Oman’s OQ Group has signed two strategic agreements with global companies MAK and Deepak with a total value exceeding RO230 million ($598 million).

The agreements aim to develop advanced downstream manufacturing projects in Sohar and Salalah, redirecting locally produced raw materials toward high-value-added industries within the country. This initiative is part of a national trajectory to enhance the Sultanate of Oman’s position in regional and global industrial value chains.

In support of these projects, SOHAR Port and Freezone signed sub-usufruct and lease agreements with Sohar Petrochemicals Company and Sohar International Urea and Chemical Industries Company. These include land usufruct rights at Sohar Port and land leasing at Sohar Freezone, establishing an integrated regulatory and operational framework that links port facilities, pipeline networks, and manufacturing units into a single high-efficiency system.

OQ concluded the first agreement with the German company “M.A.K” to establish a plant for the production of Purified Terephthalic Acid (PTA) and Polyethylene Terephthalate (PET) in the Sohar Freezone. With an estimated investment of over RO 192 million and a production capacity of 700,000 tons per year, the project aims to bolster the manufacturing of polymer products in Oman using “para-xylene” supplied by OQ.

The second agreement was signed with the Indian company “DEEPAK” for the supply of ammonia for a ten-year renewable period. This enables the establishment of a plant to produce sodium nitrite and sodium nitrate in the Salalah Freezone, with an investment exceeding RO 38 million. The facility will have a production capacity of approximately 70,000 tons per year, targeting the pharmaceutical and specialized fertilizer industries, while relying on ammonia supplied by OQ.

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