OQ Exploration and Production (OQEP) is central to Oman’s upstream sector. It partners with IOCs at most of Oman’s most prominent assets and de facto has sole right to exercise the government’s “participation rights” to take a 30% stake in any block where a declaration of commerciality (DOC) is made – since 2009 it is the only entity permitted to do so.
PDO’s massive Block 6 is the only major asset where OQEP is absent. Gross output from OQEP blocks – most of which are operated by IOCs – accounted for around 350,000 b/d of liquids last year and 2.1bn cfd of natural gas, equivalent to 33% and 43% of national output respectively. The firm’s operations are heavily tilted towards gas, and its pipeline of projects suggest that this is likely to grow increasingly pronounced in the years ahead. (CONTINUED - 1468 WORDS)
