MUSCAT, JUNE 7
Oman’s Ministry of Energy and Minerals has announced that no agreement has yet been reached on the allocation of shares between the Sultanate of Oman and the Islamic Republic of Iran in the proposed joint development of a hydrocarbon field straddling their maritime borders.
The field, known as Hengam on the Iranian side and Bukha on the Omani side, figured in recent discussions by the two neighbourly countries during the recent visit of Iranian President Dr Ebrahim Raisi to Muscat.
According to a statement issued by the Ministry of Energy and Minerals, the Omani part of the field, currently comprising Block 8 off Musandam Governorate, has been in production since 1985.
“With regard to the joint development of the field and the allocation of shares between the Sultanate of Oman and the Islamic Republic of Iran, there have been previous discussions on this objective, which produced no agreement on joint development'', the Omani ministry said.
“The Ministry of Energy and Minerals confirms that it has not recently participated in any technical discussions or negotiations related to this common field, thus denying that there is any agreement to allocate shares among the partners. It has stressed the need to optimise benefits from this field through its joint development, if and when agreed upon'', it added.