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Thursday, December 4, 2025

Oman Mining and Aluminium Clusters 2025: The Game-Changer

Oman mining and aluminium clusters 2025 are gaining significant momentum as part of the country’s Vision 2040 economic diversification plan. These clusters are vital to boosting industrial growth and increasing investment in Oman’s natural resource sectors.

Mining Cluster Development

Madayn, Oman’s government entity overseeing industrial cities and free zones, is finalising plans for a major mining cluster in the Shaleem area. Covering 30 million square meters, this cluster includes a detailed design for 10 million square meters focused on oil, gas, and mining industries. The project supports expanding Oman’s mining sector by providing infrastructure and facilities to attract investment and boost production capacity.

Aluminium Cluster at Suhar

In Suhar Industrial City, Oman is developing an integrated aluminium cluster is being developed to connect upstream primary aluminium production with downstream processing industries. Sohar Aluminium, one of Oman’s largest industrial enterprises, produces about 395,000 tonnes of aluminium annually, with much of its output supplying domestic manufacturers. The cluster aims to promote value-added aluminium products such as rods, flat-rolled items, and high-end alloy wheels.

Madayn has commissioned studies on downstream aluminium investment opportunities, including recycling, which has significant growth potential in Oman. The aluminium cluster is expected to enhance competitiveness by improving efficiency, fostering innovation, and creating integrated supply chains for smoother logistics.

Investment and Infrastructure Growth

In the first half of 2025, investments in Oman’s industrial clusters rose by 2 per cent year on year, reaching approximately OMR7.8 billion ($20.3 billion). The number of active projects increased to 2,095, and leased industrial areas expanded to 34.6 million square meters. Madayn received 215 investment applications and signed 124 contracts, with a combined value exceeding OMR80 million.

Infrastructure development is also underway in multiple industrial cities, including Al Mudhaibi, Al Suwaiq, Madha, Al Wadi Al Kabir, and Sur. Projects aim to improve services, logistics, and facilities, enabling sectors to expand and contribute to economic diversification and sustainability.

Strategic Impact

These clusters embody Oman’s Vision 2040 goals to reduce reliance on oil revenues by building knowledge-driven industries and boosting exports. The mining and aluminium sectors are positioned to become major growth drivers, with new investments supporting job creation, technology adoption, and regional competitiveness.

Oman mining and aluminium clusters 2025 represent strategic, large-scale initiatives to develop integrated industrial ecosystems. These efforts enhance value chains in critical commodities and align with Oman’s broader economic transformation agenda, paving the way for long-term sustainable growth.

Mariam Banu

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