27/04/2026 06:16 AST
Oman's Public Authority for Special Economic Zones and Free Zones (OPAZ) on Sunday presided over the signing of a series of investment agreements worth more than RO200mn to establish new industrial projects across the country's key economic and free zones.
The new agreements cover projects in the Special Economic Zone at Duqm (SEZAD), Salalah Free Zone and Khazaen Economic City, spanning sectors such as electric vehicle (EV) batteries, specialised steel manufacturing, cement and pipe production, as well as chemicals, construction materials and pharmaceutical warehousing.
OPAZ Chairman H E Qais bin Mohammed Al Yousef said the agreements mark a significant step in advancing economic diversification and strengthening Oman's position as a regional hub for high-quality investments. He noted that the projects reflect strong confidence among local and international investors in the sultanate's competitive business environment.
Recent years have seen notable efforts by OPAZ to attract new investments, which are reflected in improved investment statistics. According to OPAZ, total cumulative investment in special economic and free zones reached RO22.4bn by the end of 2025, representing growth of 6.8% compared to 2024.
H E Al Yousef added that the coming phase will witness an acceleration in the implementation of industrial projects with high economic impact.
Steel project in Duqm
A major component of the new investments is a RO41mn steel mould manufacturing plant to be developed in SEZAD by Alshaya Group. The facility will have an initial production capacity of around 306,000 tonnes per year in its first year of operations, rising to 342,000 tonnes annually by 2030.
The project will utilise electric arc furnace (EAF) technology, which offers lower carbon intensity compared to conventional steelmaking. Commercial production is expected to begin in 2028.
Ahmed bin Ali Akaak, CEO of SEZAD, said the project will strengthen downstream metal processing industries in Duqm, support local supply chains and reduce reliance on imports, while benefiting from the zone's strategic location and connectivity to global shipping routes.
EV batteries project in Salalah
In Salalah Free Zone, OPAZ signed a RO35mn investment agreement with GFCL EV Advanced Materials to establish a plant producing active anode materials for lithium-ion batteries used in electric vehicles.
The project represents the company's second investment in the EV sector in the zone, following last year's agreement to establish a facility for advanced chemical materials used in electric batteries.
The plant will cover more than 186,000sqm and is expected to strengthen Salalah Free Zone's positioning as a hub for clean energy and EV-related industries.
Salalah Free Zone CEO Dr Ali bin Mohammed Tabouk said the investment highlights the zone's competitiveness and its focus on building an advanced industrial base aligned with the global transition to a green economy. He added that the total investment in active projects in the zone has reached around RO4.5bn, with industrial activities accounting for about 93%.
Khazaen secures four new projects
Meanwhile, Khazaen Economic City signed four agreements worth over RO12.8mn across manufacturing and pharmaceutical segments. The first agreement involves the establishment of a glue production plant and a specialised unit for tile cutting and processing, with an investment of RO6mn by Al Fadan International.
The second agreement covers the establishment of a plant specialising in infrastructure products, site development and cement works, with an investment of RO5mn by Al Summits for Trading and Industry. The third agreement is for the establishment of an advanced pharmaceutical warehouse by Overseas Investment at a cost of RO1.2mn.
The fourth agreement is for the establishment of a plastic pipe manufacturing plant producing polyethylene (PE) and polyvinyl chloride (PVC) pipes, with an investment of RO600,000 by Virgent Forest Trading.
New pipeline of investments
Separately, OPAZ also signed a memorandum of cooperation with Majan Gulf Investment to develop three new investment opportunities valued at more than RO110mn. The partnership will focus on structuring projects, assessing requirements and allocating land within OPAZ-supervised zones.
Majan Gulf Investment plans to develop a number of economic and investment projects within the zones under OPAZ's supervision.
Muscat Daily
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