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Oman in Talks with Partners to Develop Gas Block 11

The government in Oman is in discussions with Royal Dutch Shell and France’s TotalEnergies to develop block 11, which is rich in natural gas reserves.

 

“Discussions are ongoing now to finalize the commercial agreement between the government and the same [block 10] partners for block 11,” said Salim al-Aufi, undersecretary at Oman’s Ministry of Energy and Minerals (MEMR).

 

The Shell-led consortium consists of Omani energy holding company OQ and Marsa Liquefied Natural Gas (LNG), a joint venture (JV) between France’s TotalEnergies and OQ. The concession agreement establishes Shell as the operator of block 10, holding a 53.45% working interest, with OQ and Marsa LNG holding 13.36% and 33.19% stakes, respectively.

 

Production from block 10 is planned to start production in two years and is expected to reach a peak production capacity of 500 million cubic feet of gas a day (MMcfpd). Block 11 is located adjacent to block 10.

 

Al-Aufi added: “We have three blocks in the market. We are just waiting for the final bids to arrive. I think the last day is 31 March, then we will start looking into evaluating the bids and hopefully allocating some of these blocks.”

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