Oman and Iran plan to set up a ministerial group to study the feasibility of development of Henjam-West Bukha oil and gas field in the Strait of Hormuz, straddling the border between the two states.
Omani Minister of Petroleum and Mineral Resources Said bin Ahmad al-Shanfari and Iranian Oil Minister Gholamreza Aghazadeh agreed to form the joint committee during meetings in Tehran.
Henjam was discovered by Sofiran, a subsidiary of Ste. Nationale Elf Aquitaine in 1976.
The following year, another Elf subsidiary drilled an appraisal well on the Omani side of the line, where the structure is known as West Bukha. The well had oil and gas shows in a tight section of the reservoir.
Elf also conducted an extensive seismic survey over the structure on both sides of the border.
The company relinquished the Musandam concession off Oman in 1984. This is now held by International Petroleum Co. of Dubai and a unit of West Germany's Wintershall AG.
IPC plans to develop Bukha gas/condensate field, another structure on the Musandam concession, starting production by the end of 1991 (OGJ, May 7, p. 28).
IPC estimates one third of Henjam/West Bukha reserves lie on Oman's side of the boundary. It said unitization is needed before development plans can proceed.
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