A feasibility study is under way on a major beachfront development project in Oman.

Earlier this year, the Oman government awarded a mandate to market the project - dubbed Marsa City - to an international consortium comprising Lebanese real estate consultants Ramco, US firm CB Richard Ellis (CBRE) and its British subsidiary CB Hillier Parker, a report says.

The project, valued at $143 million, will involve sea reclamation and marine works designed to turn the stretch of Muscat beach into a 3 million sq m resort with lagoons and man-made islands, golf course, a shopping mall, hotels, apartments and a business district.

The feasibility study, which will also determine the actual components of the project, is expected to be completed by the end of November and will be presented to the government for approval, according to CBRE Middle East.

Oman recently allowed 75-year leases on public land for tourism projects.