Oman’s SOHAR Port and Freezone has signed a Memorandum of Understanding (MoU) with Brazilian mining company’s subsidiary Vale in Oman and Oman National Investments Development Company SAOC TANMIA in Muscat that will pave way for the development of the SOHAR Dry Bulk Logistics Corridor.
The project targets facilitating of export of minerals that are mined and processed in Oman to international markets.
The agreement builds on the infrastructure already in place in SOHAR, currently operated by Vale in Oman to import and export millions of tons of iron ore and pellets. The facilities allow the largest ships in the world, the so-called Valemaxes, to be berthed at the port.
“Our existing dry bulk infrastructure is world class; this agreement is about utilizing that same investment for exports — and that makes so much sense for all of us; it should lead to more growth, more jobs and a more sustainable economic model for Oman,” SOHAR Port CEO Andre Toet said.
“Since our operations were inaugurated and began operations four years ago, we committed to the Sultanate to create this SOHAR Dry Bulk Logistics Corridor which will directly benefit the mining and minerals sector in Oman. 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,” Vale in Oman’s CEO, Sergio Espeschit, added.
Vale in Oman’s has already invested around USD 2 billion and, according to the port, for the time being there is no need for additional capital investment as the facilities are already operational since 2011.