• 1 hour Weatherford Looks To Sell Assets To Ease Some Of $8B Debt
  • 2 hours OPEC Set To Move Fast On Cut Extension Decision
  • 4 hours Nigeria Makes First Step Away From Oil
  • 16 hours Russia Approves Profit-Based Oil Tax For 2019
  • 20 hours French Strike Disrupts Exxon And Total’s Oil Product Shipments
  • 22 hours Kurdistan’s Oil Exports Still Below Pre-Conflict Levels
  • 1 day Oil Production Cuts Taking A Toll On Russia’s Economy
  • 1 day Aramco In Talks With Chinese Petrochemical Producers
  • 1 day Federal Judge Grants Go-Ahead On Keystone XL Lawsuit
  • 1 day Maduro Names Chavez’ Cousin As Citgo Boss
  • 1 day Bidding Action Heats Up In UK’s Continental Shelf
  • 2 days Keystone Pipeline Restart Still Unknown
  • 2 days UK Offers North Sea Oil Producers Tax Relief To Boost Investment
  • 2 days Iraq Wants To Build Gas Pipeline To Kuwait In Blow To Shell
  • 2 days Trader Trafigura Raises Share Of Oil Purchases From State Firms
  • 2 days German Energy Group Uniper Rejects $9B Finnish Takeover Bid
  • 2 days Total Could Lose Big If It Pulls Out Of South Pars Deal
  • 2 days Dakota Watchdog Warns It Could Revoke Keystone XL Approval
  • 3 days Oil Prices Rise After API Reports Major Crude Draw
  • 3 days Citgo President And 5 VPs Arrested On Embezzlement Charges
  • 3 days Gazprom Speaks Out Against OPEC Production Cut Extension
  • 3 days Statoil Looks To Lighter Oil To Boost Profitability
  • 3 days Oil Billionaire Becomes Wind Energy’s Top Influencer
  • 3 days Transneft Warns Urals Oil Quality Reaching Critical Levels
  • 3 days Whitefish Energy Suspends Work In Puerto Rico
  • 3 days U.S. Authorities Arrest Two On Major Energy Corruption Scheme
  • 4 days Thanksgiving Gas Prices At 3-Year High
  • 4 days Iraq’s Giant Majnoon Oilfield Attracts Attention Of Supermajors
  • 4 days South Iraq Oil Exports Close To Record High To Offset Kirkuk Drop
  • 4 days Iraqi Forces Find Mass Graves In Oil Wells Near Kirkuk
  • 4 days Chevron Joint Venture Signs $1.7B Oil, Gas Deal In Nigeria
  • 4 days Iraq Steps In To Offset Falling Venezuela Oil Production
  • 4 days ConocoPhillips Sets Price Ceiling For New Projects
  • 7 days Shell Oil Trading Head Steps Down After 29 Years
  • 7 days Higher Oil Prices Reduce North American Oil Bankruptcies
  • 7 days Statoil To Boost Exploration Drilling Offshore Norway In 2018
  • 7 days $1.6 Billion Canadian-US Hydropower Project Approved
  • 7 days Venezuela Officially In Default
  • 7 days Iran Prepares To Export LNG To Boost Trade Relations
  • 7 days Keystone Pipeline Leaks 5,000 Barrels Into Farmland
Has The Big Oil Fire Sale Started?

Has The Big Oil Fire Sale Started?

The world’s largest sovereign wealth…

Tesla’ E-Truck Is A Big Thing For Energy Markets

Tesla’ E-Truck Is A Big Thing For Energy Markets

While skeptics have raised eyebrows…

City A.M

City A.M

CityAM.com is the online presence of City A.M., London's first free daily business newspaper. Both platforms cover financial and business news as well as sport and…

More Info

BP Expands The Kazzan Gas Field In Oman

Kazzan Gas field Oman

BP and Oman Oil Company have signed an agreement with the government of Oman to extend their licensing agreement in Oman's huge Khazzan gas field, paving the way for a second phase of development at the site.

The amended exploration and production sharing agreement adds more than 1,000 square kilometers to the south and west of the original 2,700 square kilometers of BP and Oman Oil Company's licensing area, Block 61.

Output from the field will primarily go to Oman's domestic market and is expected to make up 40 per cent of the country's total gas production.

BP is the operator of the block with a 60 per cent interest while Oman Oil holds the remaining 40 per cent.

Phase one of the project is due to come online next year and will generate around 1bn cubic feet of gas per day, of which BP will receive 600m cubic feet.

When the second phase comes on stream, estimated to be in 2020, the combined production will reach 1.5bn cubic feet of gas per day from a total of 10.5 trillion cubic feet of recoverable resources.

BP's total daily gas production is currently 5.8bn cubic feet per day. Development of the second phase is subject to final approval from the government of Oman and BP, both of which are expected next year.

Khazzan is a tight gas field, meaning its gas is locked in hard rock and more intense efforts to extract it from underground.

Bob Dudley, BP chief executive, said:

I am very pleased to be in Muscat to sign this important agreement with our partners. BP is proud to expand our cooperation in the Khazzan project which will be the major source of energy for the Omani economy for decades to come.

This expansion will build on our work on the first phase, working closely with our Omani partners and demonstrates our commitment to invest in a significant project that will deliver long-term value to both Oman and BP.

Biojet venture

BP today also announced a $30m (£24m) strategic partnership between BP Ventures and Air BP with a company that specialises in the development and production of low-carbon jet fuel.

The British oil giant has secured a 10-year offtake agreement with Fulcrum BioEnergy for 50m U.S. gallons per year from their biojet fuel plants under development across North America.

Air BP will also distribute and supply biojet into aircraft at "key hubs" across the continent.

Tufan Erginbilgic, chief executive of BP's downstream segment, said: "BP is committed to supporting a transition to a lower carbon economy. With support from two of Air BP's strategic customers, Cathay Pacific Airways and United Airlines, Fulcrum is well advanced in its goal to produce and supply scalable biojet, and BP is excited by the opportunities that this partnership offers."

By Francesca Washtell via City AM

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News