Silica mining to boost Oman solar PV industry

MUSCAT, OCT 10

Oman’s burgeoning solar photovoltaic manufacturing sector is set for a significant boost with the signing of a mining concession agreement on Wednesday, October 9, 2024, that will help unlock sizable deposits of high-purity silica ore – a key raw material used in the production of solar panels, among a host of other commercially valuable commodities.

Concession Area 51-F, located in Al Wusta Governorate, was awarded by the Ministry of Energy and Minerals to Minerals Development Oman (MDO), the country’s leading mining industry player. It is the latest in a flurry of mining concessions granted to MDO – part of Oman Investment Authority (OIA) – underscoring its leadership position in commercializing the country’s mineral resources.

According to MDO, the 2,156 km2 concession is thought to hold silica ore with purity levels reaching an impressive 95 per cent. Once fully assessed, these resources will be mined to produce silica that meets purity standards commensurate with the needs of key silica-based manufacturing sectors.

Nasser Saif al Maqbali, Chief Executive Officer – MDO, added in a post: “This agreement marks an essential strategic step in the company's efforts to expand its portfolio of strategic mineral resources. Our goal is to develop the production of soft silica, which is expected to position the Sultanate as one of the vital mining players in the region. Through this project, we also aim to attract investments in mining and manufacturing industries related to soft silica ore, such as glass and solar panels, enhancing the Sultanate's vision of manufacturing clean energy solutions. We sincerely thank the Ministry of Energy and Minerals for their confidence in MDO as a strategic partner in achieving the vision of the government related to the mining sector.”

Following extensive exploration programmes conducted by MDO across its expansive portfolio, silica ore resources have been assessed at a significant 210 million tonnes, the company noted in its 2023 Annual Report.

In the Wilayat of Mahout in Al Wusta Governorate, the company has confirmed the presence of commercial deposits of high-quality silica ore in excess of 40 million tonnes.

To help unlock these reserves, MDO set up Al Wusta Mining Company (with a 75 per cent shareholding) to conduct an economic feasibility study for the production of high quality silica ore for the local glass manufacturing industry. Additionally, promising quantities of silica ore have also been uncovered in the Wilayat of Qurayyat in Muscat Governorate, the company said.

Seeking to align its mining development strategies with the country’s energy transition goals, MDO is also taking steps to harness key raw materials in its portfolio to support the growth of a domestic industry catering to the provision of clean energy solutions.

Earlier this year, Homerun Resources Inc, a Canadian energy materials specialist, announced that it had signed a non-binding Memorandum of Understanding (MOU) with MDO to jointly assess the feasibility of establishing a pioneering solar glass manufacturing project in Oman.

As an initial step, the MOU outlines plans for collaborative efforts to evaluate opportunities to enhance the quality of quartzite deposits in MDO’s concessions within the Wilayat of Qurayyat. Quartzite silica sand, once refined into high-purity quartzite (HPQ) silica sand, serves as a crucial raw material for solar glass production—the primary component of silicon wafers utilized in solar cells.