Oxy Gambles On Oman Replacing Qatar Volumes

Occidental’s Middle East oil portfolio is to take a major hit with the looming eviction from a key Qatar field. The US firm hopes to reload with new Omani exploration blocks, but development will take time. Meanwhile, sour gas development in the UAE has provided a timely boost.

US mini-major Occidental is doubling down on its Oman presence in a bid to offset the looming loss of its core Qatar oil field in October 2019 ( MEES, 19 October ).

Oxy recorded a $196mn Q3 impairment due to Qatar Petroleum’s decision to take over operatorship of the 95,000 b/d Idd el-Shargi North Dome (ISND) field. But, while its Middle East portfolio is about to lose more than a third of its liquids output, the firm is looking to Oman to keep Oxy as a major Mideast player.

In its Q3 results, Oxy announced that it had been awarded three new blocks in Oman, taking its total footprint in the sultanate to eight blocks ( MEES, 9 November ). (CONTINUED - 765 WORDS)

DATA INSIDE THIS ARTICLE

table Occidental MENA Crude Output (‘000 B/D)
table Occidental MENA Gas Output (Mn Cfd)