Oman’s Ministry of Oil and Gas signed agreements with BP Oman and Italy’s Eni for exploration and production on Block 77 in central Oman.
BP and Eni will each hold a 50 per cent interest in the exploration and production sharing agreement (EPSA), with Eni acting as operator during the exploration phase.
The agreement includes implementing seismic surveys, others studies and drilling several exploration wells on an area of 2,374 square kilometres, the ministry said in a tweet on Twitter.
The ministry hopes the exploration activities will result in new oil finds that can contribute to the country’s oil reserves and boost its production.
“Today’s announcement reflects the continued exploration potential we see in Oman and reinforces BP’s commitment to the Sultanate of Oman. We look forward to working with the Government and Eni to continue to explore and develop the country’s resources and secure its long-term gas production,” BP group CEO Bob Dudley said in a statement.
Block 77 is located 30 kilometres east of the BP-operated Block 61, which contains the already-producing Khazzan gas project as well as the Ghazeer project, currently under development.