Tethys Oil to invest $50m in Oman for 2019 projects

Swedish oil firm Tethys Oil says it plans to invest in excess of $50 million in supporting its operations in Blocks 3&4 in central eastern Oman, as well as its exploration activities in Block 49 in the southwest of the country.

The company’s local subsidiary Tethys Oil Oman Limited has a 30 per cent interest in the adjoining onshore Blocks 3&4, home to the producing Farha South, Shahd and Saiwan East fields. Independent oil and gas exploration and production company CC Energy Development (CCED) is the operator of the Block with a 50 per cent interest, while Mitsui has the balance 20 per cent interest. “The focus of the work programme

Blocks 3&4 is continued in development and appraisal drilling, upgrading of production facilities and other infrastructure, new seismic acquisition and drilling of exploration wells,” said the company in a statement.

Output from the two blocks is expected to average between 12,000 — 13,000 barrels of oil per day during 2019, the company stated.

Part of Tethys Oil’s funding for the year is also earmarked for its exploration programme in Block 49 — a 15,439 sq km license located in the Rub al Khali. The company was awarded an exploration licence for the Block through its wholly owned subsidiary Tethys Oil Montasar Limited in late 2017. Besides owning a 100 per cent interest in the Block, Tethys Oil is also the operator.

“The new seismic data acquired in 2018 will be processed and interpreted in order to further define possible oil traps and to enhance the understanding of the deeper parts of the block in general. Preparations for exploration drilling will be carried out,” the company said.

INDEPENDENT OIL AND GAS EXPLORATION AND PRODUCTION COMPANY CC ENERGY DEVELOPMENT (CCED) IS THE OPERATOR OF THE BLOCK WITH A 50 PER CENT INTEREST, WHILE MITSUI HAS THE BALANCE 20 PER CENT INTEREST