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Home World News Middle East

Oman wellheads facility to boost ICV in oilfield sector

December 18, 2024
in Middle East
Reading Time: 3 mins read
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MUSCAT – A major oil and gas development project aimed at enhancing wellhead production is set to boost Oman’s oil and gas sector, as well as drive sustainability and In-Country Value (ICV).

Desert Sand Oil & Gas, a 100% Omani service provider, has partnered with JMP Petroleum Technologies, Inc to launch the Oman Wellheads Manufacturing Facility, backed by a $45 million investment aimed at strengthening Oman’s oil and gas infrastructure.

The partnership will establish a state-of-the-art facility producing up to 300 wellheads annually, driving technological advancement, job creation, and sustainability in the sector.

STRATEGIC PARTNERSHIP FOR GROWTH

The collaboration combines Desert Sand Oil & Gas’s operational expertise with JMP Petroleum’s advanced wellhead technology. The project will address the growing demand for efficient oil and gas extraction solutions in the region.

In an interview with Observer, Khalid al Junaibi, CEO of Desert Sand Oil & Gas, emphasised the strategic alignment between the two companies. “Our partnership with JMP Petroleum brings cutting-edge wellhead solutions that optimize resource extraction while reducing operational costs,” he stated. “By leveraging our shared expertise, we aim to enhance Oman’s oilfield performance while fostering local talent and technological development.”

INVESTMENT BREAKDOWN

The $45 million investment will be allocated across multiple areas critical to the project’s success. A significant portion will fund research and development to ensure wellhead designs meet local environmental and operational conditions. Infrastructure upgrades, including manufacturing facilities and wellhead installation systems, will also be prioritised.

Additionally, the investment will support sustainability measures such as reducing emissions and water usage through innovative technologies. A portion of the budget will cover operational costs, including logistics, maintenance, and workforce training programmes.

“Our investment strategy is designed to ensure long-term success by balancing technological innovation with sustainability,” Al Junaibi explained.

ENHANCING IN-COUNTRY VALUE (ICV)

Boosting in-country value is a core objective of the Oman Wellheads manufacturing facility. Local procurement, workforce development, and partnerships with Omani businesses are key focus areas. Desert Sand Oil & Gas aims to source materials and services from local suppliers, strengthening the domestic economy while reducing import dependency.

“We are committed to training Omani professionals, fostering local expertise, and supporting businesses through partnerships and procurement,” Al Junaibi added. “By building a skilled workforce and creating sustainable job opportunities, we can ensure long-term economic impact.” The company will also collaborate with educational institutions and technical training centers to transfer knowledge and technical skills to local engineers and technicians, ensuring the sustainability of operations.

SUSTAINABILITY GOALS

The integration of clean energy technologies is central to the project’s sustainability plan. Desert Sand Oil & Gas intends to adopt renewable energy sources to reduce its carbon footprint while complying with international environmental standards.

“By adopting cleaner energy solutions, we aim to reduce our carbon emissions while meeting future energy demands,” Al Junaibi explained. “

This positions us as a forward-thinking company committed to sustainable development.”

LOOKING AHEAD

The Oman Wellheads project is expected to complete its facility development phase by the next fiscal year, with production anticipated to begin shortly thereafter. Initial milestones include completing infrastructure upgrades, launching pilot production, and conducting a comprehensive review of operational performance.

The project’s success is expected to position Oman as a key player in the global oil and gas technology market. By combining technological innovation, sustainability, and in-country value creation, Desert Sand Oil & Gas and JMP Petroleum aim to set a new benchmark for excellence in the energy sector.

“This partnership is about more than just business growth—it’s about building a sustainable future for Oman’s oil and gas industry,” Al Junaibi concluded.

2022 © All right reserved for Oman Establishment for Press, Publication and Advertising (OEPPA) Provided by SyndiGate Media Inc. (Syndigate.info).
 

Tags: energyoil and gasOman
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