FAQ

The Oil and Gas sector is a big and diversified sector in terms of activities, scales, and the backgrounds of the institution working in the sector, the mechanisms would change from one institution to another based on the elements mentioned.

In order to maintain the stability in this sector and ensure the employee obtains the needed job security and care, certain unified standards that have been agreed upon by companies working in the sector through Oman Society for Petroleum Services (OPAL) is to be followed. OPAL is responsible for supervising the regulations and standards that companies are required to follow, these standards include the human resources regulations that ensure the minimum wages of the employed and enhancement of performance beside the workers welfare, in addition to the application of occupational health and safety and creating the suitable environment work. These can be followed through proceedings and means like verifications certificates issued by OPAL to ensure the commitment of the institutions in practicing the minimum agreed standards in the Oil and Gas sector.

There is no special committee to follow the employee cases in the Ministry of Energy and Minerals, rather than that there is a Customers Services Department, and one of its roles is to receive complains from employees or companies and work to find out an appropriate wording for the two sides.

Since the marketing operation and the pricing of Oman crude oil in Dubai Mercantile Exchange in the middle of 2007 untill today, Oman Oil has become one of the reference price list for Oil pricing which is a great achievement by itself. In addition to that and through the marketing of Oman Oil Crude through Dubai Mercantile Exchange, the Omani crude oil has become more popular and widely available in the market and that provided a new choice for buyers to consider Oman oil. DME in a short term has become able to find new channels and markets for the crude, which added more weight and importance to the oil for buyers in terms of availability and easy reach.

Also the pricing transparent and fair mechanism in DME has earned the trust of traders in the credibility of pricing the crude oil compared with the available oil in the region. Based on the positive results that the Ministry received from pricing Oman oil in DME, there is no plans currently to modify the pricing mechanism by government and will let the market identify the price track.

The Ministry of Energy and Minerals urges all the operating corporates to allocate a certain amount of their efforts for investment in the social and economic development.

The Ministry as part of it development strategy encourages developing the social and economic sides in all the areas producing oil and gas, and energy establishments. Through which the Ministry aims to develop the Omani human resources, domestic economy, small and medium enterprises whichwill contribute to the economic prosperity not only in the fields related to Oil and Gas but also in theother fields.

1. Implement the general policy of the state in the power sector, set up its own strategies and working on its development in alignment with the policy.
2. Conduct and implement studies, plans, and policies that ensure the achievement of optimum utilization of the Energy resources.
3. Develop and Manage the Energy sector in accordance with the requirements of the Sultanate and the latest updates in the sector in coordination with the concerned authorities.
4. Represent the Sultanate in the international events related to Energy sector.

1. Increasing Omanisation and developing the skills of national workforce.
2. Increasing in-country spend on local goods and services.

It consists of the following seven elements with an overarching aim of maximising ICV in the oil & gas sector. These elements are molded into a standard ICV Plan, which is explained in the following FAQ.

1. Investments in Fixed Assets
2. Omanisation in the Work Force
3. Training of Omanis
4. Local Sourcing of Goods
5. Local Sourcing of Subcontracted Services
6. Development of National Suppliers
7. Development of National Training, Education and R&D Institutions