French energy company Total has plans to set up a regional hub for liquefied natural gas bunkering in Oman.
Total announced this week that it has signed Memorandum of Understanding with the Government of Oman to develop natural gas resources in the country. The MoU covers both upstream and downstream businesses.
Total and Shell, as the operator, will develop several natural gas discoveries located in the onshore Greater Barik area with respective shares of 25% and 75%. The project has set a goal of initial gas production of around 500 cubic feet of natural gas per day, with potential to reach up to 1 billion cf/d.
Total says it will use its share of the gas to feed a regional hub for liquefied natural gas bunkering to fuel marine vessels.
The company says the hub will include new small-scale modular liquefaction plant which will be built in Sohar port. The plant is planned with have a single train of around 1 million tonnes per year, but it will be built with the flexibility to expand as required to meet needs of the LNG bunkering market.
“We are pleased to sign this MoU with the Sultanate of Oman that will give us access to new gas resources and the opportunity to develop an integrated gas project,” stated Arnaud Breuillac, President Exploration & Production at Total. “We will bring our expertise in LNG and will introduce access to a new gas market for the Sultanate. Developing an LNG bunkering service will generate in-country value and job opportunities, and will support industry diversification through fostering the shipping activity in Oman.”