Updated Dec. 22, 2021: This press release was amended with a correction regarding the gas fields in Block 10. The agreement is not to develop Saih Rawl field, as previously mentioned, but the gas from Block 10 will be processed at the gas processing plant in Saih Rawl. There are a number of gas accumulations in Block 10, the main gas field that will be developed is Mabrouk North East.
Shell Integrated Gas Oman BV, a subsidiary of Royal Dutch Shell PLC, signed a concession agreement with the Ministry of Energy and Minerals of the Sultanate of Oman to develop and produce natural gas from Block 10 of the onshore Saih Rawl gas field in Al Wusta governate, about 400 km from Muscat. The block covers an area of about 1,200 sq km.
For the initial phase, Petroleum Development Oman (PDO) is building infrastructure for the project, including the main pipeline to the Saih Rawl gas processing plant, on behalf of the Block 10 venture partners. The venture will drill and hook up wells to maintain production beyond the initial phase. The block is expected to reach production of 500 MMcfd. Start-up is expected within the next 2 years.
Shell and Energy Development Oman (EDO) also signed an agreement to process natural gas from Block 10 at EDO’s Saih Rawl plant.
The agreement establishes Shell Integrated Gas Oman as operator in Block 10 (53.45%) with partners Oman National Oil Company (13.36%) and Marsa Liquefied Natural Gas LLC (33.19%).