3 days ago
Oman Fisheries secures 10,000 MT annual fishing license
MUSCAT, AUG 12
Oman Fisheries Company (OFC), one of the Sultanate of Oman's largest and oldest fish processing companies, has secured a new fishing license from the Omani government with an annual quota of 10,000 metric tonnes (MT).
The new license underscores the government's confidence in the publicly traded company's 'operational capacity and strategic direction,' said Dr. Shahid Mahmood al Bulushi, Chairman of the Board of Directors at OFC.
He added that the company is currently negotiating terms with vessel operators to commence utilization under this license.
The move comes as OFC implements a Revised Operational Model aimed at bolstering business performance amid sustained financial losses. 'Following a comprehensive analysis of operational, market, and historical performance data, the company has adopted a data-driven operational model designed to maximize asset efficiency and enhance procurement sustainability,' the Chairman noted in the Directors' Report for the six months ended June 30, 2025. 'This model is intended to optimize profitability through evidence-based decisions and predictive performance indicators.'
The strategic shift focuses on increasing the share of higher-margin demersal species based on market demand and yield analytics; prioritizing fresh fish procurement and in-house processing to maximise value-added output while limiting frozen fish trading to seasonal gaps; and optimizing asset use—particularly of the Al Khair vessel—through data-driven scheduling, cost-efficiency measures, and output maximization.
Notably, the company has entered into a partnership agreement for the operation of the Al Khair vessel under OFC's fishing license. The vessel is operationally ready and scheduled to commence activity by mid-August 2025.
Additionally, OFC has secured long-term commercial arrangements for the supply of Omani fish species, including a contract with a Chinese partner for the export of 160 containers of demersal fish annually—expected to generate RO 4–5 million in value—and a deal with J Marr, a well-established player in the global seafood sector, for the supply of 360 containers of small pelagic fish per year.
During the first half of 2025, the company also capitalized on idle processing capacity by offering services to third parties, processing 117 MT of fish.
Meanwhile, OFC reported a further contraction in its financial metrics for H1 2025. Total assets fell by 21% to RO 7.58 million, driven by a 31% drop in total liabilities to RO 5.26 million. Revenue plunged by 74% to RO 1.0 million, while the net loss widened slightly by 3% to RO 1.15 million. Accumulated losses stood at RO 20.686 million as of June 30, 2025, resulting in a complete erosion of the company's share capital.
Oman Fisheries is a subsidiary of Fisheries Development Oman (FDO), the government's fisheries investment arm operating under the umbrella of Oman Investment Authority.
