Sohar land lease agreement with Oman Zinc
(Posted on 14/01/26)
SOHAR Port and Freezone has signed a USD 50 million investment agreement with Oman Zinc LLC, to develop a Zinc Ash Recycling Industrial Park on a 10-hectare site within SOHAR Freezone. Designed to turn steelmaking residues into valuable industrial materials, the project strengthens SOHAR’s position as a regional hub for sustainable metals processing and circular economy manufacturing.
Delivered in phases, the industrial park will process zinc ash and Electric Arc Furnace (EAF) dust to produce up to 10,000 tonnes per year of refined Zinc Ingots and 50,000 tonnes per year of Rubber Grade Zinc Oxide. These outputs will supply high-growth downstream industries across the GCC, Southeast Asia, Europe, and Africa, supporting applications in galvanising, alloys, rubber, batteries and specialty chemicals. The project is built around SOHAR’s end-to-end advantage. Feedstock will be imported and handled through SOHAR Port from local and international suppliers, creating an integrated value chain that connects global shipping routes directly to processing, storage, and export manufacturing within the Freezone.
Lin FENG, Chairman of Oman Zinc, said: “SOHAR Port and Freezone stands out as the strategic gateway for our international expansion, offering strong logistics connectivity, world-class infrastructure, and direct access to high-growth markets. This investment reflects our confidence in SOHAR as a premier destination for sustainable industry, where innovative recycling meets long-term profitability and regional leadership.”
“This investment demonstrates the strength of SOHAR’s integrated ecosystem and the confidence international partners place in Oman as a base for advanced, sustainable manufacturing,” said Eng. Raid Al Rubaiey, CEO of SOHAR Freezone and Deputy CEO of SOHAR Port “By linking zinc recycling to global shipping routes, we are building new value chains, supporting diversification, and advancing national resource efficiency.”
This investment reinforces SOHAR Port and Freezone’s growing metals cluster and role as an export-oriented manufacturing hub. By diverting by-products from disposal and converting them into high-value export materials, the facility will reduce the environmental footprint of steelmaking. This investment will also stimulate wider demand across logistics, maintenance, and industrial services
The investment aligns with Oman Vision 2040 by advancing resource efficiency, accelerating circular economy outcomes, and expanding the country’s portfolio of advanced, sustainability-led industrial projects.
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