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In the span of a few weeks, Oman has announced projects that together sketch the outlines of a very deliberate strategy. A crude storage deal with Iraq, a gas pipeline expansion, new direct flights with Baghdad and the region’s first ship-recycling facility may seem like unrelated headlines. In truth, they are connected. They speak to Oman’s ability to balance tradition with innovation, energy with environment and regional diplomacy with global ambition.
The new 10-million-barrel crude storage project at Ras Markaz in Al Duqm, agreed with Iraq, is more than a technical deal. It is a statement. Oman is offering its geography and neutrality as a service to its neighbours. By hosting Iraqi crude, the Sultanate of Oman gains fees, jobs and strategic leverage, while Iraq gains a secure export outlet outside the Strait of Hormuz.
This is Oman Vision 2040 in action. Rather than simply exporting oil, Oman is positioning itself as a logistics hub that manages flows of energy, not just production. It is a quieter, steadier form of influence — one rooted in trust and reliability.
At the same time, OQ Gas Networks is extending the national grid to 4,623 km by 2027. That figure may seem abstract, but it carries real meaning. Each kilometre of pipeline is an artery delivering fuel to power plants, factories and new industrial zones. The lines from Fahud to Suhar and Ibri will knit the country’s energy map together, ensuring that the north’s industrial growth is supported by the interior’s resources.
This is not about gas alone. It is about creating the infrastructure that attracts investors. When companies see reliable supply, they are more likely to build plants, create jobs and take risks. In that sense, pipelines are promises — promises of stability and growth.
Then came the launch of Iraqi Airways’ Muscat service on September 6. A single route may not sound transformative, but direct flights change the pace of relations. They shorten business trips, open tourist corridors and allow families to connect. For Oman, Iraq represents a market of millions seeking leisure, culture and safe destinations. For Iraq, Oman is a partner offering access, not just diplomacy.
This matters. Regional connectivity is not built only in conference rooms. It is built in the boarding gates of airports, where the movement of people generates trust and opportunity.
Perhaps the boldest announcement is the plan to establish the Middle East’s first ship-recycling facility in Al Batinah North Governorate. At first glance, dismantling ships may sound unglamorous. But in today’s world, it is visionary. Shipbreaking is often unsafe and polluting in many parts of the world. Oman is promising a cleaner, certified and sustainable approach.
Here lies the real opportunity: by turning waste into value, Oman signals that its path to Net-Zero 2050 is not just rhetoric. It is being translated into industries that can employ people, recover resources and lead the region by example.
Seen individually, these projects may look like fragments. Together, they form a coherent picture. Oman is consolidating its traditional energy role while carefully opening doors to new green industries. It is strengthening ties with Iraq through both oil and aviation. It is expanding the physical backbone of its economy while showing that sustainability is not an afterthought but part of its industrial future.
This is the essence of Oman Vision 2040: not abandoning the old, but reshaping it to make space for the new.
Of course, challenges remain. Ras Markaz must weather regional politics. Gas pipelines need careful financing and execution. New flights must prove commercially viable. The ship-recycling facility must meet tough international standards to gain credibility.
But Oman has long played the long game. Its strength lies in patience, steady diplomacy and the ability to position itself as a reliable partner. If these initiatives are delivered well, they will not only diversify the economy but also cement Oman’s reputation as a country that quietly builds bridges — in energy, in industry and in trust.
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