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Abu Butabul appraisal drilling programme commenced

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

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.

The block, 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 May 2006,
BG Group established an office in Muscat to both deliver the Block 60 work programme and to 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 January 2008.

The first appraisal well was spudded in December 2007 and completed in March 2008. Drilling is planned to continue throughout 2008 and into 2009, with eight appraisal wells planned.

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.