Energy
From The Report: Oman 2014
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Oil and gas still take centre stage in Oman, accounting for more than half of GDP and 85% of government revenues. After a slump in 2000-07 as fields depleted, oil production is once again increasing, boosted by discoveries of new reserves and improved extraction techniques that glean more from old fields. Meanwhile, the government is looking to improve in-country value and the Omanisation of its workforce.
This chapter contains interviews with Nabil Al Ghassani, CEO, Takamul Investment Company; and Mulham Al Jarf, Deputy CEO, Oman Oil Company.

Articles from this Chapter

Overview

Fuelling the economy: The sultanate’s oil and gas industry continues to play a central role
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For decades the energy sector has acted as the key driver of Oman’s economy and it continues to take centre stage in the sultanate’s development. A major magnet for foreign investment, and home to a range of growing domestic players, the sector looks set to continue attracting attention as Oman aims to accelerate growth and meet rising domestic demand. Areas of particular interest include the gas segment, where discoveries in the past two decades have boosted reserves, and enhanced oil recovery…

Interview

OBG talks to Nabil Al Ghassani, CEO, Takamul Investment Company
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Interview:Nabil Al Ghassani What are the central issues that need addressing to create a sustainable downstream support chain for Oman’s oil and gas industry? NABIL AL GHASSANI: If one looks at the world economy, one sees that the first thing we need to do is focus more on developing the skills of our workforce and manpower. This major resource will continue to be at the core of any economic development anywhere in the world. Over the last 42 years the Omani government has taken many steps…

Analysis

Enhancing opportunities: Challenging terrain requires advanced extraction techniques
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The nature of Oman’s geology and the locations of its proven crude oil reserves mean that the sultanate has had to become a pioneer in the area of enhanced oil recovery (EOR) technology. EOR includes a range of techniques for extracting oil from geologically difficult reservoirs. As Oman’s more easily accessible reserves deplete over the coming years, advanced techniques will become increasingly important, and indeed some of the region’s most innovative and largest EOR projects have already…

Interview

OBG talks to Mulham Al Jarf, Deputy CEO, Oman Oil Company
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Interview:Mulham Al Jarf In what ways can Oman’s recent in-country value (ICV) plan support the development of exports? MULHAM AL JARF: The ICV initiative is essential to unlocking the potential of Oman’s commerce. It aims to change mindsets in local businesses so that they look for goods and services in the sultanate before importing from abroad. There is also the Made in Oman Index that encourages consumers in Oman to purchase products from the sultanate over lower-priced imports,…

Analysis

From Oman to the world: Hydrocarbons form the vast majority of the sultanate’s exports
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Exports of crude oil and natural gas continue to play a central role in the sultanate’s economy. Oil exports grew in 2012 and 2013, boosting national revenues at an important time, with the country pulling out of an economic slowdown and preparing a wide-ranging infrastructure investment programme. Oman is the largest oil and gas producer in the Middle East that is not a member of the Organisation of the Petroleum Exporting Countries (OPEC), and is one of the top 20 in the world that is outside…

Analysis

Building up: Efforts are under way to retain greater in-country value
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Substantial investments are being made in Oman’s midstream and downstream oil industries as it looks to meet rising demand, boost its value-added petrochemicals industry and strengthen its position as an international energy transit centre. Refining Capacity Oman currently has two operating oil refineries. Sohar, in the growing industrial port of the same name, has a capacity of 116,000 barrels per day (bpd), while Mina Al Fahal (MAF), in Muscat, handles 106,000 bpd. MAF was Oman’s first refinery,…

Analysis

Keeping pace with demand: New natural gas projects promise to secure domestic supply
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As of the end of 2012, Oman had 12.18tn cubic feet (tcf) of proven gas reserves and expected reserves of 17.82 tcf, according to the Ministry of Oil and Gas. Thanks to ongoing exploration efforts, new discoveries mean that the country’s proven reserves have not depleted over the past decade, despite growing consumption – they stood at 31.8 tcf in 2002, more than quadrupling in the decade before from 7.1 tcf in 1992. Furthermore, the country’s reserves to production ratio is 32.8, suggesting…