The Ministry of Energy and Minerals has signed an agreement to extend Concession Area 53 until 2050 with the current operator, Oxy Mukhaizna, and its partners: OQ Exploration & Production, Indian Oil Corporation, Liwa Company, and PTT Exploration and Production.

This strategic move is part of the Ministry's efforts to ensure the continued operation of Mukhaizna field and enhance oil production through the application of advanced steam injection technology and by promoting the development of Thulaylat reservoir in the area. Mukhaizna field has been a successful model of cooperation between operating parties, and over the past years, it has contributed to significant developments in production rates, making it the highest producer of crude oil per day in the Sultanate's fields.

The new agreement stipulates the extension of the concession until 2050, allowing for investments estimated at approximately $30 billion over the extension period. These investments include capital and operating expenditures aimed at enhancing the efficiency of production operations and applying the latest extraction technologies to maximize the utilization of available resources in the area.

These major investments are expected to support the sustainability of the supply chain and associated contracts for operational processes, which will positively impact economic activity and provide new job opportunities in the oil and gas sector and its supporting industries.

Commenting on the signing, His Excellency Eng. Salim bin Nasser Al Aufi, Minister of Energy and Minerals, said, 'Extending the Concession Area 53 Agreement is a key move to secure the field's ongoing contribution to Oman's economy. The expected investment will boost production development and increase value in Oman's energy sector. We remain committed to collaborating with our partners to optimize the potential of Concession Area 53, a cornerstone of our strategy for efficient and responsible production.'

This extension underscores the Sultanate of Oman's ongoing commitment to ensuring the sustainability of its oil and gas industry, a key pillar of the national income, through the adoption of best practices and advanced technologies to maximize returns from its natural resources.