MUSCAT, JUNE 10
Knights Bay, the UK-based miner of strategic minerals, says it is targeting the production of significant quantities of nickel and cobalt ores from its concession in Oman’s Ibra Wilayat – mineral commodities that are essential building blocks for a clean economy.
In a post over the weekend, the specialist mining firm welcomed the issuance of a Royal Decree ratifying the award of a mining concession covering Block 21 in North Al Sharqiyah Governorate.
“It is with great excitement that we can announce the receipt of the Royal Decree issued by the Sultan of Oman, His Majesty Sultan Haitham bin Tarik. The Royal Decree confirms and approves the exploration and mining agreement for Mineral Concession Block 21 between the Government of Oman (Ministry of Energy and Minerals) and Knights Bay,” the British firm stated.
That agreement, inked in March this year, confers upon Knights Bay concession rights to a massive 1,444 sq kilometer site representing “a new potentially world-class nickel laterite deposit with cobalt, chrome, and iron-ore credits”, the company noted.
Initial geology and testing has focused on a 300 km2 area within the concession, according to Knights Bay. “Extensive sampling over 1.2 sq km of an existing strip mine within the 300 km2 has produced average grades 1.05% – 1.2% nickel with upside potential. Long-term production objective target is 111,000 tonnes per year of contained nickel in sulphates and 5,100 tonnes per year contained cobalt in sulphates at full production,” it further added.
Royal Decree 36/2023, issued earlier this week, represents an “historic milestone”, said Knights Bay, adding: “We would like to thank everyone involved, especially the team in the Ministry of Energy and Minerals and the British Embassy Muscat; thank you for all your support and patience.”
With the concession award, the Sultanate of Oman has embarked on an ambitious effort to unlock its deposits of strategic minerals, notably lithium and cobalt, to capitalize on the huge demand for these commodities in the renewables and EV battery production sectors, among other industries. Deposits of lithium ore were also the target of a new concession agreement signed by the Ministry late last month.
If unlocked in suitably large quantities, these strategic minerals could potentially herald the growth of investments in mineral processing facilities in Oman, and possibly, end-user industries as well, say experts.
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