Eni signed an Exploration and Production Sharing Agreement (EPSA) for Block 52 offshore Oman and farmed out a 30% interest to Qatar Petroleum (QP), the Italian major…
READ MOREOman's Energy Industry
H.E. Mohsin AL HADHRAMI
Undersecretary
MINISTRY OF ENERGY AND MINERALS
Oman's Energy Industry In Figures
Oil reserves5.4 billion barrels
Oil production971,000 bopd
Gas reserves700 bcm
Gas production41.8 bcm
Oman’s oil and gas industry in transition
Oman’s oil and gas industry has been the main driver of the country’s economic development since commercial production began in 1967. The nation is now the largest producer of hydrocarbons in the Middle East outside of OPEC members. Traditionally around 70% the Omani state’s budget is fuelled by revenues from taxation and operations of its oil and gas production, and the sector accounts for around 30% of Oman’s GDP. The country is stressing diversification of its economic foundations using the oil and gas sector as a base under its Vision 2040 programme. The initiative looks to see non-oil activities take up 90% of the nation’s GDP.
Government approvals and policy are dictated by the Ministry of Energy and Minerals, with NOC Petroleum Development Oman being the largest operator with the largest oil reserves in the country. The state-run entity is followed in size and scope by American E&P company Occidental Petroleum, which has the largest presence of any foreign company in the country. The government has also created other state-run players that have lesser stakes in upstream, midstream and downstream operations.
Most of Oman’s oil and gas resources are traditional, with limited unconventional and zero shale plays. EOR techniques have allowed the country to continue producing from its maturing assets. While local oil production meets demand for domestic energy consumption, the country is active in transitioning away from oil and gas towards reliance on solar and wind facilities in its power generation sector.
“The possibilities for Oman are enormous. There are many oil and gas resources to be explored and developed, and solar and wind offer a lot of potential as well,” Chris Breeze, country chairman for Shell Development Oman, told The Energy Year. “There are also significant opportunities to use digital technologies to interact with customers to enhance the energy efficiency of the electricity network. There are such large quantities of in-country resources available, and we have only just begun to unlock the potential of energy efficiency.”
Oman's Energy Industry News and Interviews
Tareq Qaddumi, CEO of SPETCO, talks about developing novel solutions for gas processing and expansion plans in Kuwait’s…
READ MOREAs an established global petrochemicals exporter, Trinidad is well positioned to take the lead as a green commodity producer.
READ MORETotalEnergies and OQ have launched the Marsa LNG project in Oman.
READ MOREKCA Deutag has secured $204 million in land drilling contracts in Oman, Saudi Arabia, Bolivia and Peru.
READ MOREOman's 230,000-bpd OQ8 (Duqm) Refinery began running at full capacity in February 2024, sourcing crude mainly from Kuwait.
READ MORESeveral OPEC+ members have extended voluntary oil production cuts of 2.2 million bpd into Q2 2024.
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Tethys Oil is set to acquire Block 49 onshore Oman, the Swedish independent announced on Thursday.
The exploration and production-sharing agreement, which is to…
READ MORESuper-major BP has brought the onshore Khazzan tight gas project in Oman on stream, the company announced on Monday.
“The start of production from Khazzan, BP’s…
READ MOREOman will launch an onshore licensing round on Wednesday, offering four blocks to bidders.
The licensing round, held by the Omani Ministry of Oil & Gas, will run…
READ MOREOman Oil Company Exploration and Production (OOCEP) has sealed a USD 1-billion finance facility deal with global financiers including Credit Suisse and ING, local media…
READ MOREThree EPC packages for the Duqm Refinery have been awarded, Omani media reported on Saturday.
A first package, for building the refinery’s main processing plants,…
READ MOREOman will begin processing output from the giant Khazzan gasfield in September, Undersecretary of Oil and Gas H.E. Salim Bin Nasser Al Aufi said on…
READ MOREPlans for Oman’s Ras Markaz crude oil storage terminal moved ahead on Wednesday as officials signed an agreement for its construction with the Oman Tank Terminal…
READ MORETOGY talks to José Pereira, Middle East representative at Partex, about market potential, contract terms and implementation of new technology in Abu Dhabi. Partex has…
READ MOREWhile the current crisis with its neighbours and their backers would be a reason trigger a force majeure clause in the agreement governing the Dolphin gas pipeline,…
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