Two Chinese power companies are set to study the environmental impact of a proposed coal-fired power project in Oman’s Duqm free zone in a bid to obtain environment clearance from the Sultanate, a report said.

State-owned Hebei Electric Power Design and Research and Ningxia Electric Power Design Institute are subsidiaries of the Power Construction Corporation of China, added the Times of Oman report.

After getting the clearances, the company plans to start work on the power project within six months, Lee Chee Khian, chief executive officer of Special Economic Zone Authority, Duqm, told the newspaper.

The power firms last week signed a land lease agreement with Oman Wanfang, which is managing 1,172 hectares of land for developing a major China-Oman industrial zone in Duqm.

The capital expenditure of the 300-MW project, which will have two power trains each with 150 megawatt capacity, is estimated at $406 million, added Khian.

He said that the power would be supplied to the industries coming up within the China Oman Industrial Zone in Duqm.

Khian said that the finance for the project will be arranged by Hebei Electric Power Design and Research and Ningxia Electric Power Design Institute – which are specialised in design and construction of power plants.