Reclamation projects to boost Sohar Port’s capacity

A pair of reclamation projects underway at Sohar Port and Freezone will add as much as 325 hectares of new leasable land to the capacity of the industrial and maritime hub, according to a highlevel official.

Omar al Mehrzi (pictured), Deputy CEO Sohar Port and CEO Sohar Freezone, said the expansion projects will augment the investment potential of the hub, which marks 15 years of successful operations next month.

“Sohar Port has seen a lot of growth during these past 15 years, having attracted investments totalling $28 billion between the port and free zone, effectively making it one of the fastest growing ports and free zones in the region,” said Al Mehrzi.

Speaking at the Oman Economic, Industrial & Free Zone Summit 2019 (OEFZS), the official said the expansion projects are currently ongoing at two locations along the waterfront.

“The first of these developments is called ‘Terminal 2D, which will create about 75 hectares of prime seafront location. We are looking to promote this land for heavy industries, as well as tankage.”

The second expansion, under way at the southern end of the port

— and thus dubbed ‘Sohar South’ — will create around 250 hectares. This new land will be offered to several types of industrial investments, said Al Mehrzi, adding that the company is currently studying several promising “leads” in this regard.

At the adjoining free zone, the management sees is exploring the potential to enhance its investment appeal by harnessing synergies with mega projects operating within the port. A key example is the multibillion dollar Liwa Plastic complex which, when operational in a few months, will produce massive volumes of feedstock for potential downstream industries set up in the free zone.

Likewise, the Metals Cluster at the port is home to Vale’s giant iron ore pelletising plant, as well as the steel projects of Jindal Shadeed and Sohar Steel. “Clearly, there is no shortage of steel and metal investments in Sohar Port,” said the official, adding: “We are now encouraging value-added investments in the free zone that complement these industries in the port.”

In a replication of this approach, a Food Cluster is being developed at the free zone that will leverage food-related investments at the adjoining port, said the official. An agro-terminal at the port — one of just a few in the region — currently houses a flour mill, soya seed crushing plant, and a proposed sugar refinery – all of which will provide raw material for food processing investments setting up shop in the free zone, he stated.