MUSCAT: Oman's mineral sector has seen significant advancements in exploration, drilling, project development, and investment opportunities. The country is striving to harness its mineral resources to meet market demands and bolster its industrial capacity, marking considerable progress in several key areas.
Playing a key role in harnessing the potential of this industry is Minerals Development Oman (MDO), the mining sector investment arm of Oman Investment Authority (OIA). An overview of MDO’s key achievements of 2023 was featured in the newly published 2023 Annual Report of OIA issued here earlier this week.
One of the standout achievements of MDO is the 80% completion rate of the aerial geophysical survey programme. This initiative is designed to establish a robust base of mineral resources to satisfy market needs. The programme has already yielded substantial discoveries, including 48.7 million tonnes of copper ore. In addition to these findings, the copper project in the Wilayat of Yanqul has been incorporated into the broader project agenda, boasting a total reserve of 8.7 million tonnes of copper ore.
The exploration efforts have not been limited to copper. New discoveries of chromite ore amounting to 163 thousand tonnes have been reported. Furthermore, reserves of 99 million tonnes of solid silica and 4.1 million tonnes of industrial clay kaolin have been identified, reflecting a diversified mineral wealth that holds promise for various industrial applications.
MDO’s commitment to advancing its mineral sector is further evidenced by significant project developments. The final investment decision for the copper project in Yanqul has been made, with the tender for engineering, procurement, construction, and management expected to be signed soon. This decision marks a pivotal step in realizing the project’s potential and bringing substantial economic benefits to the region.
In parallel, MDO has commenced efforts to redevelop the Al-Aseel and Al-Baidha mines, estimated to contain around 2.8 million tonnes of copper reserves. Additionally, construction has begun on the titanium dioxide plant in the Sohar Free Zone, a project that signifies a move towards diversifying the industrial base and enhancing the value-added processing of minerals.
MDO is actively seeking strategic partnerships to further its mineral sector ambitions. Notably, there are plans to conduct feasibility studies for a manganese production project in the Wilayat of Sur. This project aims to exploit the region's manganese resources and create new economic opportunities.
Moreover, detailed studies for the Shuwaymiyah Industrial Minerals Project are nearing completion. This project envisions the establishment of a new export port and an industrial zone, which will include supporting mines and services. Such infrastructure developments are crucial for facilitating efficient mineral export and stimulating industrial growth.
A notable investment opportunity has emerged with the signing of an agreement with a local company to establish an annual production of approximately 1.5 million tonnes of gypsum ore in the Wilayat of Thamrait.
Oman's mineral sector is also making strides in promoting local employment. The Omanization rate in the sector stands at 74%, reflecting a strong commitment to integrating Omani nationals into the workforce. This policy not only supports local employment but also ensures that the benefits of mineral resource development are widely shared within the community.
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