17 May 2012
Muscat: Freezone Sohar, which is investing $70 million for developing 500 hectares in the first phase, has signed with 14 companies to set up their manufacturing base or logistic centres within the free zone, which include mineral and metal companies.
"We have signed agreements with 13 companies and Gulf Mining becomes the fourteenth company that signed a land lease agreement. Of this, five companies have already started construction work in their sites,- said Neelima Vyas, Deputy Chief Executive Officer of Freezone Sohar. She added the tenants are a mixed basket, ranging from metal and mineral companies and light manufacturing firms.
Iron upstream projects
The freezone is looking at developing an iron upstream project at the port, with the DRI plant and ferro chrome projects, she added, on the sidelines of a signing ceremony to build a 50,000 tonne ferro chrome project in Sohar. "We want to look at the steel cluster because that is where the value addition and downstream industries can be developed. We hope that today's agreement for a ferro chrome project will set a momentum to develop this large potential for Oman.-
She added that nine to ten companies have already evinced interest in setting up ferro chrome projects within the free zone. "Hopefully, we should be signing agreement with one or two companies,- added Vyas. She also noted that the availability of chrome ore and power in Oman helped to attract companies to build ferro chrome smelters in the country.
Referring to the progress on developing the free zone in a phased manner, she said that the basic infrastructure work will be complete by the end of the year. The scope of work includes construction of road networks, street lights, drainage channels, and other facilities for the first phase. "We believe that this phase take another two to three years to populate the whole 500 hectares. Of the total area, the leasable area is only 380 hectares. By the end of this year, we are targeting to gill up approximately 150 hectares.- The development of next phase is going to be based on the market demand for the first phase plots. Vyas said that the $70 million envisaged investment for the first phase is only for civil work.
"We are also looking at huge government infrastructure investments because it is a 4500 hectare area where we could have public corridors that could come alongside.- There will be connectivity to highway and other roads and railway networks.
Muscat: Freezone Sohar, which is investing $70 million for developing 500 hectares in the first phase, has signed with 14 companies to set up their manufacturing base or logistic centres within the free zone, which include mineral and metal companies.
"We have signed agreements with 13 companies and Gulf Mining becomes the fourteenth company that signed a land lease agreement. Of this, five companies have already started construction work in their sites,- said Neelima Vyas, Deputy Chief Executive Officer of Freezone Sohar. She added the tenants are a mixed basket, ranging from metal and mineral companies and light manufacturing firms.
Iron upstream projects
The freezone is looking at developing an iron upstream project at the port, with the DRI plant and ferro chrome projects, she added, on the sidelines of a signing ceremony to build a 50,000 tonne ferro chrome project in Sohar. "We want to look at the steel cluster because that is where the value addition and downstream industries can be developed. We hope that today's agreement for a ferro chrome project will set a momentum to develop this large potential for Oman.-
She added that nine to ten companies have already evinced interest in setting up ferro chrome projects within the free zone. "Hopefully, we should be signing agreement with one or two companies,- added Vyas. She also noted that the availability of chrome ore and power in Oman helped to attract companies to build ferro chrome smelters in the country.
Referring to the progress on developing the free zone in a phased manner, she said that the basic infrastructure work will be complete by the end of the year. The scope of work includes construction of road networks, street lights, drainage channels, and other facilities for the first phase. "We believe that this phase take another two to three years to populate the whole 500 hectares. Of the total area, the leasable area is only 380 hectares. By the end of this year, we are targeting to gill up approximately 150 hectares.- The development of next phase is going to be based on the market demand for the first phase plots. Vyas said that the $70 million envisaged investment for the first phase is only for civil work.
"We are also looking at huge government infrastructure investments because it is a 4500 hectare area where we could have public corridors that could come alongside.- There will be connectivity to highway and other roads and railway networks.
© Times of Oman 2012
