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Oman to raise oil production

MUSCAT — The Sultanate of Oman aims to boost its total petroleum output for the second consecutive year in 2009 and plans for total crude and oil condensate output of 805,000 barrels per day (bpd) in 2009, up from 757,000 bpd in 2008.

“The efforts exerted by the Ministry of Oil and Gas over the past years together with PDO and the other oil companies operating in the Sultanate have led to increase in the Sultanate’s crude oil and condensates’ production from 710,000 barrels per day in 2007 to 757,000 barrels per day in 2008, said Nasser bin Khamis Al Jashmi, undersecretary, Ministry of Oil & Gas.

He also added that it is planned to increase the daily production this year to 805,000 bpd.

He was speaking on the occasion of Petroleum Development Oman’s annual media briefing here yesterday to review the company’s performance over the previous year and cast light on their future plans.

Stating that the oil and gas sector as any other economic sector is affected negatively or positively by the world market fluctuations, he said, “The current low oil price which has dropped over the past few months to less than $40 compared to the $147 price that prevailed during the first half of last year bears witness to this.”

However, Al Jashmi stressed that the oil and gas sector is going ahead with executing the projects that have already been committed earlier. As part of efforts to boost output, it plans to award five exploration licences to international oil firms this year.

“This is in order to strengthen the country’s oil and gas production as an important element for the national economy.

“In this connection the Ministry is planning to offer five new concession areas this year to prospectors,” he said.

In this context Al Jashmi informed that the ministry has recently awarded the Canadian Epsilon Energy a concession for oil and gas exploration in block 55 in the Wusta region.