Oman Makes Progress in Developing Tight Gas Reserves

The Sultanate of Oman has made significant progress in developing tight and acid gases as it dug the deepest well in the Middle East region, more than 7 km deep in a bid to look for the non-traditional gas resources.

Oman Observer said the government hailed the works undertaken by BP and the progress made in developing the two biggest gas fields in the Sultanate — Khazzan and Makarim.

An official from the government was reported as saying that as per the plan by BP, the production is expected to be about 1 billion cubic feet of gas per day. This will add one third of the current gas production, the newspaper report said.

The Sultanate, which seeks to develop gas-based industry, always endeavours to provide local industries with gas at reasonable prices.

Meanwhile, the newspaper also reported that contract for the construction of a major gas pipeline that will supply natural gas from central Oman to a new industrial and maritime hub under development at Duqm, is due to be awarded by the end of 2013.

Oman Gas Company (OGC), the state-owned entity that owns and operates the country’s gas transportation grid, is overseeing the implementation of the 240 km pipeline. Total investment in the pipeline project is estimated at $250 million.