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BP commences production at Khazzan natural gas field in Oman

EBR Staff Writer Published 26 September 2017

BP has announced that the first phase of the $16bn Khazzan natural gas project located in the South of Block 61 Oman has begun production, ahead of schedule and within budget.

The oil and gas major is the operator of Block 61 with a stake of 60%. Oman Oil Company Exploration and Production is the other participant with a stake of 40% in the onshore block that contains the giant Khazzan tight gas field.

BP says that production from the phase one of the Omani natural gas project is likely to plateau at 1 billion cubic feet of gas per day (bcf/d). The phase one project involves feeding of 200 wells into a two-train central processing facility.

BP group chief executive Bob Dudley said: “The start of production from Khazzan, BP’s sixth and largest major project start-up so far this year, is an important milestone in our strategic partnership with Oman.

“With further development already planned, this giant field has the potential to produce gas for Oman for decades to come.”

BP expects that the second phase of the Khazzan gas project upon its completion will increase production from the field up to 1.5bcf/d. The phase 2 project is slated to begin production in 2020.

Overall, the Omani gas project will have nearly 300 wells drilled during the estimated lifetime of the Khazzan gas field.

An estimated 10.5 trillion cubic feet of recoverable gas resources will be developed by phase one and two of the project.

Oman Oil Company CEO Isam bin Saud Al Zidjali said: “While Oman has a vast set of resources and human capabilities, BP brings its technology to help unlock that potential.

“This increment of gas supplies will provide feedstock for development of downstream and petrochemical industries.”

Image: The Khazzan gas project in Oman. Photo: courtesy of BP p.l.c.