Increasing Oman's copper output

Minerals Development Oman (MDO) has signed a key mining concession agreement with the Ministry of Energy and Minerals (MEM).

The agreement grants MDO the rights to explore and develop strategic minerals within concession area 51F, located in the Al Wusta Governorate, covering 2,156 sq km in the Wilayat of Mahout. This area contains valuable deposits of silica, limestone, and dolomite, all of which are critical for industrial growth and economic diversification in Oman.

Silica, which is in high demand due to its essential role in industries such as glass manufacturing, renewable energy technologies (including solar panels), and energy storage, is a key focus of this agreement. In 2021, the glass industry became the largest consumer of silica sand in the region, and this demand is expected to grow. According to a report by Syndicated Analytics, the GCC silica sand market is projected to grow at a compound annual rate of 6.7% from 2022 to 2027, potentially reaching US$513.5mn by 2027.

The new concession positions MDO to become Oman’s first silica sand miner. Silica sand, valued for its high purity (above 97% naturally in this site), strength, and non-reactive properties, is critical for industries such as glass, solar technology, and chemicals. The agreement underscores MDO's and MEM’s confidence in the long-term commercial potential of the concession area.

With the addition of this new concession, Minerals Development Oman’s (MDO) total concession area now covers 24,119 sq km.

Strategic projects

MDO is not just an asset owner but also a driving force for regional mining sector growth. Each project is designed to create value for investors while delivering tangible benefits to local communities through job creation and economic empowerment.

In 2024, MDO launched several strategic exploration projects targeting key minerals, including copper, chromite, gypsum, limestone, dolomite, salt, and hard silica. Earlier this year, the company broke ground on the Lasil and Al Baydha Copper Mines Redevelopment Project in Sohar, Liwa, which aims to produce 800,000 tonnes of copper ore annually, supported by a confirmed 2.78 million tonnes of commercial-grade copper reserves.

In the coming months, MDO is set to begin construction on the Yanqul Copper Project, managed by its subsidiary Mazoon Mining LLC. Located in the Yanqul region, Mazoon Mining received exclusive rights from the Ministry of Energy and Minerals in 2022 to explore, develop, and produce copper concentrates, with gold as a secondary by-product. Following detailed feasibility studies, the Canadian firm Lycopodium has been appointed as the EPCM contractor, with construction expected to commence by the end of 2024. This project represents a significant milestone for MDO, positioning Oman as an emerging player in copper production and advancing the nation’s economic diversification strategy.

Nasser Al Maqbali, CEO of MDO, remarked, "This agreement underscores MDO’s commitment to harnessing the nation’s mineral wealth to create investment opportunities, generate employment, and drive sustainable industrial development. Our exploration of silica resources reflects Oman’s untapped potential to support critical industries, especially those related to the energy transition.

With these projects, MDO is becoming a key player in the region’s mining industry and helping Oman achieve its goals of economic diversification and sustainable growth. By focusing on strategic minerals and building impactful partnerships, we are committed to boosting the mining sector’s role in the national economy."