MUSCAT - Oxy Oman, a wholly owned subsidiary of US independent energy company Occidental, says a first-of-its-kind pilot project centred on the use of carbon dioxide (CO₂) for enhanced oil recovery (EOR) in its Block 9 concession could be replicated across other assets in its upstream portfolio in the Sultanate of Oman.

The underlying goal, according to Steven Lauver, President and General Manager of Oxy Oman, is twofold: to increase oil recovery from mature fields and to support Oman’s decarbonisation and net-zero ambitions.

“We are leading the way with the first CO₂ EOR pilot in Oman, initiated in Block 9, which could pave the way for wide-scale deployment of this technology across other fields. This project demonstrates how we can integrate carbon capture and storage (CCS) with existing operations to deliver carbon-neutral oil, lowering emissions while enhancing recovery”, Lauver stated.

Launched in 2023, the pilot aims to test CO₂ injection in the Safah Field — which has already undergone conventional waterflooding — to determine its potential to unlock additional oil reserves. By re-injecting captured CO₂ into depleted formations, Oxy seeks to combine resource efficiency with long-term carbon management, effectively linking oil recovery with carbon utilisation and storage.

If successful, Oxy plans to expand the CO₂-EOR programme across Block 9 and potentially replicate it in other mature fields within its northern operations. The initiative represents a key step in Oman’s transition towards low-carbon oil production, combining enhanced recovery with climate mitigation and positioning Oxy Oman as an early mover in the country’s emerging carbon capture, utilisation and storage (CCUS) landscape.

In an interview featured in The Energy Year, a UK-based global energy industry platform, Lauver said the company is committed to leveraging its global experience in large-scale CO₂ management to support Oman’s decarbonisation objectives. Notably, Oxy signed an MoU last year with OQ Gas Networks (OQGN) — the sole operator of Oman’s gas transportation system — to explore the development of an integrated carbon management platform for the country.

“The MoU represents an important step in advancing national decarbonisation goals while also creating opportunities for technological innovation and economic diversification. Additionally, we are exploring renewable energy integration, including a solar project with OQ Alternative Energy in Blocks 9 and 27”.

Highlighting Oxy’s performance in 2024, Lauver said the company’s northern assets yielded a record liquid production of 134,000 barrels of oil equivalent per day (boepd) last year, up from around 1,000 boepd in 1984 when Oxy first began operations in Oman.

In Block 62, Oxy reported a “substantial discovery” located close to existing infrastructure, including a gas plant with available capacity. “The discovery of this previously unseen play has significantly transformed the potential development opportunities of Block 62”, Lauver noted.

Shedding light on Oxy’s Leave No Barrel Behind strategy, Lauver said the initiative aims to maximise recovery from reservoirs while leveraging the company’s exploration programme to continue finding new opportunities.

“In Block 53, we are focused on increased activities leading to more production and further demonstrating our long-term commitment in Oman. In Block 62, we continue to evaluate our discovery’s potential to increase production. We will continue our Block 9 CO₂ pilot, which can further assess EOR potential in our northern Oman blocks. Across our operations, exploration wells are planned and seismic data is continuously re-evaluated to discern and de-risk future opportunities”, he added.

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