A worker wearing a white safety helmet with the Vale logo, protective glasses, and headphones. He is dressed in a green shirt and has a radio attached to his shirt. In the background, there is an industrial structure with a yellow railing.
Photographer: Marcelo Coelho
A worker wearing a white safety helmet with the Vale logo, protective glasses, and headphones. He is dressed in a green shirt and has a radio attached to his shirt. In the background, there is an industrial structure with a yellow railing.
Photographer: Marcelo Coelho

Vale in Oman | Pelletizing, ESG, and Local Development in the Sultanate of Oman

Since 2007, Vale has operated in the Sultanate of Oman through Vale Oman Pelletizing Company (VOPC) — a joint venture with OQ (formerly Oman Oil Company) — and the Vale Oman Distribution Center (VODC), a joint venture with a subsidiary of Apollo Global Management. Together, these companies operate a pelletizing plant with an annual production capacity of 9 million tons of pellets and a distribution center at the Port of Sohar, capable of distributing up to 40 million tons of iron ore and pellets per year to Europe, Asia, and Africa.

Throughout the years of this partnership, Vale has created business opportunities that generate jobs, develop talent, strengthen the local supply chain, and contribute to the country's economic diversification. International recognition of this partnership came in 2013, when the Government of Oman was recognized by the United Nations for excellence in promoting export-oriented foreign investment, and Vale’s operations in the Sultanate were used as an official case study. 

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Where are we located?

Vale operates in Oman at the Sohar Industrial Port and Freezone through two complementary facilities:

  • Vale Oman Pelletizing Company (VOPC) — pelletizing plant.
  • Vale Oman Distribution Center (VODC) — logistics hub.

Vale also operates at the Port of Sohar, the only deep-water port in the Middle East capable of receiving Valemax vessels, which have a carrying capacity of 400,000 tons. Vale’s berth, located outside the port basin, operates with advanced technology to ensure safe maritime operations.

The image shows two individuals standing in what appears to be an office or professional setting with glass walls and doors. The faces are blurred for privacy. One person is wearing a light green short-sleeved shirt and jeans, while the other is dressed in traditional attire with a head covering.

Photographer: Marcelo Coelho

What do we do?

The image shows an industrial complex with various structures, including large buildings, chimneys, pipes, and machinery. The area appears to be a manufacturing or processing plant with multiple interconnected components and pathways.

Pellet Production

Production of high-grade compact iron ore pellets used in steelmaking processes with lower carbon emissions. The plant has an installed capacity of 9 million metric tons per year, resulting from a US$1.25 billion investment in its construction, along with an additional US$350 million allocated to support local suppliers during project development.

The image shows an industrial facility with multiple interconnected structures, including a prominent red tower on the left side and several conveyor belts and metal frameworks. Various pipes, platforms, and walkways are visible throughout the complex. The background includes additional buildings and industrial equipment.

Global Distribution

The Port of Sohar, strategically located between Europe, Asia, and Africa and capable of handling large vessels, enables the annual distribution of up to 40 million tons of iron ore and pellets.

The image shows an industrial facility with multiple interconnected structures, including a prominent red tower on the left side and several conveyor belts and metal frameworks. Various pipes, platforms, and walkways are visible throughout the complex. The background includes additional buildings and industrial equipment.

Local Supply Chain Development

Vale values its relationship with local suppliers through engineering, human resources, and maintenance contracts, creating new revenue opportunities for the supply chain surrounding the Sohar complex and contributing to the economic diversification of the Sultanate.

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The History of Vale in Oman

Beyond Operations

Vale’s operations in Oman comply with the Sultanate’s environmental regulations and are aligned with the company’s global climate commitments, as published in Vale’s 2025 Annual Report:

• Reduce Scope 1 and Scope 2 emissions by 33% by 2030.

• Achieve net-zero Scope 1 and Scope 2 emissions by 2050.

• Reduce Scope 3 emissions by 15% by 2035.

As part of these commitments, Vale announced that the Sohar pelletizing plant will be powered entirely by renewable electricity by 2030.

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Social Responsibility and Commitment to the Community

Vale is committed to the development of all communities where it operates. In Oman, since 2012, these efforts have been supported by Jusoor, a non-profit organization that manages Vale’s social investments in the Sultanate.

Through long-term partnerships and targeted initiatives, Jusoor works in the following areas: 

In addition to Jusoor, Vale has independently invested over US$ 9 million in key social projects and community development initiatives. These investments underscore our dedication to making a positive, lasting impact on the communities we operate in, supporting education, health, infrastructure, and cultural preservation.

· Liwa Slaughterhouse Project: Fully funded by Vale, this project supports public health and infrastructure development in Liwa. Jusoor oversaw the design and construction of a modern slaughterhouse equipped with advanced machinery and systems, ensuring safe, efficient processing and proper disposal of slaughter waste.

· Pedestrian Overpass Bridge: In response to strong community demand and rising safety concerns, Vale completed a pedestrian overpass near Sohar Port — a high-traffic area frequently used by employees, including those from Vale. The bridge addresses the risks of crossing the main road, particularly after the removal of a connecting roundabout.

· Liwa Walkway: In collaboration with Liwa Municipality, Vale developed a 1.5 km landscaped walkway complete with seating areas. The project responded to strong community demand, offering residents a safe and dedicated space for daily walks and social interaction.

· 3D Artificial Reef – Liwa: In partnership with the Ministry of Agriculture, Fisheries and Water Resources, Vale deployed 3D-printed artificial reefs off the coast of Liwa. The project enhances marine biodiversity and supports sustainable fishing practices, benefiting local fishermen and the coastal ecosystem.

· Tatweer Youth Development Program: Launched by Vale, Tatweer is a CSR initiative designed to inspire and equip young Omanis with leadership and entrepreneurial skills. Through expert-led sessions and interactive workshops, the program supports youth in building capabilities that contribute to a knowledge-based, sustainable economy.

 

Frequently Asked Questions

Vale established its operations in the Sultanate of Oman in 2007, with a total investment of US$2 billion to develop a pelletizing plant and a distribution center at the Sohar Industrial Port and Freezone—making Oman Vale’s main distribution hub in the Middle East.

Vale operates in Oman at the Sohar Industrial Port and Freezone through two facilities: Vale Oman Pelletizing Company (VOPC), a pelletizing plant with a capacity of 9 million metric tons per year, and the Vale Oman Distribution Center (VODC), a logistics hub that handles up to 40 million tons of iron ore and pellets annually.

The Port of Sohar is the only deep-water port in the Middle East capable of receiving Valemax vessels, which have a carrying capacity of 400,000 tons.

Vale operates with two main iron ore products in Oman.

The first is direct reduction pellets, produced at the Sohar complex, with a capacity of 9 million metric tons per year. The plant uses state-of-the-art technology to ensure high compression strength, low abrasion, and consistent product quality.

The second product is iron ore fines. This material is an unprocessed product distributed directly through the Distribution Center, which handles up to 40 million tons per year through the Port of Sohar.

Vale Oman Pelletizing Company (VOPC) has an installed capacity of 9 million metric tons of pellets per year, resulting from an investment initiated in 2009.

The Vale Oman Distribution Center (VODC) has an annual distribution capacity of up to 40 million tons of iron ore and pellets destined for markets across Europe, Asia, and Africa.

Since 2012, Vale has funded its social investments in Oman through Jusoor, a non-profit organization that supports communities surrounding the Sohar complex.

Jusoor’s initiatives focus on education and professional training, access to healthcare services—including dialysis treatment—environmental conservation projects, and programs aimed at improving quality of life.

In 2013, the Government of Oman was recognized by the United Nations for excellence in promoting export-oriented foreign investment, and Vale’s operations in the Sultanate were used as an official case study.