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BG Group holds a 100% interest in, and operatorship of, Block 60 onshore Oman, following the signature of an EPSA with the government of the Sultanate of Oman in April 2006.

Key dates

2006
Signed an Exploration and Production Sharing Agreement (EPSA) for Block 60

2007 
Seismic data acquisition commenced

First Abu Butabul appraisal well spudded

Block 60, which covers almost 1 500 square kilometres, contains the Abu Butabul gas and condensate discovery which was made in 1998. In addition to this discovery, there are other exploration prospects within the block.

Following ratification of the EPSA by His Majesty Sultan Qaboos in 2006,
BG Group established an office in Muscat to both deliver the Block 60 work programme and act as a regional base to assess future opportunities in Oman and other Gulf Cooperation Council States.

In 2007, BG Group commenced acquisition of seismic data over Block 60, including both the appraisal area of the Abu Butabul structure and the exploration area in the northern part of the block. Acquisition of 3D seismic covering 1 500 square kilometres was completed in early 2008.

The first appraisal well was spudded in December 2007 and completed in March 2008. In total, seven appraisal wells have been drilled to target depth during 2008-2009 and all found gas condensate. No further wells are planned to be drilled as focus now shifts to finding optimum ways to develop gas from the field.

Abu Butabul is a tight gas discovery and the ability to get gas to flow effectively and efficiently will be key to determining commercial viability. The Group is aiming to move to project sanction, and targeting commissioning of the facility towards the second half of 2012.

The Block 60 project marks BG Group’s entry into the natural gas sector in Oman, with the intention of appraising and commercialising potential reserves for supply into the domestic market.