Oman targets 400,000 t/y chromite output by 2030

MUSCAT, MARCH 29

Minerals Development Oman (MDO) has unveiled plans to ramp up exploration and production of chromite ore to support not only export-led growth but also downstream value addition.

MDO says its chromite strategy seeks to “accelerate exploration to build a larger resource base and increase chromite ore production to 400,000 tonnes per year by 2030”. The overarching goal is to “position the Sultanate of Oman as a reliable supplier of chromite ore and value-added products in Asia” by 2030.

Also as part of this strategy, MDO seeks to achieve a profit margin of over 20 per cent from chromite ore production through beneficiation and blending processes. To this end, it has partnered with Oman Chromite Company (in which it holds a 25 per cent stake) in the development of existing chromite deposits within the latter’s mining licences.

MDO’s own chromite ore exploration and production activities are currently focused on two areas in Al Batinah North Governorate. The Mahrah Project centres on the development of an estimated 167,000 tonnes of 29 per cent grade chromite ore deposits, uncovered in Block 11B in the Wilayat of Shinas. In neighbouring Al Khabourah, around 31,000 tonnes of ore of approximately 10 per cent grade have been identified in Block 12B as part of the Sarrami Project.

Additionally, drilling programmes conducted during 2025 led to the discovery of new chromite resources. Around 254,000 tonnes of additional chromite resources were uncovered during 2025 from the following locations: Jibjibba — 163,000 tonnes (32.30 per cent grade), Wadi Rajmi — 31,000 tonnes (31.95 per cent grade), Mahrah — 168,000 tonnes (29.16 per cent grade), and Daqrah — 60,000 tonnes (36.23 per cent grade).

“Mining and production of chromite ore, with grades ranging from 30–32%, were completed, yielding a total of 64,972 tonnes. The raw material has been sold and shipped to customers in local and international markets, reflecting the company's success in marketing its products globally”, the company stated in its 2025 Annual Report.

MDO is also playing a lead role in supporting the government’s strategy to move the chromite sector from a historically export-driven raw ore industry towards a more integrated, value-added minerals ecosystem. The emphasis will be on beneficiation, ferrochrome production and tighter export controls — while remaining a key supplier to global steel markets.

To this end, the Ministry of Energy and Minerals has moved to significantly tighten oversight of chromite ore marketing and exports through a new regulatory framework introduced in 2025. Under Ministerial Decision 18/2025, exports are now subject to stricter controls, including mandatory approvals, quality certification and a minimum grade requirement of 36 per cent chromium oxide (Cr₂O₃) for raw ore shipments.

A central pillar of the reforms is the planned establishment of a state-backed marketing entity to streamline mineral exports, improve pricing transparency and strengthen Oman’s bargaining position in international markets. Oman Minerals Trading Company (OMTC) has been established as a subsidiary of MDO.