By: AGBI

Oman is reportedly planning to award the exploration and development rights to four oil and gas blocks by early next year.

“We have obtained offers from selected potential operators and partners,” Oman Observer reported Anwar Al Kharusi, chief executive commercial at OQ Exploration & Production (OQEP), as saying.

The energy ministry, OQEP and Canada-based Scotiabank are assessing the offers, he said.  

Blocks 36, 43A and 66 on Oman’s border are part of the “Project Sun” initiative.

The fourth license is Block 18, a large offshore concession in the southern Sea of Oman.

Last month, OQEP said it was buying back a portion of its shares listed on the Omani bourse, in a bid to finance its future expansion plans.

The buyback will be between 45 and 60 million shares to start from August 6, 2025, until February 9, 2026, “or until the target number of shares has been acquired,” OQEP said in the Muscat Securities Market disclosure. 

The company’s net profit fell 11 percent year on year to OR167 million in the first half of 2025, as revenue remained flat annually at OR428 million.

Oil and condensate sales volume increased by 11 percent in the first six months compared to a year ago, which helped to significantly minimise the impact of the drop in oil prices on the profitability.

This month the sultanate recorded a budget deficit of OR260 million ($673 million) for the first half of 2025, dented by lower oil revenues.

Oil revenues took a 10 percent knock to $7.8 billion in the six months to June compared with the first six months of 2024, due to lower average oil prices and production, according to official data.

Oman produces an average of one million barrels of crude oil per day.