DNO Exits Oman Offshore Block

Laxman Pai
Friday, January 4, 2019

Norwegian oil and gas operator DNO ASA subsidiary DNO Oman Block 8 Limited has relinquished operatorship and participation in the offshore Oman Block 8 to the Sultanate of Oman's Ministry of Oil and Gas (MOG) and state-owned Oman Oil Company Exploration and Production LLC (OOCEP).

Effective 4 January 2019, with the expiry of the 30-year commercial term of the Exploration and Production Sharing Agreement, Block 8 will be operated by the Musandam Oil and Gas Company, fully-owned by OOCEP.

"Since inception, Block 8 has produced 35 million barrels of oil and 285 billion cubic feet of gas, generating the Sultanate of Oman about US $1 billion in total revenues," said DNO's Managing Director Bjørn Dale during a handover ceremony in Muscat on Thursday.

The block 8, which contains the Bukha and West Bukha fields, produced an average of 4,458 barrels of oil equivalent per day during 2018.

DNO held a 50 percent interest in the license alongside LG International, which held the remaining 50 percent interest.

Categories: Government Update Middle East Offshore Energy Oil Production Well Operations Regulation Government

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