Two mining concession agreements signed
The Ministry of Energy and Minerals signed two mining concession agreements for the exploration and mining of copper ore and other minerals, as well as the extraction of sea salt.
The first agreement was signed with Al Hadeetha Resources Company to obtain the right to explore and mine in concession area No. (22-B). The agreement was signed by Engineer Salim Al Aufi, Minister of Energy and Minerals, and Mr Khalid bin Hamad Al Busaidi, Chairman of the Board of Directors of Al Hadeetha Resources Company.
The concession area is located in North Al Sharqiyah Governorate and spans 1,448 square kilometres. Al Hadeetha Resources Company is the first Omani company with an international joint partnership to obtain a copper mining licence in the Sultanate of Oman at the Washihi-Mazzaza site in the Wilayat of Mudhaibi, North Al Sharqiyah Governorate.
More than 16 million tonnes of copper have been explored at the project site, with mineable reserves exceeding 10 million tonnes.
The second agreement was signed with Al Baraka Petrochemical Salts Company for concession area No. (62-A). It was signed by Engineer Salim Al Aufi, Minister of Energy and Minerals, and by Dr Abdulredha Mohammed Harmati, CEO of Al Baraka Petrochemical Salts Company.
This concession area is located in Al Wusta Governorate and covers 46 square kilometres. The project aims to extract salt from the Al Lakbi area through seawater evaporation, with an annual production capacity of approximately 4 million tonnes of salt and an estimated investment of USD 29 million.
The agreement also envisions the establishment of several industrial projects, including plants for washing and refining salt (both industrial and edible), and magnesium, sodium sulphate, bromine and lithium compound production plants.
Engineer Salem Al Aufi, stated that the two agreements represent significant steps towards maximising the use of local resources and enhancing social responsibility by creating economic opportunities and positively impacting citizens' lives. These efforts align with sustainable development goals and support the national economy.
He said the mining sector is one of the key pillars of economic diversification in the Sultanate of Oman. He noted that 21 concession agreements for exploration and mining, as well as two areas for sea salt production, have been signed in recent years, with total investment commitments of USD 86 million.
Khalid bin Hamad Al Busaidi, Chairman of the Board of Directors of Al Hadeetha Resources Company, commended the Omani government's support for mining and minerals, as part of Oman Vision 2040. He highlighted the goal of attracting foreign capital, noting that the agreement includes a partnership between two Omani companies and two foreign companies.
Dr Abdullah bin Mubarak Al Hamedani, Chairman of Al Baraka Petrochemical Salts Company, noted that the sea salt extraction project is one of the largest in the Middle East.