Investcorp Pledges $500M for Oman's Duqm Port Growth.

Investcorp, the Middle East's largest alternative investment firm, announced on Monday its agreement to invest in the $550 million expansion of the Port of Duqm in Oman. This move signifies the firm's deepening commitment to regional infrastructure assets.

The investment will be made through Investcorp's infrastructure platform, Investcorp Aberdeen Infrastructure Partners (AIIP). AIIP will join a consortium of shareholders for the project, which includes the Port of Duqm Company, the DEME Group, and Port of Antwerp Bruges.

Located on Oman's southwest coast, the Port of Duqm is strategically positioned near major oil and gas projects and functions as a versatile hub handling various types of cargo, including containers, dry and liquid bulks, and general cargo.

The ambitious expansion project is set to encompass significant marine infrastructure works, extensive dredging, and the construction of a new quay wall. This new infrastructure is specifically designed to support a planned low-carbon industrial initiative focused on green steel production.

Oman, a non-OPEC oil producer, is actively pursuing economic diversification strategies to reduce its reliance on hydrocarbon revenues. As part of these efforts, the country is investing heavily to meet its decarbonization targets, including an aim to produce at least 1 million metric tons of renewable hydrogen annually by 2030, according to a 2023 report by the IEA.

Investcorp stated that its AIIP platform secured the mandate to invest in the Port of Duqm project following a "competitive process."

Founded in Bahrain in 1982, Investcorp manages assets valued at $55 billion. While historically known for its involvement with luxury brands like Gucci and Tiffany & Co, the firm has expanded its focus to include private credit and assets such as infrastructure.