Gas begins flowing from Oxy Oman's Block 62

Oxy is the operator under the EPSA holding a 48% interest, with Mubadala holding a 32% interest and the Oman Oil Company holding the remaining 20%

Picture for illustrative purpose only.
Picture for illustrative purpose only.

Occidental Oman Inc, the largest independent producer in the Sultanate, has announced the successful start-up of gas production from its Block 62 in north Oman.

Block 62 - also known as Habiba Block - was acquired by Occidental of Oman (Oxy) as part of an Exploration and Production Sharing Agreement (EPSA) signed jointly with Abu Dhabi’s Mubadala Development Company in 2008.

Oxy is the operator under the EPSA holding a 48% interest, with Mubadala holding a 32% interest and the Oman Oil Company holding the remaining 20%.

Robert Swain, senior vice president & general manager, Occidental Petroleum Corporation (Oxy) Oman, described the production start-up as a ‘significant milestone’ in the company's 30-year operational history in the Sultanate.

"This is a culmination of a collaborative effort to accelerate additional gas production to meet the near-term needs of Oman," said Swain. "The Fushaigah field is the first to start production, where we interacted closely with Petroleum Development Oman (PDO) to deliver wet gas to the Kauther gas plant.

“In the next phase we will soon be commissioning a gas plant to process gas and condensate from the Maradi Hurayma field," the official stated at the company's 2015 Annual Media Briefing hosted by the Ministry of Oil & Gas on Sunday.

According to Swain, the company is currently developing gas and condensate reservoirs in the 2,289 sqkm concession. The successful start-up of production "illustrates Oxy's mission to safely and cost-effectively deliver hydrocarbon resources for the benefit of Oman and all our key stakeholders", he stated.

Also part of Oxy's portfolio of licenses in north Oman are Blocks 9 and 27, where the company operates multiple light oil and gas fields that are developed using waterflood second recovery methods.

In south-central Oman, Oxy is the operator of the Mukhaizna heavy oilfield in Block 53, where one of the world's largest heavy oil steam-flood projects is under way.

Gross production from Oxy's operations in the Sultanate inched up to around 230,000 barrels of oil equivalent per day (boepd) in 2015, up from an average of 227,000 boepd in 2014.

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