Oman’s oil production on track to hit one million bpd target

He also said the sultanate would announce a number of oil and gas discoveries shortly.

Speaking to reporters at a function here on Tuesday, he said the ideal international price for crude for both producers and consumers would be between $70 and $80 a barrel. He noted that prices were determined not just by supply and demand, but also by political and economic factors.

Meanwhile, the sultanate reported a more than six per cent increase in crude production in the first ten months of the year. The Ministry of National Economy said output totalled 261.7 million barrels, compared with 245.4 million in the comparable period of 2009, up 6.6 per cent.

The average daily production was 860,800 barrel per day and the average price realised rose by 41.9 per cent to $76.38 a barrel. Total exports grew by 10.4 per cent to reach 220.2 million barrels, with shipments to Singapore, China and Japan rising by 117.7 per cent, 40.1 per cent and 11.7 per cent, respectively. Exports to South Korea, Taiwan and Thailand decreased by 55.5 per cent, 17.8 per cent and 9.8 per cent. China maintained its leading position as the main destination for the sultanate’s oil exports, receiving 42 per cent of the total, or 91.4 million million barrels.

Natural gas production rose by 7.1 per cent to 970,332 million cubic feet (mcf) from 906,298 mcf.

ravindranath@khaleejtimes.com