Petroleum Development Oman to invest $26 bn in Oman's oil sector

DUBAI: Oman's flagship oil and gas company Petroleum Development Oman (PDO) will invest around $26 billion in hydrocarbon exploration and production over the next five years, according to a news report.

The proposed outlay has been set out in the company's five-year business plan.

Its substantial size is in sync with the government's announcement earlier that total outlays in the country's mainstay hydrocarbon industry are projected to exceed USD 100 billion over the next 10 years, the report quoted PDO Managing Director Raoul Restucci as saying.

A Ministry of Oil and Gas official told Times of Oman that investments in the oil sector will be in excess of $60-70 billion over the 2013-2022 timeframe, while the gas sector will attract more than $40 billion in exploration and production related investments.

The total spend in oil and gas activities is expected to gross over $100-110 billion over the next 10 years, Ali bin Thabit Al Battashi, Adviser to the Ministry of Oil and Gas, told the newspaper.

"We are securing huge support from the Ministry of Oil and Gas and shareholders in terms of the appraisal, exploration and testing of ('tight' gas) wells," Restucci said, adding that economic opportunities linked to tight gas development will "generate enormous value across the country".