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$30m contract for Oman’s biggest copper concentrate project


Representatives of MDO and Metso after signing the agreement in Riyadh on Thursday
Representatives of MDO and Metso after signing the agreement in Riyadh on Thursday
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BUSINESS REPORTER


MUSCAT, JAN 16


Minerals Development Oman (MDO), the nation’s leading mining investment firm, has announced the signing of a contract with Finnish industrial machinery firm Metso for the supply of a state-of-the-art copper concentrate plant valued at $30 million for its Mazoon Copper Project currently under development in the Wilayat of Yanqul.


The contract was inked against the backdrop of the Future Minerals Forum, currently underway in the Saudi capital, Riyadh.


“This strategic partnership includes the delivery of cutting-edge equipment and advanced technological solutions to support copper concentrate production, marking a major milestone in the development of the Mazoon Copper project in the Wilayat of Yanqul,” said MDO — part of Oman Investment Authority (OIA) — in a post on Thursday.


The announcement builds on last November’s official groundbreaking on the Mazoon Copper Project, the largest integrated copper concentrate production venture in Oman.


Covering an area of 20 sq km in Al Dhahirah Governorate, the project consists of five open-pit mines with an estimated 22.9 mn tonnes of copper ore reserves. It also includes the construction of a state-of-the-art processing plant spanning 56,000 sqm, with the capacity to process 2.5 mn tonnes of copper ore annually. The project is expected to produce 115,000 tonnes of copper concentrate per year, with a copper grade of 21.5 per cent.


Significantly, the Mazoon Copper Project, promoted by MDO subsidiary Mazoon Mining Company, is expected to play a key role in meeting the growing global demand for copper, while positioning Oman as a strategic hub for high-quality copper concentrate production.


Following extensive exploration activities targeting the project site, Mazoon Mining signed a concession agreement in 2022 for Concession Area 12-A1. To ensure the successful delivery of the project, the Canadian firm Lycopodium was appointed to provide engineering, procurement and construction management services.


Copper concentrate production is set to commence in the first quarter of 2027, tracking a strategic timeline that will be crucial in ramping up copper production to meet both local and international market demands.


The Mazoon Copper Project also marks a significant milestone for MDO, adding invaluable assets to its portfolio. The company began copper ore extraction from Block 4 in the Wilayat of Suhar in 2024 and has continued its exploration efforts across its 23,644 sq km concession area.


Underscoring the significance of the project for Oman’s national economy, Chairman of Oman Investment Authority (OIA) Abdulsalam bin Mohammed al Murshidi had, in a statement at the time of the groundbreaking, commented: “This project represents a transformative step in positioning Oman as a strategic copper hub, contributing to the diversification of our national economy and creating sustainable job opportunities for Omanis. We are confident that this project will have a significant positive impact on the local community, supporting SMEs and driving economic development.”


In addition to the Mazoon Copper Project, MDO continues to advance its exploration campaigns across a diverse range of strategic minerals, including copper, chrome, gypsum, limestone, dolomite and silica. The company has also initiated the redevelopment of copper mines in the Wilayats of Suhar and Liwa, aiming to produce 800,000 tonnes of copper ore annually, with confirmed reserves of 2.78 mn tonnes of copper ore.


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