Oman’s total metal production in 2018 decreased by nearly 12 per cent from the previous year’s production, to less than 26.5 million metric tonnes, after it was close to 30 million metric tonnes, according to data released on Monday by the National Centre for Statistics and Information.
However, the centre also mentioned that the Sultanate’s sales of metals increased by 5.8 per cent by the end of last year compared to the end of 2017, to touch RO 78,593,127, for a quantity of 22 million and 759,848 metric tonnes, compared to RO 74,276,831, for an amount of RO 20,477,429 metric tonnes by the end of 2017.
The mining sector in the Sultanate is one of the main sectors that play a fundamental role in economic development and is associated with many other sectors and economic activities. It represents an attractive environment for private sector investment through mining, exploration and production activities in the mining sector, which contributes to providing various job opportunities in the mining activity or supporting activities such as transportation, logistics and other related work.
It is also one of the primary resources for construction, industrial and logistical activity in the Sultanate, and it has contributed directly to the development of infrastructure, as well as its role in diversifying sources of income in the national economy. The vision of the Public Authority for Mining seeks to develop the mining sector to contribute RO 300 million to GDP by 2030. It is working to optimise the exploitation of mineral resources in accordance with international best practices and activate the community partnership to achieve economic diversification and sustainable development. The mineral wealth law, which came into effect in March 2019, contributes to simplifying and encouraging investment in the sector by preparing approvals for mining areas and putting them up for competition according to the principles of publicity and equal opportunities.
It has also increased the minimum period of mining licensing from one to 5 years, the concession agreement not less than 20 years, and imposed royalty in proportions according to the economic feasibility of each metal. The Law states that the upper limit of the licensing area to be to (5 sq km), enabling the investor to add more than raw materials to the mining license.
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