Oman's oil strategy is now one of 'managed decline'
Muscat faces up to oil twilight
The Omani government’s focus is reluctantly shifting to managing output decline
State-controlled Petroleum Development Oman (PDO), producer of some two-thirds of Oman’s oil, announced In late May the near-completion of its flagship Yibal Khuff enhanced oil recovery (EOR) project. The tone was celebratory but could equally have been valedictory. The international energy landscape and the government’s fiscal position have shifted dramatically in the seven years since the scheme’s launch. It is hard to envisage either the parastatal or its foreign counterparts in the country’s upstream ever again embarking on such a costly, emissions-heavy venture for such a small output payoff. The sultanate’s energy minister, Mohammed al-Rumhy, openly conceded in an interview last month
Also in this section
6 February 2026
The long close relationship between key supplier Qatar and pivotal buyer Japan becomes even deeper following new landmark deal
6 February 2026
Partnerships across the LNG value chain have evolved over time, growing in both complexity and importance, according to panellists at LNG2026
6 February 2026
Nigeria's mega-refinery is still trying to solve many challenges, all while its owner talks up expansion
5 February 2026
While broadly supportive of EU efforts to tackle methane emissions, representatives of the gas industry warn it could deter supply contracting if timelines and compliance requirements are not made more pragmatic
