SINGAPORE – Oman’s Ministry of Oil & Gas has extended Masirah Oil’s exploration and production-sharing agreement for block 50 offshore Oman by three years to March 2020.
Masirah’s parent company Rex International Holding says plans are in motion for another exploration well on the concession early next year.
This will also be the first well using the new multi-attribute version of Rex Virtual Drilling, which enables the company to be independent from traditional geological inputs on porosity and permeability.
The Manarah-1 exploratory well drilled in 1Q confirmed the presence of a source rock and a working petroleum system in the 17,000-sq km (6,564-sq mi) block 50. It followed Masirah’s GA South oil discovery in 2014, the first offshore Oman.
Investigations are under way for a revised, lower service cost extended-well test and early production system on block 50, which Rex International claims could lead to profitable development even at an oil price of $40/bbl.
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