AGP Executive Report

Strait of Hormuz & Shipping Fees: Iran’s ambassador to China says Tehran will charge “service fees” to ships after a 60-day free period, while insisting the charges are not a “toll” and that “friendly” countries could get special treatment; he also links the plan to security, vessel supervision and environmental impacts, with Oman named in “new arrangements.” Freedom of Navigation Debate: A separate analysis warns the US-Iran framework could weaken global freedom of navigation if wording allows restrictions beyond the initial period. Oman Water Security: Nama Water Services awarded a 15-year, RO 900m performance-based contract (Suez-led consortium) to run water and wastewater services for 2.3m people and cut unaccounted-for water losses. Seawater Monitoring CSR: PDO will sign CSR deals worth over RO 3m, including an early warning system to monitor seawater quality. Road Safety Update: ROP allows vehicle window tinting up to 50% (front windshield must stay clear), balancing comfort with visibility. Climate & Tourism Pulse: Oman recorded July 2025 average temperatures of 33.9°C with humidity at 54.7%; Dhofar’s Khareef is drawing early visitors, while Al Hamra’s Eastern Mountain runs summer events until Aug 30. Recognition for Risk & Safety: An Omani transport professional won a top London award for risk management leadership across strategic logistics projects.

PDO CSR Push: Petroleum Development Oman will sign RO 3m+ social and environmental CSR agreements covering education, health, youth skills, and an early warning system to monitor seawater quality, plus new hospital facilities. Water Sector Upgrade: Nama Water Services awarded a 15-year, RO 900m performance-based contract (with Suez and local partners) to run water and wastewater services for 2.3m people and cut non-revenue water losses. Food Security Planning: Oman’s agriculture ministry joined a GCC meeting reviewing a study for strategic storage zones for food and essential supplies to strengthen regional preparedness. Khareef Tourism Kickoff: Dhofar’s Khareef season is building momentum as early visitors arrive, with Salalah’s sea, mountains, mist and family spaces drawing Gulf and Omani travellers. Climate Snapshot: Oman recorded an average July temperature of 33.9°C with 54.7% humidity, underscoring the need for summer planning and resilience. Tourism & Nature: Eastern Mountain in Al Hamra is running summer events until Aug 30, blending cooler outdoor experiences with community and SME activities. Waste Awareness: Muscat Municipality launched a campaign urging residents to dispose of waste properly under “Your Environment, Your Responsibility.” Regional Energy Ties: The National Energy Centre highlighted Oman–France agreements during Sultan Haitham’s visit, including major water cooperation.

Strait of Hormuz Tolls vs. Oman Role: Iran says it will manage Hormuz navigation with Oman and push a “service fee” on ships, while the US tries to steer talks toward a deal that includes unfreezing part of $100bn in Iranian funds instead of tolls. Regional Diplomacy: Saudi’s deputy foreign minister unexpectedly attended Ayatollah Ali Khamenei’s funeral in Tehran, signaling cautious outreach amid Gulf tensions. Oman’s Environment Watch: Oman’s Environment Authority says there was no oil spill from a stranded vessel near the Hallaniyat Islands, after earlier concerns. Oman Food Security: Oman expects 9,000 tonnes of locally grown wheat this year. Green Shipping Push: ACME Green Molecules and Mitsubishi Gas Chemical signed a $1bn deal to supply green methanol for marine fuel, aiming at lower lifecycle emissions. Oman Finance & Resilience: S&P assigned OQEP its inaugural BBB- credit rating, supporting investor confidence in Oman’s energy transition.

Strait of Hormuz & Shipping Security: Oman and Iran have put forward a proposal to the U.S. on how the Strait of Hormuz could be administered, including joint collection of administrative fees, as talks continue amid competing views on “mandatory” tolls versus voluntary maritime service charges. Regional Defence Cooperation: CENTCOM hosted a 12-nation security dialogue in Bahrain, with Oman among participants, focused on strengthening air and missile defence coordination and keeping commerce flowing through the Strait. Oman Water Security: Nama Water Services awarded a 15-year, RO878mn performance-based contract to a SUEZ-led consortium to run and maintain water and wastewater services for 2.3 million people, including smart meters, pipeline operations, and upgrades to desalination and treatment plants. Food Security in Oman: Oman Flour Mills expects about 9,000 tonnes of locally grown wheat from roughly 54 farmers this harvest season, with nearly half already received. Sustainable Agriculture Design: Foster + Partners and Omani consultancy Dar Al-Handasah unveiled designs for Al Najd Agricultural City in Dhofar, a self-sustaining, farm-cluster development built around shade nets and agrivoltaics. Local Business Boost: Oman’s MoCIIP launched a summer retail promotion campaign, “Live the Vibe,” running July 1 to August 31 to drive consumer spending and tourism-linked activity.

Food Security in Focus: Oman Flour Mills expects about 9,000 tonnes of locally grown wheat in the 2026 harvest, with nearly half already received from around 54 farmers—a sign of expanding domestic cultivation and improving supply know-how. Water & Environment Infrastructure: Nama Water Services awarded a 15-year RO878mn performance-based contract to a SUEZ-led consortium to run and maintain water and wastewater services for 2.3 million people, including major pipeline, smart-meter and desalination plant upgrades. Industrial Resilience: OCCI’s Industry Committee is pushing for an emergency fund to help factories during crises, plus plans to treat industry as a priority sector in emergencies and improve coordination with ports and government bodies. Retail & Tourism Boost: MoCIIP launched the “Live the Vibe” summer discounts campaign (July 1–Aug 31) to lift consumer activity and support domestic tourism. Climate/Energy Transition: Oman and France signed deals in Paris for renewables, energy storage and digital infrastructure, including a major pumped-hydro project and a 500MW solar plant. Marine Safety & Pollution: Environment Authority confirmed no oil spill from a stranded vessel near Hallaniyat Islands. Strait of Hormuz Governance: Oman reiterated it does not support mandatory transit fees, while discussions continue around possible service charges tied to navigation and safeguards.

Strait of Hormuz Security: France says it’s still pushing a multinational demining effort for Hormuz, despite Iran calling it provocative, as US–Iran talks in Doha continue with no clear breakthrough. Regional Defense Coordination: CENTCOM led a 12-nation security dialogue in Bahrain, with Oman among attendees, pledging to protect the free flow of trade through Hormuz. Ceasefire and Finance: Fitch warns GCC banks’ resilience hinges on whether the US–Iran ceasefire holds and avoids major damage or a prolonged Strait closure. Oman’s Environment Response: Oman’s Environment Authority confirmed no oil pollution after a vessel ran aground near the Hallaniyat Islands, with seawater samples tested and monitoring ongoing. Renewables and Storage: Oman and EDF-led consortia signed deals for a 500MW solar plant and a 2GW pumped-hydro storage project at Wadi Dayqah, aiming to boost grid stability and clean energy integration. Energy Supply Chains: Oman’s Ministry of Energy and Minerals launched a digital initiative to improve energy-sector procurement, local content tracking, and governance. Shipping Fees Debate: Oman’s stance on Strait of Hormuz service fees remains in focus as the US urges Iran to drop transit-fee plans.

Energy Supply Chains: Oman’s Ministry of Energy and Minerals launched a digital initiative to modernise energy-sector supply chains, aiming for end-to-end visibility, better procurement and contract management, stronger governance, and AI-driven insights—starting with Petroleum Development Oman and later expanding to other energy firms. Strait of Hormuz Security: US CENTCOM hosted a 12-nation security dialogue in Bahrain focused on keeping commercial shipping flowing through the Strait of Hormuz, with Oman among the participants; Iran’s deputy foreign minister also rejected the US-led framework, saying Hormuz is under Iran’s command. Oman–Iran Talks: US and Iran held indirect technical talks in Doha, with reports of progress and a plan to open a communication channel, while disagreements over implementation remain. Water Services Deal: SUEZ won a major water and wastewater services contract in Oman worth about RO 900 million for long-term operations serving 2.3 million people. Plastic Waste Cut: Oman expanded its single-use plastic bag ban from July 1 to more retail sectors, including jewellery, furniture, vehicle dealerships and car care centres. Food Security: A Nizwa project is cultivating about 9,000 papaya trees to boost local production and reduce transport losses. Environment Education: Oman’s Environment Authority wrapped up a school environment protection competition with over 1,000 students taking part.

Oman-France Economic Push: Sultan Haitham met France’s Macron at the Élysée, with both sides signaling deeper business ties and major contracts, as Oman’s neutrality faces new pressure from Hormuz geopolitics. Strait of Hormuz & Shipping Rules: Oman reiterated it rejects transit fees for ships, while leaving room for “maritime service” charges; the wider Hormuz standoff is also driving mine-clearing planning and raising shipping risk concerns. Plastic Waste Cuts: Oman expanded its single-use plastic bag ban from July 1 to more retail sectors, adding jewellery, furniture, vehicle and car-care outlets to the list. Clean Power for Cooling & Storage: Oman’s solar hybrid cooling push (VOLTOVA) targets high summer electricity demand, while EDF-led plans include pumped hydro and solar projects to strengthen grid stability. Food Security in Focus: A Nizwa papaya project is cultivating 9,000 trees to support steady local supply, and Oman’s agriculture push continues beyond. Khareef Dhofar Readiness: Civil Defence and Ambulance deployed a first reinforcement contingent ahead of Khareef, alongside Dhofar road maintenance works worth over OMR14mn to improve safety and access.

Strait of Hormuz Policy: Oman says it does not support transit fees for ships using the Strait of Hormuz, but is open to “voluntary” maritime service charges tied to navigation safety, pollution protection and emergency response—while stressing freedom of navigation under international law. Plastic Reduction: Oman begins the fifth phase of its single-use plastic bag ban from July 1, extending coverage to more retail activities including furniture, jewellery and car-related businesses. Renewables Boost: Oman awards 2 GW pumped hydro storage and 500 MW solar PV projects to an EDF-led consortium, aiming to strengthen grid stability and accelerate clean energy. Climate Resilience Water Works: Oman invites bids for the Wadi Al Khoudh flood-protection dam under a $600m climate resilience programme supported by the Islamic Development Bank. Nature & Community: Oman’s hiking scene is growing fast, with local groups pushing safer, more sustainable adventure tourism that links outdoor activity to conservation. Workplace Heat Safety: Oman’s Labour Ministry intensifies summer worksite safety measures, enforcing a midday work ban at open sites to prevent heat stress and heat-related injuries.

Strait of Hormuz Policy: Oman’s Foreign Minister Sayyid Badr bin Hamad Al Busaidi said Muscat will not support mandatory transit fees for ships through the Strait of Hormuz, arguing such charges are barred under international law, while leaving the door open to voluntary fees for maritime, environmental and navigation services. Shipping Security: The dispute comes as Iran and the US trade strikes around the strait and delegations head to Qatar for talks, keeping pressure on global sea trade and marine safety. Renewables & Storage: Oman and EDF Power Solutions signed renewable and energy storage deals in Paris, including a 2,000MW Jabal Abyad pumped hydro project and a 500MW Al Kamil solar PV plan, aimed at boosting grid stability and clean power. Water Services: SUEZ won a RO 900 million, 15-year performance-based water and wastewater operations contract for Muscat and parts of South and North Sharqiyah, with a water loss reduction target. Smart Infrastructure: Oman’s Ectron (NEC) partnered with France’s Sagemcom to localise smart electricity and water meter production, while Karwa Motors and eMushrif signed an MoU for smart transport technologies. Environment Governance: Oman’s Environment Authority urged climate-licensed firms to register on the Manakh platform, and OQEP earned UK Gold CSR accreditation.

Strait of Hormuz Governance: Oman’s foreign minister Badr al-Busaidi says Muscat opposes any transit fees for ships through the Strait of Hormuz, but is open to voluntary maritime service charges tied to safety, emergency readiness and anti-pollution measures. Maritime Security: The 60-day US-Iran interim ceasefire remains fragile as Iranian drones and projectiles hit commercial vessels near Oman, prompting renewed US strikes and raising shipping risk and insurance costs. Oman-France Cooperation: Sultan Haitham and France’s Macron signed 12 agreements in Paris, including logistics and port cooperation, while Macron also raised mine-clearing plans for Hormuz—prompting pushback from Iran. Clean Energy & Industry: Oman LNG marked the first cargo voyage aboard “Muscat LNG,” while L&T won FEED work for a 2.5 Mtpa green iron project and GUtech unveiled a 3D-printed green hydrogen lab in Muscat. Water & Food Security: SUEZ secured a €2bn contract to run Muscat water and wastewater services, and a South A’Sharqiyah shrimp farm targets 3,200 tonnes in 2026.

Water Security & Infrastructure: Suez, with Omani partners National Trading Company and National Energy Center, won a €2bn ($2.3bn) 15-year performance contract from Nama Water Services to run and maintain Muscat’s water and wastewater systems for about 2.3 million people, including desalination plants, wells, pipelines, smart meters, and 22 wastewater treatment plants, with targets to cut water losses from 34% to 11% by 2040. Clean Energy & Industry: GUtech in Muscat unveiled Oman’s first 3D-printed green hydrogen lab (322 sq m), built for research and education on clean hydrogen technologies and life-cycle impact studies. Solar Procurement: Oman’s Nama Power and Water Procurement launched an RFQ for 1GW solar-plus-storage (Adam) and 500MW solar PV (Sinaw), with battery storage planned to improve grid stability and enable more renewables. Shipping & Marine Environment: Oman denies backing compulsory Strait of Hormuz transit fees, saying any cooperation would be voluntary and focused on maritime safety, environmental protection, and emergency response—while US-Iran “stand down” talks continue amid renewed flare-ups. LNG Export Milestone: Oman LNG began its first commercial LNG shipment aboard the new Muscat LNG carrier, designed for efficiency, safety, and lower emissions. Low-Carbon Transport: Electric trucks are expanding in Oman, including electric prime movers for Oman Flour Mills and electric container trucks at Sohar Port to cut emissions and noise.

Strait of Hormuz Security: Fresh US-Iran strikes are again rattling the fragile ceasefire, after an Iranian drone attack damaged the Panamanian-flagged tanker Kiku and the US hit Iranian military surveillance, communications and air-defence sites; Iran then retaliated with drone and missile attacks on Bahrain and Kuwait, threatening a “complete halt” to talks. Shipping & Environment Watch: A US-linked maritime body says it will expand a route near Oman for inbound and outbound traffic, while the UN paused ship evacuations after a vessel was hit—raising new risks for crews and for oil and gas flows that matter to Oman’s environment and economy. Oman’s Energy Moves: Oman LNG launched its first shipment aboard the new “Muscat LNG” vessel, while Integrated Gas Company signed new spot gas market agreements to improve supply flexibility and support cleaner gas use. Wildlife Protection: Oman’s Environment Authority foiled an attempt to smuggle an endangered Omani spiny-tailed lizard through Muscat airport and warned of criminal penalties. Food & Biodiversity: Oman’s Mango Gene Bank in Sohar is expanding conservation of mango genetic resources, supporting agricultural biodiversity and future resilience.

Strait of Hormuz Tensions: Iran launched drone and missile attacks on Bahrain and Kuwait after new U.S. strikes, warning talks could be halted “completely,” as both sides clash over who should oversee Strait of Hormuz transits—while the U.S. plans to expand a route off Oman, keeping shipping security and energy flows in the spotlight. Clean Transport Push: Oman’s logistics is getting greener with electric trucks—Oman Flour Mills received an electric prime mover and Sohar Port launched its first fleet of electric container trucks—aimed at cutting emissions, noise, and operating costs. Wildlife Protection: Oman foiled an attempt to smuggle an endangered Omani spiny-tailed lizard at Muscat Airport, with legal action initiated under wildlife protection rules. Food Security & Biodiversity: Sohar’s Mango Gene Bank preserves 252 mango varieties to safeguard crop genetic resources, supporting agricultural biodiversity and future breeding. Tourism & Environment: Oman Air signed the Buckingham Palace Declaration to join a global taskforce against illegal wildlife trade, while Omran Group highlighted major upscale resort developments and tourism investment momentum.

Wildlife Crime in Oman: Oman’s Environment Authority, with Royal Oman Police and the Agriculture ministry, arrested a suspect at Muscat International Airport for trying to smuggle endangered spiny-tailed lizards, a CITES-listed species, and launched legal action under wildlife trade laws. Plastic Pollution Crackdown: Oman’s fifth phase of the plastic shopping bag ban starts from 1 July 2026, widening coverage to furniture, dagger shops, gold and silver retailers, car care centres and vehicle dealerships, pushing approved reusable alternatives. Strait of Hormuz Pressure on Environment & Shipping: As Iran-US tensions flare, multiple reports say a ship was hit near the strait and UN/IMO maritime safety steps were disrupted, while Oman signals possible fees for services in the waterway—raising fresh concerns for marine safety and pollution response. Oman-France Cooperation: Sultan Haitham begins a two-day official visit to France, with deals/projects expected in water treatment, environment, transport and the energy transition. Sports & Youth: Oman Cricket chairman Pankaj Khimji hailed Oman’s all-Omani men’s team for qualifying for the Asian Games, calling it a defining moment for local talent.

Strait of Hormuz Security: Iran launched drones targeting Bahrain while a tanker was hit by an unidentified projectile in the Strait of Hormuz after US airstrikes on Iranian sites, renewing fears for shipping safety even as diplomacy continues. Maritime Risk for Oman: UKMTO said the crew was safe and no environmental damage reported, while a US-linked maritime body expanded a route near Oman—raising the odds of fresh friction. Diplomacy vs. Wording: Oman and Iran discussed future administration of navigation, services and “associated costs” through a joint working group, as Washington insists no arrangement should turn the chokepoint into a permission-based corridor. Oman Trade Watch: Oman’s non-oil exports hit OMR1.611bn in Q1 2026, with chemicals and base metals leading growth. Plastic Controls: Oman expanded its plastic shopping bag ban to more categories, tightening rules to cut waste harming land and marine ecosystems. Clean Energy Push: Nama launched an RFQ for 1,500MW of solar projects, and IGC signed new spot gas market deals to boost flexibility.