MUSCAT -- Oman's Ministry of Oil and Gas has launched a bid round for three onshore blocks, in line with ongoing efforts by the government to open up new acreage for hydrocarbon exploration and development by international oil companies. Expressions of Interest (EoIs) have been invited from experienced upstream oil and gas companies, with strong technical and financial credentials, for blocks 66, 67 and 39. Interested bidders are required to submit their proposals to the Ministry latest by October 31, 2010.
Block 66 in the western part of the Sultanate covers an area of around 4,899 sq kilometres. The Block is located on the flank of the Rub Al Khali Basin and the Gudun-Khasfah High, not far from producing oilfields at Hasirah and Sahmah. The Block became available after a partial relinquishment of Block 6 by Petroleum Development Oman (PDO) in 2010, and the relinquishment of Block 45 by Maersk in 2009.
According to the Ministry, the Block is only lightly explored with 2D seismic data and no exploration wells to date, thus offering significant remaining exploration potential. The nearby Hasirah field produces from the Gharif (Permian). Besides, the Sahmah Field, located just outside the Block to the northeast, produces 45 API oil from the Gharif. Good oil saturations have also been recorded in tight Harisah sands.
Adding to the Block 66's appeal is its proximity to oil pumping and export facilities. Two concepts have also been identified with potential at several levels.
Located further south is Block 67. Covering an area of some 1775 sq kilometres, the Block is situated on the south-eastern flank of the world-class South Oman Salt Basin where billions of barrels of oil have been discovered. As with the previous Block, Block 67 too became available following a partial relinquishment of Block 6 by PDO in 2010.
Block 67 remains significantly under-explored and offers untested opportunities, says the Ministry. Only two exploration wells have been drilled to date. The Ghadir Manqil well, drilled in 1958, encountered oil shows in the Nafun Group, while the Afar-1 well reported sweet gas. Three concepts have also been identified with potential at several levels.
Of notable significance is Block 67's location. It lies approximately 80 kilometres south of PDO's Marmul field, which is a major producer of oil, and 45 kilometres north-east of the Port of Salalah.
Also on offer is Block 39, covering an onshore area of 11,606 sq kilometres and stretching along the southern coastline of Oman. The southern extent of the Block covers the Tertiary Basin, while in the north and west the Block straddles the southern extension of the South Oman Salt Basin, the Western Margin and part of the Waghald Basin.
Over the past 50 years, several wells have already been drilled on Block 39. Suneik-1, drilled on the eastern flank by then operator Dhofar City Services in 1960, found gas shows in the Abu Mahara formation.
By Conrad Prabhu
© Oman Daily Observer 2010
