Italian energy company Eni and Oman Oil Company Exploration and Production (OOCEP) have signed an exploration and production sharing agreement (EPSA) with the Government of Oman for Block 47.
Image: Eni signs EPSA in Oman. Photo: Courtesy of Dani Simmonds/FreeImages.com.
Block 47 is located on shore in the Omani A’Dakhiliyah Governorate and covers an area of about 8,524km2. The block was awarded to Eni and OOCEP after their joint bid in 2017 under Oman Licensing Round.
According to the agreement, Eni will be the operator of the block, with 90% interest in the block. OOCEP will own the remaining 10% stake in the block. Exploration operations are expected to begin later this year.
Additionally, Eni, Ministry of Oil & Gas and BP signed a head of agreement (HoA) which sets up the principles to acquire exploration and production rights for the onshore Block 77, which covers an area of about 3,100km2, 30km east of the BP-operated Khazzan Field.
As part of the agreement, Eni and BP will own 50% of stake in Block 77 and Eni will act as operator during the exploration phase.
After the HoA, the exploration and production sharing agreement (EPSA) will be signed shortly.
The Italian energy company stated that signing the agreement for Block 47 and HoA for Block 77, represents taking the next step in the company’s strategy to reinforce its presence in Oman and to strengthen its collaboration with OOCEP, which is a partner of Eni in Block 52.
In 2017, the Government of Oman signed an EPSA with Eni and OOCEP for Block 52.
Block 52 is an underexplored offshore area with hydrocarbons potential and is located in the southern region of Oman. It is spread in an area of about 90,000km2, with water depths ranging from 10m to more than 3,000m.
With the EPSA, Eni has been is the operator of the block, through its subsidiary Eni Oman, with an 85% stake, whilst its partner OOCEP holds the remaining 15% stake.
Eni operates in Oman through its subsidiary Eni Oman. In the Middle East, Eni has presence in the UAE, Lebanon and Iraq.