OQ Exploration and Production Musandam Offshore, a wholly owned subsidiary of state-owned OQ Exploration and Production, has signed three agreements for the offshore Block 80 concession in Oman.
The transactions include a concession agreement with the Ministry of Energy and Minerals of the Sultanate of Oman and Turkish Petroleum Overseas Company, which is a subsidiary of Turkish Petroleum Corporation.
The remaining two accords comprise a gas sale agreement with the Integrated Gas Company and TPOC, alongside a joint operating agreement between the two commercial partners. According to a company statement, these agreements are designed to attract investment and enhance oil and gas production.
Block 80 covers an area of approximately 5,737 square kilometres near the Strait of Hormuz in the Musandam Governorate. The concession block contains the producing Bukha and West Bukha fields, as well as several identified exploration prospects.
Under the terms of the concession, OQ Exploration and Production will hold a 50 per cent participating interest as the operator, while TPOC will hold the other 50 per cent. The agreements grant exclusive rights for the exploration, appraisal, development, and production of oil and gas within the block.
The concession features an initial exploration period of four years. Upon a declaration of commerciality, the block concession can be extended for a production period of up to 30 years.
