Khazaen Economic City announced the signing of an agreement with Galfar Engineering & Contracting Company to establish the company’s new hub that will host the relocation of Galfar’s base workshop, labour accommodation and associated facilities along with other identified functions over an area of 150,000 sq m.
As one of Khazaen’s major tenants, Galfar will build its base workshop, offices and supply chain management laydown yards for machinery. Galfar will also be constructing labour accommodation at the new facility at Khazaen, according to a press statement.
Galfar’s planned complex at Khazaen Economic City will also have ancillary units including a body shop, paint shop, auto store, electrical/battery shop, tire fitment shop, machine shop, carpentry shop, aluminium shop, scaffolding shop, and a portacabin fabrication facility.
Khalid Awadh al Balushi, CEO of Khazaen Economic City said, “We have a designated district within Khazaen that is catered to meet the contractors’ and similar businesses’ requirements. Indeed, we are very much excited to have a leading contractor like Galfar as the first to move and establish its new hub in Khazaen.”
Balushi noted that Galfar and other contractors are currently located in Ghala and other areas in the heart of Muscat, which puts some constraints on their potential expansion plans and has also a negative impact on traffic within Muscat. “At Khazaen, we always strive to provide solutions to our end customers and this new district provides an excellent alternative to have all the supply chain and other operations for contractors and other similar businesses under one roof,” he added.
Highlighting reasons for choosing Khazaen as the location of the company’s new central workshop and logistic hub, Hans Erlings, CEO of Galfar said, “Khazaen is strategically located in Barka at the centre of Oman’s newest road network – providing rapid connectivity across the sultanate. This will enable Galfar to reach our sites and projects across Oman quickly and avoid the traffic congestion in Muscat.”
“As contractors, we need labour and staff to be located near work facilities. Galfar will also save on time and cost by having their labour accommodation building within the Khazaen Economic City,” Erlings added.
Earlier this year, Khazaen Economic City signed four usufruct agreements with different investors to establish their business in the city. With signing of Galfar as the first major contractor expanding its business outside the centre of Muscat, it is expected that more companies with similar nature of business would see Khazaen as a natural expansion of its operation with the advantages of having its full supply chain and operation under one roof, Khazaen said in its statement.