Brazilian miner Vale is progressing toward a final investment decision this year on a $5 billion low-carbon steel mega hub in the Duqm Special Economic Zone in Oman, intended to make the country a major producer of green steel and enhance its industrial diversification strategy, according to media reports.
The project aims to create an integrated low-carbon steel production complex that leverages Oman’s strategic location, access to energy resources and logistics infrastructure. The facility is expected to support both domestic demand and exports to global markets.
The Duqm steel hub will contribute to the country’s broader economic diversification goals by creating high-value industrial capacity outside the oil and gas sector, creating jobs and stimulating downstream manufacturing activity.
A key component of the project is its low-carbon focus; developers plan to incorporate advanced steelmaking technologies that reduce greenhouse gas emissions compared with conventional integrated steel plants.
Broader regional impact
The Duqm mega hub is also expected to boost Oman’s position as a manufacturing and logistics hub in the Middle East and North Africa, supporting export corridors across Asia, Africa and Europe. If realized, the facility could serve as a model for future low-carbon industrial clusters in the region.
