BP’s Khazzan gas field in Oman starts production

Oil major BP has started production from the Khazzan gas field, which is operated by the company in partnership with Oman Oil Company Exploration and Production.

In 2007, the first production sharing agreement for Block 61 containing the Khazzan field was signed and amended in 2013, leading to its extension last year.

BP operates Block 61 with a 60% interest and the remaining 40% is held by Oman Oil Company.

Appraisal over 2007-2013 confirmed the existence of significant tight gas resources that could be developed through the application of the company’s unconventional gas technology.

Phase I of the Khazzan development of the field was sanctioned in December 2013.

This phase is made up of 200 wells feeding into a central processing facility with two trains and production is expected to plateau at one billion cubic feet of gas per day (bcfpd).

Production will increase to 1.5bcfpd once the second phase of the Khazzan is running.

Approximately 300 wells are expected to be drilled over the estimated lifetime of the field.

Together, phases I and II are set to develop an estimated 10.5 trillion cubic feet of recoverable gas resources from the field.

BP group chief executive Bob Dudley said: “The start of production from Khazzan, BP’s sixth and largest major project start-up so far this year, is an important milestone in our strategic partnership with Oman.

“With further development already planned, this giant field has the potential to produce gas for Oman for decades to come.”

BP’s seven upstream major projects are set to become operational this year and are expected to contribute to the 800,000 barrels of oil equivalent per day of production that the company expects to add by 2020.

BP provided seismic, hydraulic fracturing and well design services for the project.