The Public Authority for Special Economic Zones and Free Zones (OPAZ) signed agreements on May 21, 2026 for the implementation of Packages III and IV of the Economic Zone at Al Dhahirah Governorate (EZAD) with a consortium of Omani and Saudi companies at a total cost of RO 73.9 million.
The agreements were signed on behalf of OPAZ by Qais bin Mohammed Al Yousef, Chairman of the Public Authority for Special Economic Zones and Free Zones, while the agreements were signed on behalf of the executing companies by their chairpersons and chief executive officers.
The Economic Zone at Al Dhahirah Governorate is located near the Oman-Saudi border and is being developed through cooperation between the Omani and Saudi sides. Package III is valued at RO 48.058 million and includes the development of the core infrastructure for the dry port, veterinary quarantine facility and associated utilities and facilities. The package will be implemented by a consortium comprising Omani and Saudi companies, including Idex International Engineering and Contracting, Idex Saudi Arabia, Idex Egypt and Al Sarin International Contracting.
Package IV is valued at RO 25.9 million and includes the development of the administrative and commercial buildings complex and associated facilities.
The package will be implemented by a consortium comprising Oman Shapoorji and Shapoorji Pallonji Saudi Arabia.
Qais Al Yousef affirmed that the Economic Zone at Al Dhahirah Governorate is one of the key projects aimed at strengthening economic partnership between the Sultanate of Oman and the Kingdom of Saudi Arabia. He noted that the zone’s location near the Empty Quarter border crossing gives it a strong competitive advantage, positioning it as a vital trade gateway and a key meeting point for the flow of goods and services between the two brotherly countries.
In a statement, Al Yousef said the EZAD was established to encourage bilateral trade and private sector partnership projects between the two countries, facilitate supply chain movement, and reduce logistics costs for investors. He stressed that the zone opens broad opportunities for both Omani and Saudi exports to access regional and global markets more efficiently.
The Package III agreement stipulates the development of the Phase I of the dry port over an area of one square kilometre, while the total area of the dry port will span 4 square kilometres. The package also includes the establishment of a veterinary quarantine facility.
The agreement further covers the construction of internal roads, a container yard, customs gate, inspection platforms, customs clearance areas, electrical substations, a maintenance workshop, laboratories, a water tank, fire-fighting systems, and the provision of X-ray and scanning equipment. In addition, the project includes the construction of the administration building, mosque, offices, rest areas, staff accommodation, security fencing, surveillance cameras and several other supporting facilities.
The Package IV agreement provides for the development of the administrative and commercial buildings complex within the zone. The project includes the construction of the central plaza, business centre, administrative building, commercial centre, hotel and health centre, in addition to internal roads.
Shaikh Mohammed bin Abdullah Al Busaidi, Wali of Ibri, said the agreements for Packages III and IV of the development of the Economic Zone in Al Dhahirah Governorate represent an important strategic step towards strengthening comprehensive economic development in the governorate and reinforcing its position as a promising economic hub and a strategically significant border gateway.
The Economic Zone in Al Dhahirah Governorate is located 20 kilometres from the Empty Quarter border crossing between the Sultanate of Oman and the Kingdom of Saudi Arabia and spans an area of 388 square kilometres.
In a statement, Al Yousef said the EZAD was established to encourage bilateral trade and private sector partnership projects between the two countries, facilitate supply chain movement, and reduce logistics costs for investors. He stressed that the zone opens broad opportunities for both Omani and Saudi exports to access regional and global markets more efficiently.
The Package III agreement stipulates the development of the Phase I of the dry port over an area of one square kilometre, while the total area of the dry port will span 4 square kilometres. The package also includes the establishment of a veterinary quarantine facility.
The agreement further covers the construction of internal roads, a container yard, customs gate, inspection platforms, customs clearance areas, electrical substations, a maintenance workshop, laboratories, a water tank, fire-fighting systems, and the provision of X-ray and scanning equipment. In addition, the project includes the construction of the administration building, mosque, offices, rest areas, staff accommodation, security fencing, surveillance cameras and several other supporting facilities.
The Package IV agreement provides for the development of the administrative and commercial buildings complex within the zone. The project includes the construction of the central plaza, business centre, administrative building, commercial centre, hotel and health centre, in addition to internal roads.
Shaikh Mohammed bin Abdullah Al Busaidi, Wali of Ibri, said the agreements for Packages III and IV of the development of the Economic Zone in Al Dhahirah Governorate represent an important strategic step towards strengthening comprehensive economic development in the governorate and reinforcing its position as a promising economic hub and a strategically significant border gateway.
The Economic Zone in Al Dhahirah Governorate is located 20 kilometres from the Empty Quarter border crossing between the Sultanate of Oman and the Kingdom of Saudi Arabia and spans an area of 388 square kilometres.