BP, Eni ink new exploration deal in Oman
UK-based energy giant and LNG player BP and its Italian counterpart Eni signed an exploration and production sharing agreement (EPSA) for Block 77 in central Oman with Oman’s Ministry of Oil and Gas.
Block 77 covers a total area of over 2,700 square kilometers, and BP and Eni will each hold a 50 percent interest in the EPSA, with Eni acting as operator during the exploration phase.
The agreement for this significant new exploration opportunity follows from the heads of agreement for the block that was signed in January 2019.
Block 77 is located 30 kilometers east of the BP-operated Block 61, which contains the already-producing Khazzan gas project as well as the Ghazeer project, currently under development.
BP brought the major Khazzan project into production in 2017.
Ghazeer, the second phase of development on Block 61, is currently under construction and is scheduled to come on stream in 2021.
Khazzan currently produces around 1 billion cubic feet of gas a day (bcf/d) and Ghazeer is expected to add a further 0.5 bcf/d production.