Revenues of RO 500m/year seen from key Oman copper-gold mining project
Published: 04:07 PM,Jul 08,2023 | EDITED : 08:07 PM,Jul 08,2023
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A promising mining project targeting copper and associated gold ore in Al Dhahirah Governorate has the potential to generate annual revenues of around RO 500 million when it is fully operational.
According to the Ministry of Energy and Minerals, exploration work in Block 10 in the Wilayat of Yanqul has so far uncovered five sites with commercial quantities of copper and gold ore. Development of these sites — at Bishara, Hail Al Safl, Al Jadeed, Al Raki, and Asghar — is being undertaken by Mazoon Mining LLC, an Omani joint venture established in April 2018.
“The project aims to extract copper and gold, with an estimated annual copper production of 1.6 million tonnes and annual revenues of RO 500 million,” the ministry said in its 2022 Annual Report, issued earlier this week.
Significantly, the Block 10 project is among eight major initiatives that were progressed during the year, according to the report.
Included in the list is Al Washihi Copper Ore Mining Project in Wilayat of Al Mudhaibi. It targets the production of copper concentrates with 24 per cent copper per tonne. The targeted copper ore resource is estimated at 16 million tonnes.
At the Ghuzayn Copper Ore Mining & Concentration Project in Wilayat of Al Khabourah, around 6 million tonnes of copper ore with a 2 per cent copper concentration is planned for development over a six and a half year period, the report stated.
One notable mining-related project of the past year centres on an initiative to identify commercially viable marble and building material quarries for public auction.
“The main objective of the project is to create competitive investment opportunities for marble and building materials through a transparent and fair bidding system.
The project aims to achieve financial and technical efficiency while promoting the principles of transparency and equality,” the ministry noted.
Further, in a bid to optimise value creation from the country’s mineral resources, the ministry has initiated a Mining and Minerals Innovation project.
It explained: “The objective of the project is to evaluate the various stages and processes involved in mining and mineral production, from testing the raw materials to producing the final product.
The project aims to enhance the value and quality of the mining and minerals sector by applying innovative tools and techniques to increase the value-added.”
Also cited by the ministry report is a study into the economic feasibility of producing around 3 million tonnes of dolomite ore per year. Once proven to be feasible, high grade dolomite will be used to produce magnesium. At the same time, low-grade dolomite and aggregate containing less than 1 per cent of silica will be used for the steel industry.
“The scoping study suggests that the volume of resources present in the region could reach more than 250 million tonnes of dolomite ore,” it added.
According to the Ministry of Energy and Minerals, exploration work in Block 10 in the Wilayat of Yanqul has so far uncovered five sites with commercial quantities of copper and gold ore. Development of these sites — at Bishara, Hail Al Safl, Al Jadeed, Al Raki, and Asghar — is being undertaken by Mazoon Mining LLC, an Omani joint venture established in April 2018.
“The project aims to extract copper and gold, with an estimated annual copper production of 1.6 million tonnes and annual revenues of RO 500 million,” the ministry said in its 2022 Annual Report, issued earlier this week.
Significantly, the Block 10 project is among eight major initiatives that were progressed during the year, according to the report.
Included in the list is Al Washihi Copper Ore Mining Project in Wilayat of Al Mudhaibi. It targets the production of copper concentrates with 24 per cent copper per tonne. The targeted copper ore resource is estimated at 16 million tonnes.
At the Ghuzayn Copper Ore Mining & Concentration Project in Wilayat of Al Khabourah, around 6 million tonnes of copper ore with a 2 per cent copper concentration is planned for development over a six and a half year period, the report stated.
One notable mining-related project of the past year centres on an initiative to identify commercially viable marble and building material quarries for public auction.
“The main objective of the project is to create competitive investment opportunities for marble and building materials through a transparent and fair bidding system.
The project aims to achieve financial and technical efficiency while promoting the principles of transparency and equality,” the ministry noted.
Further, in a bid to optimise value creation from the country’s mineral resources, the ministry has initiated a Mining and Minerals Innovation project.
It explained: “The objective of the project is to evaluate the various stages and processes involved in mining and mineral production, from testing the raw materials to producing the final product.
The project aims to enhance the value and quality of the mining and minerals sector by applying innovative tools and techniques to increase the value-added.”
Also cited by the ministry report is a study into the economic feasibility of producing around 3 million tonnes of dolomite ore per year. Once proven to be feasible, high grade dolomite will be used to produce magnesium. At the same time, low-grade dolomite and aggregate containing less than 1 per cent of silica will be used for the steel industry.
“The scoping study suggests that the volume of resources present in the region could reach more than 250 million tonnes of dolomite ore,” it added.