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FINANCIAL NEWS
Oman Oil seeks to retain BG gas block
21 Jun 2010
(MENAFN) An official at the Omani government said that state-run Oman Oil Company (OOC) is in talks with the Ministry of Oil and Gas to take on an exploration block ceded by Britain?s BG Group, Reuters reported.
The Sultanate of Oman is short of the gas it needs to meet rapidly rising demand for industry and power. Across the region, governments have embarked on exploiting unconventional gas reserves, such as Oman?s tight gas.
BG pulled out of its deal to develop Oman?s oil and gas Block 60 earlier this month to focus on global opportunities elsewhere. OOC is the government?s energy investment arm, and holds both domestic and international oil and gas assets.
It was unclear whether the government would re-tender the block, which BG signed up to develop in 2006, or whether it would award the acreage directly to OOC. The block covers an area of 1,500 square kilometers at Abu Butabul.
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