Alara and its joint venture (JV) partner Al Naba Group have been granted a mining license for their Al Hadeetha copper project in Oman.
Alara Resources reported on a public ceremony at which the Public Authority for Mining (PAM) of Oman named Al Hadeetha Resources as the recipient of the first copper mining licence since 2004 and identified the beginning of a new chapter for copper mining in the Sultanate.
Over 100 government authorities, community leaders, VIPs and other honoured guests attended an official launch of the Al Hadeetha Mining licence, hosted by the Public Authority for Mining last week.
The event received widespread media coverage in Oman1, including every major newspaper, plus television and social media reports, boosting the profile of the Project and the future of copper mining in Oman.
Dr. Salim Al Mahrougi, Director General for Minerals Investment Affairs, gave the opening address.
He highlighted the rich history of copper mining in the Sultanate, the significance of Al Hadeetha Resources being the first company in Oman to receive a copper mining licence in 14 years and signalled further opportunities for working together to develop copper opportunities in Oman.
Alara’s JV partner Sayyid Khalid bin Hamed Al Busaidi, Chairman of the Al Naba Group, graciously recognised his partnership with Alara and the >US$11m (~AUD$15m) investment made in the Project thus far.
Alara Managing Director Mr Justin Richard was introduced to deliver the concluding address. Mr Richard’s presentation gave an overview of the Project history, highlighting Alara’s seven years of work which had led to this point. He also highlighted the global growth in copper usage and what that meant in terms of improved Project economics and the future of copper mining in Oman.
Mr Richard Delivering the Concluding Address
After the meeting, His Excellency, Eng. Hilal Al Busaidi, CEO of the PAM, spoke to media identifying the benefits of the Project to the economy of Oman and as a catalyst to future growth and development.
The Company is very pleased to be working closely with PAM at a time when the Sultanate is so focused on developing the mining sector, particularly copper.
Alara is now focused on the appointment of the EPC contractor and the execution of financing terms.
Mr Riad Faour, CEO of Progesys has been working closely with Alara’s management team and the EPC bidders to finalise the award.
Mr Venkat Ganesan, Managing Director of Avalon Global has also been engaged and is working closely with Alara on the financing side. It is noted that the first instalment payment under the offtake agreement (announced 23 March 2017) has now been received. This is an important period of advancement for the Company and further announcements, including updates on the status of its MOUs and other agreements are expected to follow shortly.