Mining concession awarded for RO 200m sea salt production project
MUSCAT: The Ministry of Energy and Minerals signed on Sunday, June 22, 2025, a mining concession agreement with Integrated Global Engineering Company to develop natural salt production in Concession Area I-51, located in Al Wusta Governorate. The concession covers a total area of 15 square kilometres.
The agreement was signed on behalf of the Government of the Sultanate of Oman by Eng Salim bin Nasser Al Aufi, Minister of Energy and Minerals, while Shaikh Ali bin Salim al Junaibi, Chairman of Integrated Global Engineering Company, signed on behalf of the company.
The agreement aims to expand the production capacity of the existing salt plant and establish additional facilities to increase the annual output of natural salt to 1.2 million tonnes. The salt will be extracted through the construction of seawater storage ponds, followed by natural evaporation using wind and solar heat. The salt will then be dried, refined, and packaged. The estimated investment value of the project is RO 200 million.
Al Aufi emphasised that the project represents a strategic step forward in advancing economic diversification in the Sultanate. He noted that the project is expected to create significant employment opportunities for Omani citizens. The primary objective is to boost the production of natural salt and develop its industrial derivatives for use in various projects aligned with sustainable development goals. The minister also highlighted that this is the third sea salt production project signed in Oman, as part of the Ministry's broader strategy to promote local industries, maximise the utilisation of natural resources, and reduce dependence on imported products.
Shaikh Ali bin Salim al Junaibi, Chairman of Integrated Global Engineering Company, stated that obtaining Concession Area I-51 in Al Wusta will help realise the company's vision of increasing production capacity to one million tonnes annually. He added that the project is expected to meet domestic market demand as well as the needs of downstream industries currently under development, in line with the economic goals of Oman Vision 2040. The company also plans to produce multiple derivatives of salt required by both local and global markets, particularly for food processing, animal feed, and pharmaceutical industries.
Shaikh Al Junaibi further affirmed that the agreement reinforces the government's strategy to localise industries, make full use of natural resources, and reduce reliance on imports—contributing to the enhancement of the national economy and generating a range of job opportunities for Omani talent, including part-time work for small and medium-sized enterprises (SMEs).
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