Fall in Oman’s Crude Oil Reserves

Oman’s crude oil and condensate reserves totaled around 4.825 billion barrels at the end of 2024, reflecting a decrease of 2.8 per cent compared to the previous year. Natural gas reserves stood at 23.3 trillion cubic feet (TCF), up from around 23 TCF a year earlier. Announcing these figures in its 2024 Annual Report, the Ministry of Energy and Minerals noted that Petroleum Development Oman (PDO) — the largest oil and gas producer in the Sultanate — accounted for about 62 per cent of total crude oil and condensate reserves in 2024. Highlighting the central role of hydrocarbons in Oman’s national economy, Eng. Salim bin Nasser Al Aufi, Minister of Energy and Minerals, stated: “Amid global challenges facing energy markets — ranging from price volatility to evolving demand dynamics — Oman, guided by strategic foresight and sound policies, succeeded in maintaining stable production levels in the oil and gas sector. The average daily production of crude oil and condensates reached 992.6 thousand barrels, with total exports of approximately 308.4 million barrels.” He added: “The average price for Omani crude stood at US$80.79 per barrel. In the natural gas sector, average daily production reached 149.2 million cubic meters, comprising 117.5 million cubic meters of non-associated gas and 31.7 million cubic meters of associated gas. Exports of liquefied natural gas (LNG) totaled 12 million tonnes, delivered across 181 shipments — a clear indication of the sector’s operational efficiency and resilience.”

As of end-2024, Oman was home to 475 producing fields, comprising 400 oil fields and 75 gas fields. A total of 73 exploration and appraisal wells were drilled last year — 54 for oil and 19 for gas, the report noted. According to Al Aufi, the year 2024 was marked by continued advancements across the oil and gas sectors. “Our vision remains firmly set on a diversified economic future, enhanced in-country value, and empowered Omani talent across all levels. Despite global challenges, Oman succeeded in maintaining stable production levels in the oil and gas sector, thanks to strategic foresight and sound policies.” Significant progress was also witnessed in the refining and petrochemical sector, said the Minister. A total of 122 million barrels of petroleum products — including gas oil, jet fuel, and naphtha — were exported, while imports dropped to around 2 million barrels, demonstrating growing self-suff iciency and improved value chain efficiency. On the green hydrogen front, 2024 marked a year of “pioneering milestones” aimed at reinforcing Oman’s position as a regional hub for renewable energy and green hydrogen, Al Aufi noted. This was underscored by the signing of eight major hydrogen production agreements — five in Al Wusta Governorate and three in Dhofar. Electricity generated from renewable sources — chiefly solar and wind — accounted for roughly 9 per cent of total power generation in the country last year. This modest but growing share underscores the Ministry’s commitment to diversifying the national energy mix and advancing low-carbon solutions, Al Aufi said. The contribution of renewables is set to increase steadily with the commissioning of the Manah 1 and Manah 2 solar farms, which will have a combined capacity of 1,000 MW. Also slated for launch by 2026 are the North Oman Solar project and the Riyah 1 and 2 wind farms, which together are projected to reduce CO₂ emissions by over 1.4 million tonnes annually, the Minister noted.