Yemen: IOCs Eye Re-Entry Amidst Battlefield Stalemate

Upstream return looks optimistic given lack of access to export outlets.

With the third anniversary of the Saudi campaign against Iran-affiliated Houthi militants in Yemen the conflict looks ever more like a gory stalemate ( MEES, 27 October 2017 ). With violence now largely confined to the Houthi-controlled western highlands and a few flashpoints on the front (see map), risk-tolerant IOCs are increasingly willing to contemplate re-entry.

Austria’s OMV last month sent a team, including at least two ex-pats, to its Habban field on Block S2 in Shabwa province to assess what’s needed to restart production. Oil minister (for the pro-Saudi government) Aous al-Awd commends OMV’s efforts as “positive signs of bringing the oil and gas sector back into operation.” (CONTINUED - 814 WORDS)

DATA INSIDE THIS ARTICLE

chart Yemen Crude Exports* By Country (‘000 B/D)