Vale and Jinnan Iron & Steel Group have partnered to build an iron ore concentration plant at Oman’s Sohar Port and Freezone. With an initial investment of over $600 million, the facility aims to supply premium iron ore for pellet and briquette production, a key step toward low-carbon steel manufacturing. Scheduled to begin operations by mid-2027, the plant will process 18 million metric tons of ore annually to yield 12.6 million tons of high-grade concentrate.
Vale will contribute $227 million to link the new plant to its existing facilities, while Jinnan plans a $400 million investment to build, own, and operate the plant. “This plant strengthens our presence in the Middle East and meets global demand for high-grade iron ore,” said Vale President Gustavo Pimenta. Zhang Tianfu, CEO of Jinnan Iron & Steel Group, highlighted that the partnership combines Jinnan’s expertise in low-carbon steel production with Vale’s established proficiency in iron ore, aiming to bring innovation and efficiency to steelmaking in the region.
