Sep 25, 2017
BP begins fracking at $16bn Oman gas project
BP has started production from a $16bn gas project in Oman that involves the biggest use of US-style fracking technology so far seen in the Middle East. "The rock is old, deep and very hard and the gas moves through it only grudgingly," said one person familiar with the Oman project, which is expected to meet about a third of the sultanate's domestic gas demand. Fracking has so far not been widely used in the Middle East because the region has plentiful remaining supplies of conventional oil and gas, but new drilling and seismic technology pioneered in the US made Khazzan commercially viable. Announcing the start of production from the first phase of the project on Monday ahead of schedule and under budget, Bob Dudley, BP chief executive, said Khazzan "Has the potential to produce gas for Oman for decades to come". Phase one of the project involves 200 wells expected to reach steady production of 1bn cu ft of gas a day - a 30 per cent increase on Oman's total output last year.
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