India’s Associated Group, which has interests in downstream metals processing, aluminium fabrication, mining, logistics and renewables plans to establish a calcined lime project in Salalah Free Zone.

The proposed venture, estimated to involve an investment of USD 10 million is the latest in a series of industrial projects that are due to come up in the free zone adjoining the Port of Salalah.

The Mumbai based group’s newly established subsidiary, Associated Industries Limited SFZ will develop the project on a 40,000 square meter plot within the free zone. A lease agreement to this effect has already been concluded with the Salalah Free Zone authority.

According to reports appearing in the Indian media over the weekend, the Salalah project will be partly funded through equity contributions with the remainder provided by the promoters. The plant is targeted to be brought into production in the Q4 of next year.

Importantly, it is expected that limestone the basic raw material for calcined lime production will be sourced from Dhofar Governorate, currently a major producer of limestone for the Indian steel industry. Several millions of tonnes of limestone are exported every year via the Port of Salalah to the Indian sub continent with volumes projected to rise as construction work on the logistics hub’s new General Cargo Terminal is completed by 2014.

Converting limestone into calcined lime is also seen as value addition to Dhofar’s prolific mineral wealth. Associated Industries’ Salalah plant capacity is fixed at 132,000 tonnes per annum of calcined lime a product with extensive application not only steel manufacturing, but also in the non-ferrous, chemical, construction and environment industries. Calcined lime is also used for acid neutralization, flue gas treatment, as flux in the metallurgical industry, in sugar refining and so on.

Source - Omanet.om

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