SOHAR Port and Freezone and Gulf Alloys and Metals recently inked a pact for the setting up of a low-carbon ferrochrome alloy production facility at SOHAR Freezone.
The agreement for the OMR3.5mn ($9mn) facility was signed between HE Dr Mohammed Nasser Al Zaabi, Chairman of the Board of SOHAR Port and Freezone and Appala Satyanarayana Varma, owner of Gulf Alloys and Metals.
Speaking on the sidelines of the signing ceremony, Varma said, “We are proud to be setting up at SOHAR Freezone and provide them with support in their economic diversification objectives. We hope that our presence will contribute to the promotion of other industrial activities in an integrated industrial environment, while simultaneously promoting sustainable development,”
The project, which will occupy 37,000m2 of land at SOHAR Freezone, will be capable of manufacturing of 10,000 MT per annum and is a part of the efforts of SOHAR to bring in new global investments.
Once complete, the facility will use chrome ore and calcined lime, sourced from local mines and plants, respectively. Low carbon ferrochrome is an alloy that consists of iron and chromium and is mainly used for stainless steel production. The final product can be used for manufacturing of aircraft, automobiles, equipment used in the extraction of oil and gas and related manufacturing industries and others.
The mining industry is fast becoming one of the most promising contributors to the country’s GDP and in line with this objective, SOHAR seeks to lure new investments such as the upcoming ferrochome alloy production facility, which will not only add in-country value in this field but will also boost SOHAR’s competitive reputation in bringing investments linked to the downstream of these industries.