Oman to offer new mineral exploration blocks by Q1-end

Oman’s ministry of energy and minerals is working on offering new mineral exploration blocks for investments in the first quarter of 2023.

The ministry is currently in the final stage of negotiations with specialised companies on several concession areas, primarily focusing on developing potash ore and evaluation of lithium ore, Dr Salah bin Hafeez Al Dahab, Director General of Investment at the Ministry, told the Oman News Agency.

The country has deposits of copper, chromite, laterite, magnesium, manganese and other mineral ores, in addition to industrial ores such as gypsum, silica, limestone and gabbro stones. 

The surveys and exploration operations will confirm the presence of the minerals carried out by Minerals Development Oman (MDO).

The ministry signed 12 agreements with MDO last year, starting exploratory work, including geophysical aerial surveys. 

These blocks will be developed with local or external investors.  

In 2020, 110 new mining blocks for exploration and investment were announced, with licences issued to several local and foreign companies. 

“Mining is a relatively recent and growing part of Oman’s efforts to diversify their industry away from oil and gas,” Ionut Lazar, principal consultant, CRU Group, a global commodities business intelligence company, told AGBI.

Revenues from mining in Oman are expected to reach $634 million by the end of 2022, say Trading Economics analysts, rising to around $660 million next year and $686 million in 2024.