MUSCAT : The move follows the signing of two strategic agreements to develop a new PTA and PET industrial complex at Sohar Port and Freezone, with a total investment estimated at around RO 211 million. The agreements were concluded with two subsidiaries of the German MAK Group, Sohar Petrochemicals Company and Sohar International Mineral Chemicals Company, alongside OQ Refineries and Petroleum Industries Company.

The project underlines the growing regional role of Sohar Port and Freezone as a hub for advanced manufacturing and export-oriented industries, and highlights its ability to attract and relocate existing global industrial operations within a stable, long-term investment environment.

Under the agreements, a land lease has been secured in Sohar Free Zone, along with a sub-usufruct agreement in Sohar Port. This establishes a dual-site development model linking port-based logistics with manufacturing activities in the free zone under a unified regulatory and operational framework.

The industrial complex will span a total area of 65.5 hectares, including 11.9 hectares within Sohar Port and 53.6 hectares in Sohar Free Zone. This configuration enables storage, handling and the direct transfer of raw materials to manufacturing facilities through a dedicated pipeline network.

Emil Hochstedden, Chief Executive Officer of Sohar Port, said the project reflects a strategic decision to relocate to an operational environment capable of supporting complex industrial operations efficiently and reliably over the long term. He noted that Sohar Port and Freezone offers an integrated model combining infrastructure, logistics and industrial manufacturing within a single system, a critical factor in decisions to move global industrial projects.

Speaking to the Oman News Agency, Hochstedden said the complex is expected to supply markets across the Middle East, Africa, Asia and Europe with PTA and PET products. These materials are widely used in packaging, polyester fibres, plastic films, textiles, coatings and other advanced industrial applications, placing the project firmly within multiple global demand chains.

He added that the project strengthens the port’s operational value, with raw materials imported through the port, stored using specialised infrastructure, and transported directly to manufacturing sites via pipeline networks, reducing logistical complexity while improving safety and efficiency.

Reports from the ICIS Chemicals and Energy Group indicate that additional raw materials, including monoethylene glycol and acetic acid, will also be imported through Sohar Port and transported via dedicated pipelines passing through Advario’s storage facilities, reflecting the depth of the integrated industrial ecosystem at the port and free zone.

Raed bin Mohammed Al-Rubaie, Chief Executive Officer of Sohar Free Zone and Deputy CEO of Sohar Port, said the land lease agreement reinforces Sohar Free Zone’s position as a major hub for strategic manufacturing industries with sustainable economic impact. He noted that the project supports the objectives of Oman Vision 2040 by strengthening industrial diversification, increasing local added value and promoting export-led growth.

At the regional level, Al-Rubaie said the project further consolidates Sohar Port and Freezone’s role as an advanced industrial and logistics gateway linking global supply chains with high-value manufacturing. Locally, it contributes to converting raw materials into high-value industrial products, expanding the export base and deepening national industrial capabilities.