BP Oman boss reveals construction progress on Khazzan Gas Project
Phase 2, named Ghazeer, was 45% complete at the end of 2018, with 90% completion targeted by the end of 2019
BP Oman will invest $16bn (OMR6.1bn) in the first and second stages of the sultanate's Khazzan Gas Project, with the British oil and gas company predicting an increase in demand for natural gas in the “coming decades”.
According to state-held Oman News Agency (ONA), Yousef bin Mohammed al-Ojaili, president of BP Oman, said production at Khazzan will increase by half a billion cubic feet (bcf) of gas per day in early 2021, when production starts from the field of Ghazeer.
The Ghazeer project makes up Phase 2 of Khazzan Gas Project, and BP announced the approval of Phase 2's development on 9 April, 2018.
Khazzan began production in September 2017, with one bcf of gas pumped daily into the governmental gas pipelines. Al-Ojaili said the company was steadily moving towards delivering the first shipment of gas from the project in Q1 2021. At the end of 2018, work on Ghazeer was 45% complete.
Sixteen sites have been built for 100 wells that are planned to be drilled for Ghazeer, and construction work has progressed on Ghazeer's third train for gas treatment; a gas pipeline; a gas export system; and gas collection and related facilities. The second phase of Khazzan Gas Project has 5,000 workers engaged onsite.
Al-Ojaili said BP is “working to achieve a 90% completion rate by the end of this year”, adding that he expects demand for natural gas to increase in the coming decades, despite major developments in the renewable energy sector.
BP Oman’s latest news follows a separate report last month, stating that senior government officials in the Gulf are exploring the construction of an integrated gas network supplying the UAE, Saudi Arabia, Oman, Bahrain, and Kuwait.
The GCC-wide line will link all five nations together, with pipes pumping gas across the region to safeguard energy security.