National Bank of Oman to lend financial aid to Sohar Aluminium for operational development

On Monday, February 19, the National Bank of Oman (NBO) agreed to provide a working capital facility worth US$50 million to Sohar Aluminium Co. LLC for its operational requirements.

The news came after Abdullah Al Hinai, Chief Executive Officer at the National Bank of Oman, and Engr Said Mohamed Al Masoudi, CEO of Sohar Aluminium, signed an agreement to attain mutually advantageous goals while contributing to the overall economic development of the Sultanate.

The agreement represents NBO's commitment to help its corporate clients with banking and financial services. A working capital facility valued at US$50 million will substantially elevate Sohar Aluminium's operational capabilities.

Ghadeer Iqbal Al Lawati, Assistant General Manager - Head of Project Finance and Syndication at National Bank of Oman, said: "At National Bank of Oman, our unwavering focus remains on supporting the financial requirements of both local and multinational corporates. We are pleased to provide our support to Sohar Aluminium through this substantial working capital facility. This strategic partnership underscores our commitment to strengthening connections with pivotal industry players, fostering economic growth, and solidifying our position as the preferred financial partner in Oman. It signifies our ongoing efforts in propelling economic development through impactful collaborations."

Commenting on the collaboration with NBO, Sohar Aluminium's Chief Financial Officer Ricardo Santana said, "We are pleased to reestablish our relationship with NBO, which was our partner for several years in the early period post-inception of the plant. The realisation of this agreement underscores the trust placed in our robust operations and strong balance sheet. ⁠The Working Capital Facility signed recently will support Sohar Aluminium in its cash management strategy, which is vital for the stability of our operations. Perhaps this is the start of a new chapter in our relationship with NBO."

Established in 2004, Sohar Aluminium is the first smelter in the Sultanate of Oman. It is jointly owned by OQ S.A.O.C., Abu Dhabi National Energy Company PJSC (TAQA),‎ and Rio Tinto. The smelter produces more than 390,000 tonnes of high-quality aluminium in a year.