(MENAFN- Muscat Daily) Muscat- In line with the sultanate's plan to promote value addition of natural resources, the global energy giant BP is working on a plan to add value to gas produced through its concession areas in Oman and the plan would soon be submitted to the government for the approval.
Speaking to reporters on the sidelines of a panel discussion organised by BP Oman on Wednesday at Hormuz Grand Muscat, Yousuf al Ojaili, president of BP Oman said, 'The government is keen in getting integrated value addition offers from all international oil companies operating in the country. And we can say we are also interested in it.'
'At present, we (BP Oman) are thinking about what integrated solution we can offer to the government. At this time, we cannot say more about this,' he added.
Earlier this year, the Ministry of Oil and Gas applied a new model for developing integrated projects that will add value to the gas extracted from the fields. Several initial agreements were signed between the ministry and global oil companies such as Total, Shell, BP and also with PDO and Oman Oil for setting up a host of upstream and downstream projects. Total investment in these projects, which includes storage facilities, fuel bunkering infrastructure and gas-to-liquid projects along with exploration and production activities, is envisaged around US$19bn. Most of these projects are encircled around Mabrouk gas field located in the northeast of Oman.
On the current status of BP's Ghazeer gas field project, Ojaili said Ghazeer would enter the production phase in the first quarter of 2021. He said that total production of BP Oman will equal 35 per cent of total gas produced in the sultanate.
Ojaili was attending the discussion on 'BP Energy Outlook – BP's views on global energy markets out to 2040' where BP's chief economist Spencer Dale made a presentation on probable demand for fossil fuels in next 20 years. The session was moderated by Dr Hatem al Shanfari, vice chairman of Oman Economic Association.
On queries related to BP's initiative to add value to gas extracted from Khazaen and Ghazeeer fields, Dale said all the gas produced from these fields is adding value to Oman's economy.
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