One mile of Ocean Front, One Incredible Real Estate Development

Multi-Billion Dollar Agreement Signed With Oman

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Omagine Profile

Company Completes Land Rights Registration Procedures;

Average Value is $718,614,000

 

  • Multi-Billion Dollar Development Agreement with the Government of the Sultanate of Oman
  • Omagine Owns 60%; Royal Court Affairs 25%; Consolidated Contractors Owns 15%
  • Developed on 245 acres of beachfront land on Gulf of Oman
  • Estimated cost approximately $2.5 Billion
  • Market Cap ~ $50 Million

Omagine, Inc. (“OMAG”), through its 60% owned subsidiary Omagine LLC, plans to develop a $2.5 billion real-estate, tourism and entertainment project (the "Omagine Project") in the Sultanate of Oman. Omagine LLC was formed in Oman by OMAG as a wholly owned subsidiary and OMAG subsequently arranged for Omagine LLC to sell a 40% equity ownership interest in Omagine LLC to two partners for $70 million. The 2 partners are (i) Royal Court Affairs, and (ii) a $5 billion multi-national corporation.

The Omagine Project is planned to be developed on one million square meters (equal to approximately 245 acres) of beachfront land facing the Gulf of Oman (the "Omagine Site") just west of the capital city of Muscat and approximately six miles from Muscat International Airport. It is planned to be an integration of cultural, heritage, educational, entertainment and residential components, including: a "high culture" theme park containing seven pearl shaped buildings, each approximately 60 feet in diameter, associated exhibition buildings, a boardwalk, an open air amphitheatre and stage; open space green areas; a canal and an enclosed harbor and marina area; associated retail shops and restaurants, entertainment venues, boat slips, and docking facilities; a five-star resort hotel, a four-star resort hotel and possibly a three or four-star hotel; commercial office buildings; shopping and retail establishments integrated with the hotels, and approximately two thousand residences to be developed for sale. OMAG owns all the copyrights and intellectual property associated with the Omagine brand.

Land Rights Registration

To establish the value of its Usufruct Rights for the Omagine Site and properly record such value in its financial statements, Omagine contracted with three separate real-estate valuation firms, each of which is well known in Oman and Dubai and all of which have recognizable worldwide brands in the real-estate valuation business. These firms were tasked to provide Omagine with the value of its Usufruct Rights. All three valuations were conducted in accordance with the professional standards specified by the Royal Institution of Chartered Surveyors (“RICS”) and International Financial Reporting Standards (“IFRS”).

 
     
     
     
     
     

Usufruct Rights Valuations

     

Valuation Firm

Omani Rials

U.S. Dollars *

Savills

OMR 295,000,000

$766,233,000

DTZ

OMR 385,000,000

$999,999,000

JLL

OMR 150,000,000

$389,610,000

Average

OMR 276,666,667

$718,614,000

             

* (based on July 7, 2015 XE Currency Converter exchange rate)

 

Development Agreement

Company recently announced that its 60% owned subsidiary, Omagine LLC has signed a Development Agreement (“DA”) with the Government of the Sultanate of Oman (“Oman”).

Omagine, Inc. (the “Company”) organized Omagine LLC under the laws of Oman to design, develop, own and operate a tourism and real-estate development project in Oman named the Omagine Project. The Omagine Project is estimated to cost approximately $2.5 billion to design, develop and construct.

The Omagine Project is planned to be an integration of cultural, entertainment and residential components, including: hotels, commercial buildings, retail establishments and more than two thousand residences to be developed for sale. It will be developed on one million square meters (245 acres) of beachfront land (the "Omagine Site") facing the Gulf of Oman just west of the capital city of Muscat and approximately six miles from Muscat International Airport.

Omagine LLC owns the Omagine Project which, over the next several years, is projected to generate exceptional cash flow to the Company and the other Omagine LLC shareholders. The Company owns 60% of Omagine LLC.

The other Omagine LLC shareholders are:

i.

the office of Royal Court Affairs (“RCA”), which owns 25%, and

ii.

two subsidiaries of Consolidated Contractors International Company, SAL (“CCIC”), which collectively own 15%.

About the office of Royal Court Affairs.

For more information on the office of Royal Court Affairs (“RCA”) an Omani organization, see www.rca.gov.om.

About Consolidated Contractors.

Consolidated Contractors International Company, SAL (“CCIC”) is a multi-national company headquartered in Athens, Greece. CCIC’s annual revenue exceeds 5 billion dollars has 130,000 employees worldwide and has operating subsidiaries in, among other places, every country in the Middle East and North Africa.

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Last changed at 08-May-2017 02:25PM by AGORACOM