Octal, a global pet packaging company, has secured a US$296mn senior term loan from a group of six Middle Eastern banks for the second phase of its expansion this year.

The Oman-based manufacturer opened a 400,000 m/t PET resins and sheet packaging facility in the southeast port city of Salalah in early 2009. The second phase of the complex, which will be commissioned from June 2012, will add an additional 527,000 m/t of production.

The company is aiming to achieve US$1.5bn in annual sales by 2012. The six banks which took part in the new round of funding are Bank Muscat, Bank Dhofar, National Bank of Oman, Bank Sohar, Ahli Bank and Qatar National Bank.

Existing shareholders Muscat Overseas and Oman & Emirates Investment Holding Company have also agreed a junior debt facility of US$15mn.

Standard & Poors Ratings Services placed its A/A-1 long-term and short-term local and foreign currency ratings on the Sultanate of Oman (Oman) on CreditWatch with negative implications.

Aramex, UAEs courier firm, expects fourth-quarter profit growth to be in line with the rest of 2010 but the company does anticipate a tough 2011 as inflation starts to bite.

Emirates Steel increased its finished products production by 17.5 per cent in 2010 over the previous year.