Oman’s OQEP to boost oil and gas output to 300,000 boe/d by 2030

MUSCAT, FEB 25
OQ Exploration & Production SAOG (OQEP) — the majority Omani state-owned upstream energy company — is targeting a significant ramp-up of its hydrocarbon output, encompassing oil, gas and condensates, to around 300,000 barrels of oil equivalent per day (boe/d) by 2030 across its vast portfolio spanning 14 operating and non-operating upstream assets. This compares with an average production of 230,000 boe/d at the end of 2024.
The new production target is one of the cornerstones of a new “growth strategy” approved by OQEP’s Board of Directors last December, according to Mahmoud al Hashmi, Chief Executive Officer.
“The strategy adopts a balanced growth model centred on domestic development, complemented by selective international expansion. Near term growth is expected to be driven primarily through disciplined M&A, with exploration playing a greater role over the longer term. The strategic growth of OQEP’s production base will continue to provide a balanced portfolio of oil and gas assets which will generate growing and resilient cash flows to enable investment in future growth and shareholder returns”, Al Hashmi stated in the company’s Management Discussion and Analysis Report for the year ended December 31, 2025.
In 2025, OQEP delivered a solid operational performance marked by higher liquids output despite a softer pricing environment. Crude oil and condensate production rose 6.9% year-on-year to 21.7 million barrels (mmbbl), compared with 20.3 mmbbl in 2024, reflecting improved field performance and production optimisation efforts.
However, the average realised sales price declined by 12.5% to $70.7 per barrel, down from $80.8 per barrel in the previous year, mirroring broader global oil price trends. Gas volumes recorded a marginal 2.4% decrease to 121.2 billion cubic feet (bcf), compared with 124.2 bcf in 2024.
On the financial front, revenue declined 6.7% year-on-year to RO 1,159.0 million, down from RO 1,242.8 million in 2024, while gross profit fell 8.7% to RO 657.0 million. EBITDA decreased 6.9% to RO 941.1 million. Net profit after tax recorded a sharper 14.9% drop to RO 278.0 million, compared with RO 326.6 million a year earlier.
Commenting on the company’s overall performance, Ashraf bin Hamed al Mamari, Chairman of the Board of Directors — OQEP, added: “In 2025, the Company delivered strong operational and financial results. Despite a decrease in average oil prices by $10.1 per barrel (12.5%) compared to the same period in 2024, the Company increased oil and condensate sales by approximately 1.4 million barrels. This sales growth effectively offset the revenue impact of lower oil prices.
Net Profit remained robust, even in the absence of Profit from Discontinued Operation following the transfer of the Company’s 51% stake in Abraj to OQ SAOC in the first half of 2024 and higher financing costs associated with a new loan facility initiated in September 2024”.