Oman’s Petrogas is increasing crude production from its Block 5 onshore concession in Ad Dhahirah governorate in the northwest of the sultanate using water injection.
The group expects to boost output at the concession to 50,000 barrels a day (b/d) “soon” from current production of about 40,000 b/d, according to Jean Denis Bouvier, the company’s chief executive officer (CEO).
“There is still a lot of scope for more business in the years to come. This little field is still producing after having produced 9 million barrels,” said Bouvier, speaking at the MEED Oman Investment Forum in Muscat on 9 October.
The main producing fields at Petrogas’ Block 5 concession are Daleel, Bushra Northwest, Bushra and Mezoon. Petrogas has a 50 per cent working interest in the concession with China National Petroleum Corporation (CNPC).
Significant improvements to the facilities are being made to increase oil production and water injection capacity, according to the company, with $260m earmarked for 2012.
After the increase, Petrogas fields will account for about 7 per cent of the sultanate’s total oil production,
Petrogas also produces 1,150-1,250 b/d from Block 7 and 13,000 b/d from the Rima cluster of small fields, both in Oman, and has assets in Egypt and India. The company more than doubled net profit to $125m in 2011, up from $60m a year earlier.
Petrogas is owned by MB Holding Company, a group that owns several assets in the oil, gas, mining and trading sectors, which was founded and owned by Omani businessman Mohammed al-Barwani.