bp, in partnership with OQ, PETRONAS and the Ministry of Energy & Minerals in Oman, has announced that production has begun from its Block 61 Phase 2 Ghazeer gas field, 33 months after the development was approved
Ghazeer was initially expected to come into production in 2021. The first phase of development of Block 61 – Khazzan – was brought online in September 2017.
His Excellency Dr. Mohammed Al Rumhy, Minister of Energy & Minerals of the Sultanate of Oman, stated, “I am delighted to see bp bringing the Ghazeer gas field online – it’s an important project for Oman and we are extremely proud of it. The gas from Ghazeer will contribute towards Oman’s 2040 vision in terms of providing additional energy to local industries as well as diversifying the economy.”
Bernard Looney, bp chief executive, said, “The start-up of Ghazeer is an important milestone in our strategic partnership with Oman, delivering critical national infrastructure for the Sultanate. We appreciate the collaborative support we have received from the government of Oman and our partners in delivering this significant start-up safely and ahead of schedule, particularly as Oman prepares to celebrate its 50th national day.
“This project has been delivered with capital discipline four months early, wells are being drilled in record times and, importantly, safety performance has been excellent. It exemplifies what a strong and resilient hydrocarbons business looks like – a core part of our strategy.”
Total production capacity from Block 61, comprising both Khazzan and Ghazeer, is expected to rise to 1.5 billion cubic feet of gas a day and more than 65,000 barrels a day of associated condensate. With an estimated 10.5 trillion cubic feet of recoverable gas resources, the block has the capacity to deliver approximately 35% of Oman’s total gas demand.
Block 61 is owned by bp (61%); Makarim Gas Development Limited (OQ) (30%); and PC Oman Ventures Limited (PETRONAS) (10%). It is one of the Middle East’s largest tight gas accumulations.
The development of Block 61 (Khazzan and Ghazeer) comprises a three-train central gas processing facility; a water treatment plant; 400km of gas and condensate export pipelines; a waste management area; an electricity substation; almost 500km of roads; and over 60km of water pipelines. 132 wells have been drilled, with more planned over the lifetime of the project.
