OMAN - The OLNG Venture.The $2.5 bn OLNG venture is 51% owned by the government. The state's partners in this are: Shell (30%), Total (5.54%), Korea LNG LNG (liquefied natural gas): see under natural gas. Co. (5%); Mitsubishi (2.77%), Mitsui (2.77%), Partex (2%), and Itochu (0.92%). OLNG is limited to the downstream element, consisting of two trains - with a total capacity of 6.6m t/y but production potential of 7.2m t/y. The upstream is owned by the government but run on its behalf by the main oil concessionaire in Oman, Petroleum Development Oman Petroleum Development of Oman (PDO) is the foremost exploration and production company in the Sultanate. It accounts for more than 90% of the country's crude-oil production and nearly all of its natural-gas supply. (PDO PDO Php Data Objects (PHP extension) PDO Protected Designation of Origin (EC) PDO Pacific Decadal Oscillation (weather) PDO Property Damage Only ). On Nov. 16, 1996, Sultan Qaboos inaugurated construction of the liquefaction liquefaction, change of a substance from the solid or the gaseous state to the liquid state. Since the different states of matter correspond to different amounts of energy of the molecules making up the substance, energy in the form of heat must either be supplied to plant at Qalhat. The sultan's then Oil Minister Said bin Ahmad al-Shanfari said: "The LNG venture...should generate $24 bn for the sultanate over the next 25 years". The then Deputy Oil Minister and Chairman of Oman LNG Oman LNG is a LNG plant in Qalhat near Sur, Oman. The construction was launched in November 1996, and the plant was commissioned in September 2000. The main shareholder is the Government of Oman (51%) in cooperation with Royal Dutch Shell (30%), Total S.A. (5. , Salem bin Muhammad Sha'ban later said the project would generate $29 bn, with about $12.4 bn to come from the upstream element. But the actual yearly income since 2000 has been much higher due to a rise in LNG prices following high oil prices. On Nov. 14, 1996, OLNG had awarded the EPC (1) (Entertainment PC) See HTPC. (2) (Electronic Product Code) A standard code for RFID tags administered by EPCglobal Inc. (www.epcglobalinc.org). contract for the LNG plant to the Chiyoda/Foster Wheeler partnership. The value of the contract was $1.2 bn. The EPC partnership subcontracted work to qualified local firms (see Vol. 58, No. 7). The fields producing the natural gas for OLNG and QNLG are Saih Nihayda, Saih Rawl and Barik in central Oman, where continuing exploration has increased their proven reserves considerably since late 2000. Development drilling there began in the first half of 1997. The fields came on stream before end-1999 and these helped raise Oman's gas production to 64 MCM/d (see Gas Market Trends No. 6). |
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