BP raises output from Oman tight gas project

11 March 2018
UK energy firm reportedly doubles output from its Khazzan gas project in central Oman

The UK's BP has increased production from its tight gas project in Oman, according to a local media report.

Natural gas output from BP Oman’s Khazzan development has been raised to around 1 billion cubic feet a-day (bcf/d) ­­­­­­from 0.5 bcf/d, the report quoted a senior official at the Sultanate’s oil and gas ministry as saying.

The 1 bcf/d production feat was achieved ‘just over a week ago’, a BP Oman spokesperson has told the Oman Daily Observer newspaper.

BP has been able to double the output in just over five months since the Khazzan gas project located in Block 61 in central Oman was brought on stream in September 2017.

BP is the Operator of Block 61 and holds a 60 per cent interest. Oman Oil Company for Exploration & Production (OOCEP), a subsidiary of Oman Oil Company, holds a 40 per cent interest.

Output from the Khazzan field will plateau at 1 bcf/d during the current Phase 1 of the multi-billion dollar development, which targets tight gas locked deep in tricky geology. Around 25,000 barrels a-day of condensates are also being yielded during the processing of these volumes.

In Phase 2 of the project, called Ghazeer, production will be increased up to 1.5 bcf/d.

A total of 10.5 trillion cubic feet of recoverable gas resources will be produced over the two phases, according to BP Oman.

While the gas produced is being supplied to the gas grid that provides power to consumers, such as power and water desalination plants, petrochemical complexes, and industrial parks, part of the output has been earmarked for being processed as liquefied natural gas (LNG) by Oman LNG.

The additional volumes will help Oman LNG’s Qalhat plant achieve its full capacity of 10.4 million tonnes per annum (mtpa) for the first time in several years.

The Omani government-owned Oman LNG in January signed an agreement with BP Singapore to sell LNG.

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