BP strengthens Oman gas ties
With its Khazzan field boosting Oman's liquefied natural gas output, BP has moved into marketing the fuel
The start of production last year from the BP-operated Khazzan natural gas project was a game-changer for Oman LNG, which operates three liquefaction trains at Qalhat on the Indian Ocean coast. Over recent years, pressure from rising domestic demand saw gas diverted away from exports, leaving the Qalhat plant running at around 75% capacity. OLNG's chief executive Harib al-Kitani told Petroleum Economist in December that as a result of the Khazzan start-up "our three trains are now almost at full capacity of 10.5m tonnes a year". This is just the start. The first phase of development involves 200 wells producing 1bn cubic feet a day of natural gas. When the first two phases are on stream, the
Also in this section
4 March 2026
The US president has repeatedly promised to lower gasoline prices, but this ambition conflicts with his parallel aim to increase drilling and could be upended by his war against Iran
4 March 2026
With the Strait of Hormuz effectively closed following US-Israel strikes and Iran’s retaliatory escalation, Fujairah has become the region’s critical pressure release valve—and is now under serious threat
3 March 2026
The killing of Iran’s Supreme Leader Ayatollah Khamenei in US–Israeli strikes marks the most serious escalation in the region in decades and a bigger potential threat to the oil market than the start of the Russia-Ukraine crisis
2 March 2026
A potential blockade of the Strait of Hormuz following the escalating US-Iran conflict risks disrupting Qatari LNG exports that underpin global gas markets, exposing Asia and other markets to sharp price spikes, cargo shortages and renewed reliance on dirtier fuels
