Oman to sell 10pc stake in Block 61 to Petronas

OUTPUT BOOST: Block 61 is one of the largest unconventional gas projects, aiming to produce around 1.5 billion cubic feet of gas daily by 2020

Oman Oil Company Exploration and Production (OOCEP) — the upstream subsidiary of Oman Oil Company (OOC) — has agreed to sell a 10 per cent stake from the total value of Block 61 Khazzan, onshore Oman, to PC Oman Ventures Limited, a wholly owned subsidiary of Malaysian company Petroliam Nasional Berhad (Petronas).

OOCEP, through its subsidiary Makarim Gas Development LLC, currently holds a 40 per cent stake in Block 61, whereas, the operator BP Oman bears the remaining 60 per cent. The completion of the transaction is subject to approval from the Sultanate of Oman’s government and other closing conditions. Block 61 is one of the largest unconventional gas projects, aiming to produce around 1.5 billion cubic feet of gas daily by 2020.

OOCEP is an Omani oil and gas company that was founded in 2009. It is a subsidiary of Oman Oil Company SAOC, the Sultanate’s investment arm in the energy and related sectors and is wholly owned by the Government of Oman. OOCEP is currently focusing on upstream investments locally as well as internationally and building partnerships to optimise operations and foster opportunities.

OOCEP currently operates blocks in Oman namely, 60, and 48 and being active in a number of key joint ventures such as the Khazzan which is operated by BP, the Mukhaizana field and Block 9 both of which are operated by Oxy, Block 52 which is operated by Eni.