On the sidelines of the CEO Summit organised by Oman Arab Bank, and under the patronage of Salim bin Nasser Al Aufi, Minister of Energy and Minerals, Sohar Port and Freezone, in partnership with Oman Arab Bank and with the participation of another local bank, signed a financing agreement worth US$220 million to support strategic expansion projects in the southern part of the port. These projects include the LNG terminal and the second phase of the freezone expansion. This step represents a significant boost that enhances the readiness of Sohar Port's integrated system and reinforces its role as a key driver of trade and sustainable investment in the Sultanate of Oman.
Oman Arab Bank assumed the role of lead co-ordinator and facility and guarantee agent, drawing on its advanced financial expertise to ensure that the financing aligns with the priorities of Oman Vision 2040. This collaboration underscores the commitment of both parties to applying the highest environmental, social, and governance standards and promoting green finance and sustainable development trends in national infrastructure projects.
The Marsa LNG project, a joint venture between TotalEnergies and OQ, is a major energy transformation project, slated to become the Middle East’s first large scale LNG bunkering and export hub. Spanning 44.5 ha. with a production capacity of nearly 1 million tpy, the project will be fully powered by a 300 MW solar power plant.
Ahmed Al Hosni, Vice President of Finance at Sohar Port and Freezone, said: “This financing reflects a crucial step in implementing our expansion plans and enables Sohar Port and Freezone to steadily progress in developing infrastructure projects that support industrial and logistical growth. It also enhances our ability to attract high-value investments that contribute to supporting Oman’s competitiveness and consolidating our position as a major hub for trade and clean energy.”
Sulaiman Al Harthi, CEO of Oman Arab Bank, added: “This financing facility is a supportive step for the Sultanate’s efforts to achieve sustainable economic growth. Supporting transformative infrastructure projects reflects Oman Arab Bank’s commitment to promoting national development and implementing environmental, social, and governance principles to achieve long-term added value.”