By: Zawya

Majority Omani state-owned Oman LNG achieved a production record of 11.98 million tonnes per annum (MTPA) in 2024 – the highest in its 20-year history, the company announced this week.

Revenues earned by the triple-train liquefaction complex – from LNG exports as well as local sales of natural gas liquids (NGLs) – soared to a total of $6.5 billion, according to its 2024 Annual Report.

“2024 marked a historic year for Oman LNG, delivering record-breaking production, flawless operational performance and transformational commercial agreements. As we celebrate over three decades of successful operations, we stand poised to enter a new era with the commencement of our long-term SPAs (Sales and Purchase Agreements) in 2025,” the company noted.

Saud a Shukaili, Chairman of Oman LNG, commented: “As we mark over 30 years of Oman LNG’s pioneering journey, I am honoured to present our 2024 Annual Outlook Report — a testament to our resilience, strategic foresight and unwavering commitment to Oman’s prosperity. The past year unfolded against a backdrop of global energy market volatility, geopolitical shifts and accelerating climate action.”

In comparison, Oman LNG’s output in 2023 was 11.5 MTPA, which was already above the nameplate capacity of 10.4 MTPA.

The output increase in 2024 was the result of a major debottlenecking and plant rejuvenation project that helped add one million tonnes to the triple-train facility’s design capacity.

Last year’s production of 11.98 MTPA was shipped to markets worldwide in a total of 181 cargoes — 126 from Oman LNG and 55 from Qalhat LNG — compared with 173 cargoes in 2023.

Another key highlight of 2024 was the company’s success in securing offtake commitments under its Beyond 2024 (B24) programme, covering output for the extension phase spanning a 10-year period through to 2034.

“2024 laid the foundation for Beyond 2024 (B24) agreements, securing Oman LNG’s future,” the company stated in its report. 

Around 10.4 MTPA of the plant’s output is now committed under long-term SPAs with a large portfolio of global partners, while the remainder will be offered on the spot market — where natural gas is bought and sold for immediate or near-term delivery.

“Our new agreements represent more than just contracts — they are the foundation for Oman LNG’s next decade of success. By balancing term commitments with trading flexibility, we have created a portfolio that is both secure and adaptable to market dynamics,” said Mahmoud al Balushi, Chief Commercial Officer.

Khamis al Hashmi, Chief Financial Officer, added that Oman LNG’s revenue of $6.5 billion, coupled with a Net Income After Tax (NIAT) of $1.7 billion, attested to the company’s financial resilience.

“Our strategic portfolio optimisation balances long-term contracts (91%) with spot market agility — ensuring value for shareholders while funding Oman’s energy transition,” he stated.