Muscat recently saw the launch of a new package of oil and gas concession areas, including “Concession Area No. 18” in the southern Sea of Oman. The announcement was made at an international conference organised by the American Association of Petroleum Geologists. The event was inaugurated by HH Sayyid Dr. Fahd Al Julanda Al Said, Vice-Chancellor of Sultan Qaboos University, and hosted by Petroleum Development Oman. Minister of Energy and Minerals, Eng. Salim Nasser Al Aufi, highlighted that Oman has a diverse range of geological settings, providing abundant opportunities for energy exploration that supports the national economy.
The Undersecretary of the Ministry of Energy and Minerals, Mohsen Hamad Al Hadhrami, discussed the Ministry’s new approach to investments in the oil and gas sectors. This approach focuses on attracting foreign investments and enhancing partnership with the national operator OQ Exploration and Production. Al Hadhrami also provided details about Concession Area No. 18, which covers a vast area of 21,140 square kilometres and contains untapped hydrocarbon resources. The new procedures include implementing a contractual system based on concession fees, as well as approval for integrated gas exploitation projects.
One of the key highlights of the conference was the discussion about “OQ Exploration and Production” contributing to exploration expenses in Concession Area No. 18. The company will have the right to contribute 10 percent of exploration expenses, with the possibility of increasing this to 30 percent during commercial development. The conference, titled ‘The Role of Geological Sciences in Shaping the Future of Energy’, featured working papers, visual presentations, and discussion panels on the latest developments, challenges, and opportunities in the energy sector.
Experts from 60 countries participated in the conference, where they exchanged knowledge and expertise in geology, oil, and gas exploration. The event also included an exhibition featuring local and international companies specialized in the oil and gas sectors. These companies showcased their contribution to sustainable growth through exploration and development programs. The focus was on utilizing energy resources efficiently and innovatively in Oman, in order to boost the country’s energy sector and drive economic growth.
Overall, the launch of new oil and gas concession areas, particularly Concession Area No. 18, signifies Oman’s commitment to attracting foreign investments and enhancing partnerships in the energy sector. The conference provided a global platform for experts to discuss the future of energy, exchange knowledge, and address challenges and opportunities in the sector. With its diverse geological settings and untapped hydrocarbon resources, Oman holds great potential for energy exploration and development that can significantly impact the national economy.
