Latest news with #Mukhaizna
Times of Oman
18-05-2025
- Business
- Times of Oman
Oman secures OMR11.5 billion investment through Block 53 concession extension
Muscat: The Ministry of Energy and Minerals has signed an agreement to extend the Block 53 Exploration and Production Sharing Agreement (EPSA) for Occidental Mukhaizna and its partners, securing operations until 2050. Under the amended agreement, the concession has been extended to 2050, facilitating an estimated investment of OMR11.5 billion (approximately $30 billion) over the extended term. These investments will cover capital and operational expenditures designed to enhance production efficiency and deploy advanced extraction technologies, optimising resource recovery within the block. The anticipated investments are expected to strengthen supply chain sustainability and operational support contracts, fostering economic growth and generating employment opportunities across Oman's oil, gas, and related industries. The Mukhaizna field in Al Wusta Governorate has been a key contributor to Oman's oil production, consistently ranking as Oman's highest-producing crude oil field. Eng. Salim bin Nasser Al Aufi, Minister of Energy and Minerals, emphasised that the extension of this agreement is a strategic milestone in ensuring the field's continued role in supporting the national economy. He highlighted that the planned investments will drive production growth and enhance value creation within Oman's energy sector. The Ministry remains committed to collaborating with its partners to maximise the potential of Block 53, a cornerstone of its strategy for sustainable and responsible hydrocarbon production, the minister added.
Zawya
12-05-2025
- Business
- Zawya
Oxy eyes 15-year extension in Oman's Block 53, unveils large gas find
US energy major Occidental Petroleum (Oxy) is in advanced talks with the Omani government to extend its contract for Block 53 — home to the world-class Mukhaizna steamflood field — by 15 years to 2040, the company confirmed during its Q1 2025 earnings call. The proposed extension is expected to unlock over 800 million barrels of additional resources across stacked pay formations, enhancing long-term cash flows while aligning with Oman Vision 2040 goals to maximise value from existing energy assets. Occidental noted that the revised terms will support both low-decline enhanced oil recovery and conventional production, ensuring capital efficiency and sustained output. Occidental also reported a significant gas and condensate discovery in North Oman, with estimated in-place resources exceeding 250 million barrels of oil equivalent. Located near existing infrastructure, the field has already entered early production, alongside a second smaller discovery that was fast-tracked to commercialisation within just 13 weeks. 'These developments reflect our deep-rooted partnership with Oman and reaffirm our long-term commitment to supporting its energy strategy,' said CEO Vicki Hollub. She noted that recent efficiency gains have reduced drilling costs by 50 per cent in Block 53, while artificial lift enhancements cut workover costs per barrel by half. The developments form part of Occidental's broader strategy to optimise its international portfolio, prioritising resilient, capital-efficient assets amid global market volatility. With appraisal underway and final approval pending, the Block 53 expansion and new gas discovery are set to reinforce Oman's upstream sector as a key pillar of fiscal sustainability and energy security in the coming decade. 2022 © All right reserved for Oman Establishment for Press, Publication and Advertising (OEPPA) Provided by SyndiGate Media Inc. (
