Oman targets $1 billion salt investment drive
MUSCAT: Oman’s salt industry is entering a new phase of industrial development, supported by investments exceeding $1 billion and a growing focus on value-added manufacturing that could transform one of the country’s oldest natural resources into a significant contributor to economic diversification.
The Ministry of Energy and Minerals said the sector is moving beyond traditional salt production towards a broader industrial ecosystem that includes processing, manufacturing and downstream industries capable of generating higher-value products for domestic and export markets.
New projects are targeting the production of industrial-grade salt, food-grade salt and a range of chemical derivatives, including bromine, caustic soda, soda ash and polyvinyl chloride (PVC). These products are widely used in industries ranging from chemicals and manufacturing to water treatment and construction materials.
Officials believe the expansion of these downstream industries will significantly increase the economic value generated from Oman’s salt resources while creating new opportunities for industrial investment.
Current production remains relatively modest compared with the sector’s long-term potential. Industry indicators show that Oman produced around 40,000 tonnes of salt in 2025, with approximately 30,000 tonnes exported to international markets and around 10,000 tonnes consumed locally.
The figures highlight the importance of exports, which currently account for the largest share of production. At the same time, domestic demand continues to grow, supported by expanding activity in the oil and gas, food processing and chemical sectors.
The sector’s future growth is expected to be driven by large-scale marine salt projects in Al Wusta Governorate. The ministry has awarded four mining concession areas for marine salt production along Oman’s coastline, with total planned investments exceeding $1 billion.
The projects are expected to deliver combined production capacity of around 5 million tonnes annually, representing a substantial increase from current output levels. Authorities have also indicated that additional concession areas could be offered in future phases as demand for investment grows.
Engineer Saud bin Khamis al Mahrouqi, Director-General of Minerals at the Ministry of Energy and Minerals.
Engineer Saud bin Khamis al Mahrouqi, Director-General of Minerals at the Ministry of Energy and Minerals, said industrial minerals, including salt, are becoming increasingly important to regional and international markets.
He noted that Omani salt benefits from several competitive advantages, including product quality, a strategic geographic location and favourable climatic conditions that support natural evaporation processes.
“Oman possesses a number of advantages that strengthen the competitiveness of its salt industry, including extensive coastal areas, strong evaporation rates and easy access to regional and global markets,” he said.
Al Mahrouqi added that the expansion of processing industries linked to salt production will help raise the value of the resource and strengthen its contribution to industrial development.
The industry has undergone significant changes in recent years as investors increasingly adopt modern technologies and engineering practices.
Unlike traditional salt production methods, modern projects rely on detailed scientific studies of coastal environments, seawater characteristics and climatic conditions before the construction of evaporation ponds. This approach improves efficiency, enhances product quality and increases the economic viability of projects.
Many operators are also integrating sustainability measures into their developments. Several concession holders have adopted renewable energy solutions to power mining and processing operations, helping reduce operating costs and environmental impacts.
In addition, modern pond designs and environmental monitoring systems are being used to minimise ecological effects while ensuring long-term operational sustainability.
The industry is concentrated primarily in Al Wusta Governorate, which has emerged as Oman’s leading centre for commercial salt production. The region benefits from a combination of natural and logistical advantages, including long coastlines, strong winds, high evaporation rates and proximity to ports and industrial activities.
Its location also allows producers to access international shipping routes efficiently, supporting export-oriented growth.
Beyond economic benefits, officials say the industry can play an important role in regional development and job creation.
The ministry noted that salt projects create opportunities for small and medium-sized enterprises through transportation, logistics, maintenance, contracting and other support services. These activities help generate local economic activity and strengthen links between industrial projects and surrounding communities.
The sector is also expected to create employment opportunities for Omanis across a range of technical and professional fields, including engineering, geology, operations management, quality control, maintenance, health and safety, and logistics.
Authorities view Omanisation as a key pillar of the sector’s development strategy, particularly as the industry shifts from traditional extraction activities towards more sophisticated industrial operations requiring specialised skills.
The ministry believes the combination of large-scale investments, modern technologies, downstream manufacturing and export potential positions the salt industry as an increasingly important component of Oman’s mining sector. — ONA
