MUSCAT: SOHAR Port and Freezone has signed a landmark $220 million financing agreement with Oman Arab Bank, together with another leading Omani bank, to accelerate sustainable infrastructure development in the southern area of the Port. The agreement was formalised during the CEO Summit hosted by Oman Arab Bank, under the auspices of Eng Salim bin Nasser al Aufi, Minister of Energy and Minerals.
The financing will support major strategic projects, including the Marsa LNG development and Phase 2 of the Freezone’s expansion. The investment marks a pivotal step in strengthening SOHAR Port and Freezone’s integrated logistics and industrial ecosystem, enhancing its competitiveness as a gateway for global trade and reinforcing its contribution to Oman’s sustainable economic growth.
Oman Arab Bank is serving as the Facility Agent, Security Agent and Principal Financier for the transaction, leveraging its expertise to align the financing structure with national priorities under Oman Vision 2040. The partnership also underscores a shared commitment to ESG-focused financing, expanding the use of green financial solutions to develop low-carbon infrastructure.
A centrepiece of the expansion is the Marsa LNG project, a joint venture between TotalEnergies and OQ. Set to become the region’s first large-scale LNG bunkering and export hub, the project spans 44.5 hectares and will deliver around one million tonnes of LNG annually. It will be fully powered by a dedicated 300 MW solar facility, ensuring zero-carbon operations and supporting Oman’s transition to clean energy.
Ahmed al Hosni, Vice President of Finance at SOHAR Port and Freezone, described the agreement as a major catalyst for national development. “This partnership is a game-changing step for SOHAR Port and Freezone, amplifying the national drive for sustainable expansion and directly advancing Oman’s economic vision. It enhances our capacity to fast-track essential infrastructure, attract high-value FDI and generate broader opportunities across the national ecosystem”.
Sulaiman al Harthy, CEO of Oman Arab Bank, highlighted the bank’s commitment to enabling transformative projects. “We are proud to support this landmark transaction that advances Oman’s strategic vision for sustainable growth and economic diversification. Leading this financing facility reaffirms our dedication to ESG-aligned development and the creation of long-term national value. This initiative will also stimulate the job market and open new employment pathways for Omani talent”, he said.
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