oil and gas

Oman denies sharing Hengam oil field with Iran

June 9, 2022

Muscat – The Ministry of Energy and Minerals has denied any agreement to distribute shares between Oman and Iran in the joint offshore oil field Hengam-West Bukha.

The oil field is located between the maritime borders of Oman and Iran, off Musandam.

A statement issued the ministry said, ‘With regard to the joint development of the field, and the division of shares between Oman and Iran, discussions were held earlier but no agreement was reached.’

It added that the ministry has not participated in any technical discussions or commercial negotiations related to the joint field recently. ‘Thus, the ministry denies that there is any agreement to distribute shares between the partners.’

The ministry confirmed that maximising benefits from this field will be through joint development, if agreed upon.

The Iranian side of the field is called Hengam and on the Omani side, it is known as West Bukha. Production in the West Bukha field started in 1985.

A memorandum of understanding in the field of oil and gas was signed during Iranian President Ebrahim Raisi’s visit to Oman last month. Earlier this week, H E Mohammed al Rumhi, Minister of Energy and Minerals, said that the MoU was related to the development of a gas pipeline project linking the two countries and the Hengam oil field.

Confusion over the sharing of the field arose after Iranian media reported that Iran and Oman agreed to divide the Hengam gas field 80:20, which created furore in social media in Oman.

muscatdaily

Top News



oil and gas

Oman targets 20% electricity from renewa...
August 18, 2022
OMR3.5mn Sohar Logistics Station opened
August 16, 2022
Crude oil trades in tight range below $1...
August 16, 2022