Muscat:− Shell Development Oman LLC (Oman Shell) and Petroleum Development Oman LLC (PDO) have agreed to collaborate and jointly study Carbon Capture Utilisation and Storage (CCUS) opportunities in Oman. As part of this agreement, Oman Shell and PDO signed a Memorandum of Understanding (MOU) for a joint study, which will broadly assess all aspects related to reinjecting and storing CO2 in Oman. The study’s scope will cover technical matters, project time frame and cost, as well as consider support for a regulatory and fiscal framework for CCUS in Oman.

Through this collaboration, Petroleum Development Oman and Oman Shell seek to leverage joint capabilities and economies of scale to initiate the CCUS industry in Oman, and to facilitate the inception of a Low Carbon Hydrogen value chain in Oman.

PDO is the operator of Block 6 and in line with Oman Vision 2040 has clear commitments towards achieving Net Zero Emissions by 2050.  PDO is therefore progressing opportunities to grow its core hydrocarbon business whilst also reducing GHG emissions from its operations, including the use of CCUS for enhanced oil recovery and long-term CO2 storage.

Oman Shell is the operator of Block 10 and is maturing options for an associated downstream project based on Low Carbon Hydrogen value chains with CCUS.

Commenting on this agreement, Walid Hadi, Oman Shell’s VP and Country Chairman, said, “This collaboration allows Oman Shell and PDO to positively contribute to Oman Vision 2040, creating opportunities to reduce the carbon intensity of PDO’s existing operations and creating a new Low Carbon Hydrogen value chain in Oman. The intent of this collaboration is to progress CCUS opportunities in Oman, making the best use of PDO’s knowledge of the subsurface/surface and its long-standing experience of operating assets in Oman, together with Shell’s global knowledge and experience in Carbon Capture Utilisation and Storage. The initial study may well result in further collaboration involving additional projects in the future.”

Steve Phimister, Managing Director of PDO stated: “In line with PDO’s commitments to Oman Vision 2040 and our role in the energy transition, this collaboration lays the foundation for PDO to reduce emissions from our operations as well as helping to progress Oman’s national energy agenda, via large scale CCUS. PDO and Shell, are uniquely positioned based on capacity, geography, and expertise to execute this project together and build sustainable energy solutions for Oman’s future.”


  • Oman Shell: Shell has been a partner in Oman’s development and progress over the last several decades. We have been providing pioneering technologies and expertise in the energy industry and creating value for the community.

Shell is active in Oman across the oil and gas industry and is involved in joint venture and independent activities ranging from research and development, exploration and production to trading, retail and new energies. Shell also implements an extensive social investment programme that contributes to the sustainable development of the country.

Oman Shell is the operator of Block 10 following a concession agreement that was signed in December 2021 and approved by Royal Decree 12/2022. Shell is also exploring Blocks 42 and 55.

Shell holds interests in Petroleum Development Oman (34%), Oman LNG (30%) and Shell Oman Marketing Company (49%). Together they represent a substantial part of Oman’s economic growth.

  • CCUS: Carbon Capture, Utilisation and Storage is a combination of technologies that capture, use and store carbon dioxide deep underground, preventing its release into the atmosphere. Shell considers CCUS as one of the enablers to actually achieve the climate objectives.
  • PDO: Petroleum Development Oman (PDO) is the leading exploration and production company in the Sultanate of Oman. We deliver the majority of the country’s crude oil production and natural gas supply, but above all we focus on delivering excellence, growth and sustainable value creation within and well beyond our industry.

The Company is owned by the Government of Oman (which has a 60% interest), the Shell Group (which has a 34% interest), Total (which has a 4% interest) and PTTEP (which has a 2% interest). Gas fields and processing plants are operated by PDO exclusively on behalf of the Government.

Salima Al Masrouri
External Comms Lead – Oman Shell
Media Relations Advisor – MENA

Media Middle East and North Africa  

Samah Al Rawahi
External Communications and Brand Lead – PDO

Cautionary note

The companies in which Shell plc directly and indirectly owns investments are separate legal entities. In this announcement, “Shell”, “Shell Group” and “Group” are sometimes used for convenience where references are made to Shell plc and its subsidiaries in general. Likewise, the words “we”, “us” and “our” are also used to refer to Shell plc and its subsidiaries in general or to those who work for them. These terms are also used where no useful purpose is served by identifying the particular entity or entities. ‘‘Subsidiaries’’, “Shell subsidiaries” and “Shell companies” as used in this announcement refer to entities over which Shell plc either directly or indirectly has control. Entities and unincorporated arrangements over which Shell has joint control are generally referred to as “joint ventures” and “joint operations”, respectively. “Joint ventures” and “joint operations” are collectively referred to as “joint arrangements”.  Entities over which Shell has significant influence but neither control nor joint control are referred to as “associates”. The term “Shell interest” is used for convenience to indicate the direct and/or indirect ownership interest held by Shell in an entity or unincorporated joint arrangement, after exclusion of all third-party interest.

Forward-Looking Statements

This announcement contains forward-looking statements (within the meaning of the U.S. Private Securities Litigation Reform Act of 1995) concerning the financial condition, results of operations and businesses of Shell. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. Forward-looking statements are statements of future expectations that are based on management’s current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements include, among other things, statements concerning the potential exposure of Shell to market risks and statements expressing management’s expectations, beliefs, estimates, forecasts, projections and assumptions. These forward-looking statements are identified by their use of terms and phrases such as “aim”, “ambition”, ‘‘anticipate’’, ‘‘believe’’, ‘‘could’’, ‘‘estimate’’, ‘‘expect’’, ‘‘goals’’, ‘‘intend’’, ‘‘may’’, “milestones”, ‘‘objectives’’, ‘‘outlook’’, ‘‘plan’’, ‘‘probably’’, ‘‘project’’, ‘‘risks’’, “schedule”, ‘‘seek’’, ‘‘should’’, ‘‘target’’, ‘‘will’’ and similar terms and phrases. There are a number of factors that could affect the future operations of Shell and could cause those results to differ materially from those expressed in the forward-looking statements included in this announcement, including (without limitation): (a) price fluctuations in crude oil and natural gas; (b) changes in demand for Shell’s products; (c) currency fluctuations; (d) drilling and production results; (e) reserves estimates; (f) loss of market share and industry competition; (g) environmental and physical risks; (h) risks associated with the identification of suitable potential acquisition properties and targets, and successful negotiation and completion of such transactions; (i) the risk of doing business in developing countries and countries subject to international sanctions; (j) legislative, judicial, fiscal and regulatory developments including regulatory measures addressing climate change; (k) economic and financial market conditions in various countries and regions; (l) political risks, including the risks of expropriation and renegotiation of the terms of contracts with governmental entities, delays or advancements in the approval of projects and delays in the reimbursement for shared costs; (m) risks associated with the impact of pandemics, such as the COVID-19 (coronavirus) outbreak; and (n) changes in trading conditions. No assurance is provided that future dividend payments will match or exceed previous dividend payments. All forward-looking statements contained in this announcement are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. Readers should not place undue reliance on forward-looking statements. Additional risk factors that may affect future results are contained in Shell plc’s Form 20-F for the year ended December 31, 2021 (available at and These risk factors also expressly qualify all forward-looking statements contained in this announcement and should be considered by the reader.  Each forward-looking statement speaks only as of the date of this announcement 25th May 2022 Neither Shell plc nor any of its subsidiaries undertake any obligation to publicly update or revise any forward-looking statement as a result of new information, future events or other information. In light of these risks, results could differ materially from those stated, implied or inferred from the forward-looking statements contained in this announcement.

Shell’s net carbon footprint

Also, in this announcement we may refer to Shell’s “Net Carbon Footprint” or “Net Carbon Intensity”, which include Shell’s carbon emissions from the production of our energy products, our suppliers’ carbon emissions in supplying energy for that production and our customers’ carbon emissions associated with their use of the energy products we sell. Shell only controls its own emissions. The use of the term Shell’s “Net Carbon Footprint” or “Net Carbon Intensity” are for convenience only and not intended to suggest these emissions are those of Shell plc or its subsidiaries.

Shell’s net-Zero Emissions Target

Shell’s operating plan, outlook and budgets are forecasted for a ten-year period and are updated every year.  They reflect the current economic environment and what we can reasonably expect to see over the next ten years. Accordingly, they reflect our Scope 1, Scope 2 and Net Carbon Footprint (NCF) targets over the next ten years.  However, Shell’s operating plans cannot reflect our 2050 net-zero emissions target and 2035 NCF target, as these targets are currently outside our planning period. In the future, as society moves towards net-zero emissions, we expect Shell’s operating plans to reflect this movement. However, if society is not net zero in 2050, as of today, there would be significant risk that Shell may not meet this target.