MUSCAT, Oman, May 19, 2025 — Mazoon Mining, a subsidiary of Minerals Development Oman (MDO), has successfully obtained $270 million in strategic funding from prominent local and regional banking institutions. Simultaneously, the company finalized several construction and service agreements with Omani contractors to commence the development of the largest integrated copper concentrate project in the Sultanate.
The signing of these agreements took place during the Rawabit Forum, which was hosted by the Oman Investment Authority (OIA). This highlights the strong institutional confidence in the project’s crucial role in Oman’s mining industry.
The project, situated in the Wilayat of Yanqul, Al Dhahirah Governorate, spans 20 square kilometers. It aims to produce approximately 115,000 tonnes of copper concentrate annually, boasting a purity level of 21.5 percent, based on confirmed reserves of 22.9 million tonnes of copper ore.
The financing was secured through collaborations with Sohar Islamic Bank, National Bank of Oman, Qatar National Bank, Bank Nizwa, Ahli Bank, and Ahli Islamic Bank. The financing round was oversubscribed by more than double, demonstrating strong investor faith in the project’s long-term potential. This accomplishment establishes Mazoon Mining as a highly promising investment prospect within Oman’s mining sector.
To facilitate the project’s execution, Mazoon Mining has entered into key contracts with:
- ASYAD Group for transport and logistics services
- Oman National Engineering and Investment Company (ONEIC) for power line and substation construction
- STRABAG Oman for large-scale earthmoving activities
These agreements are anticipated to stimulate local business activity, provide support to small and medium-sized enterprises, and generate a positive economic impact.
Eng. Mattar bin Salim Al Badi, CEO of MDO, commented: “Securing this financing is a significant milestone, confirming the project’s readiness to move into the execution phase. These funds will cover approximately 60% of the project’s total cost, and the signing of construction and service agreements ensures that work progresses according to the planned schedule.”
He further noted that the project has undergone extensive preparation, including the appointment of Lycopodium (Canada) as the EPCM contractor and the establishment of equipment supply agreements with Metso, a global leader in mineral processing.
With global copper demand on the rise, particularly in the renewable energy and advanced technology sectors, this project will establish Oman as a key regional center. The project also incorporates sustainable practices, such as zero-liquid-discharge systems and advanced waste management techniques. Beyond its environmental considerations, the project will create employment opportunities, support SMEs, and contribute to Oman Vision 2040’s objective of achieving a diversified, resource-based economy.
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