Oman- Sohar logistics corridor seen adding value to mining sector

3/27/2016 12:49:32 PM

(MENAFN- Muscat Daily) Muscat-

As part of plans to further diversify its economy Oman is fast developing new strategies that will add value to the mining sector and the country's substantial reserves of minerals.

Some of those plans were unveiled in Muscat this week.

They include the development of a complete supply chain or Sohar Dry Bulk Logistics Corridor that will immediately enable the export of minerals that are mined and processed in Oman to international markets at competitive prices a statement said.

The signing of a memorandum of understanding (MoU) between Sohar Port and Freezone Vale in Oman's Distribution Center and Oman National Investments Development Co also known as Tanmia is the first step.

The agreement builds on world-class infrastructure already in place in Sohar currently operated by Vale to import and export millions of tonnes of iron ore and pellets. The facilities allow the largest ships in the world the very large ore carriers with a capacity of up to 400000 tonnes each to be berthed at the port. The facilities allow the largest ships in the world the very large ore carriers with a capacity of up to 400000 tonnes each to be berthed at the port. Vale recently won the prestigious 'Best Specialist Dry Bulk Port' award for its Sohar-based terminal at the International Bulk Journal Awards in Belgium.

'Oman is one of the most mineral rich countries in the MENA region and our strategy is to build on this to achieve competitiveness in the industrial minerals market and hence gain sustainable economic growth for the sultanate' said Rashid Saif al Saadi CEO of Tanmia one of the promoting entities of Minerals Development Oman which is currently under formation.

Vale in Oman's CEO Sergio Espeschit added 'Our dry bulk terminal in Sohar Port already has the necessary internal infrastructure and logistics capability to support the diversification of Oman's economy that will enable the sultanate's minerals to reach global markets at competitive prices.'

Sohar Port CEO Andre Toet summed up the agreement. 'Our existing dry bulk infrastructure is world class; this agreement is about utilising that same investment for exports.'

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