MUSCAT: The Ministry of Energy and Minerals – on behalf of the Government of the Sultanate of Oman – has signed on Thursday with Oman Shell and its partners OQ and Total Energy an agreement for gas exploration and production in Block 11.

Under this agreement, Oman Shell will be the exclusive operator with an operating share of 67.5%, 10 % for OQ and 22.5% for Total Energy. The exploration activities include conducting geophysical surveys covering 1,400 km2 in the area at the end of this year, and it is expected to be followed by drilling several exploration wells.

Commenting on the ambitious project, Eng Salem bin Nasser Al-Awfi, Minister of Energy and Minerals, said: “We, at the Ministry of Energy and Minerals, are working with continuous interest to enhance our natural gas reserves through exploration, testing and evaluation activities carried out by exploration and gas-producing companies, as we strengthen our strategic relations to serve our aspirations in the sector. We have signed today (Thursday) Shell, OQ, Total Energy and our other partners to ensure the energy security of Oman, attract foreign investment and obtain the highest value for the local supply chain.”

Waleed Hadi, President of Shell Companies in Oman, commented: “Concession Block 11 is located in the western part of the Sultanate of Oman, in and around Umm Al Sumaim. Shell’s entry is a confirmation of our commitment to the Sultanate, in addition to contributing to the development and diversification of gas resources. For us at Shell, this partnership will greatly contribute to enhancing our integrated gas activities in the Sultanate.”