreement with MI will give it better access to the growing Oman market.
Mr Milan Balac, RSS managing director, said Oman's economic growth and future expansion plans made it a very promising market; "This opportunity has prompted RSS to form an agreement with MI. We believe there are significant synergies between RSS and MI which will ultimately benefit the Omani market.
"RSS will provide the latest technical expertise in rental power & temporary cooling while MI's in-depth local knowledge of the market will ensure swift market penetration and sustainable growth in the sultanate", he said. RSS reports that Oman plans to reduce its reliance on the oil sector from the current 41.5% of GDP to 9% by 2020.
The contract agreement was signed by Mr Balac and Mr Yasser Al-Barami, chief executive officer of Mubadarah Investments.
Mr Al-Barami said; "MI has a wide local network which will benefit this partnership in terms of operations, marketing and logistics. We have a deep and thorough understanding of the local market in the areas of industrial, oil & gas, construction, manufacturing, hospitality, telecommunication and utilities...We are excited to be able to provide a high quality standard of rental power and temporary cooling to all industries in the sultanate of Oman."
MI has a US$800 million backlog of service contracts through its operating companies in the energy, construction, telecoms and tourism projects.
The agreement in the Oman is part of a wider growth strategy by RSS. Colin Cavé, general manager of RSS Northern Gulf says that RSS's existing territories in Saudi Arabia, Bahrain, UAE and Qatar are growing rapidly; "simultaneously, RSS is also expanding its geographic locations to other countries such as Kuwait, Pakistan, Yemen and India."
