SPMP Oman Antimony Smelter Sale Could Reshape Non-China Supply Options

SPMP

SPMP Oman antimony smelter ownership could change as Strategic & Precious Metals Processing seeks either a buyer for the Sohar asset or an operator to manage production. The move comes as antimony buyers look for secure processing capacity outside China.

SPMP Oman antimony smelter capacity is strategically important because the plant can produce around 20,000 t/yr of metallurgical and trioxide-grade antimony. This includes up to 10,000 t/yr of antimony trioxide.

SPMP Oman antimony smelter operations have been idled since the start of 2024. The shutdown removed a major alternative supply source from a market already facing tight concentrate availability and stronger strategic demand.

At full utilisation, the Sohar plant could account for roughly 12% of global antimony metal production. That gives any restart, sale or operating partnership clear market significance.

Feedstock Security Will Decide Restart Potential

The main challenge for SPMP is not only ownership. It is feedstock security.

The company does not own an antimony mine, so any sustainable restart will depend on securing a steady flow of concentrate. This is difficult in a market where concentrate supply is tight and producers are increasingly cautious about origin, pricing and long-term availability.

The Sohar roaster was designed as a major non-China processing hub. But without reliable feedstock, nameplate capacity alone cannot support the market.

SPMP initially idled the plant as a temporary measure, but operations did not resume. A global concentrate shortage made the restart path more difficult.

The plant also has capacity to produce 50,000 oz/yr of gold doré, adding by-product value if feedstock and operating economics can be stabilised.

The asset was established in 2014 as a joint venture involving Omani state interests, Tri-Star Resources and Dubai-based DNR Industries. After restructuring and financing changes, Tri-Star Resources and the Oman Investment Authority remain key stakeholders.

Antimony Processing Gains Strategic Value Outside China

The possible sale or operating partnership comes at a sensitive time for antimony markets. Chinese export controls have tightened access to refined material and increased interest in alternative processing hubs.

Antimony is used in flame retardants, ammunition, lead alloys, batteries, solar glass and defence-related applications. Its strategic importance has risen as governments reassess supply chains for critical minerals and dual-use materials.

A functioning Sohar plant would give buyers another route outside China. That matters because the number of large-scale alternative antimony processing centres remains limited.

However, the market has changed since SPMP stopped production. Southeast Asian processing capacity has expanded quickly over the past year in response to global tightness.

That new competition could affect the value of the Oman asset. A buyer or operator would need to secure concentrate, manage costs and compete with newer regional processing routes.

Still, Sohar has a strategic advantage. It is an established plant with significant nameplate capacity in a geopolitically important logistics location.

For antimony buyers, the key issue will be whether SPMP’s asset can return as a reliable supply source. If it does, it could reduce some dependence on Chinese-controlled flows and improve optionality for western and regional customers.

The Metalnomist Commentary

The SPMP Oman antimony smelter is valuable because processing capacity outside China is scarce. But the asset’s real worth depends on concentrate access, not nameplate capacity; without feedstock, even a strategically located smelter remains idle metal infrastructure.