MUSCAT — Development Bank has agreed a financing package worth RO3.6 million with the Middle East Calcined Clay Company (MECC) to build a factory producing low-carbon construction materials on the Suhar Industrial Estate.
The project supports the Bank’s mandate to finance enterprises that advance national industrialization while strengthening Oman’s position in emerging green industries. It focuses on the production of Supplementary Cementitious Materials (SCMs) which are gaining momentum worldwide as the construction sector seeks to curb one of the most carbon-intensive industrial processes.
Cement manufacturing is estimated to account for about 8% of global CO₂ emissions. SCMs which partially replace cement in concrete production offer a cost-effective way to reduce that footprint without compromising structural performance. Global investment in SCM technology has more than tripled since 2018, reflecting a move toward low-carbon building solutions across advanced and developing economies alike.
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MECC’s new facility will use a blend of limestone and natural components to produce materials that cut emissions by more than 40% compared with conventional cement. The factory will package and distribute its products to domestic and export markets, meeting rising demand for eco-efficient building materials.
Hussain Al Lawati, CEO, Development Bank said: “Backing companies that innovate in the green space is central to our mission. The construction industry worldwide is under pressure to decarbonize and Oman has the talent and resources to lead in producing cleaner alternatives. The MECC project demonstrates how industrial growth and environmental responsibility can reinforce each other.”
The project was selected as part of the Bank’s drive to support scalable, research-based ventures capable of transforming traditional industries. Alongside SCMs, the factory will produce Omani Sarooj, a traditional binding material used in the restoration of castles and forts, securing local supply for heritage projects and opening potential export markets for conservation materials.
Development Bank continues to align its financing with projects that combine innovation, productivity and sustainability. By backing industries that turn environmental efficiency into competitive advantage, the Bank aims to make sustainability a foundation of future industrial growth.
