Petroliam Nasional Bhd (PETRONAS) announced that its wholly owned unit, PC Oman Ventures Ltd, has signed a concession agreement with the Omani government and OQ Exploration and Production Batinah Offshore LLC (OQEP) to explore oil and gas in Block 18, located in the Sea of Oman.
The offshore concession spans 21,000 sq km in Northeast Oman, covering a wide range of geological settings from shallow to ultra-deep water, and offers significant exploration potential, PETRONAS said.
(From left) Mohd Redhani Abdul Rahman, CEO of PETRONAS Carigali International Ventures and PETRONAS vice president of International Assets, Sultanate of Oman Minister of Energy and Minerals Salim bin Nasser Al Aufi and OQ OQ Exploration and Production CEO Mahmoud Al Hashmi at the signing ceremony.
The agreement builds on a memorandum of understanding (MOU) signed between PETRONAS and OQEP in October, marking an important milestone in strengthening the strategic partnership between the two companies and reinforcing PETRONAS’ long-term presence in Oman.
“The partnership enhances PETRONAS’ upstream portfolio by combining our offshore exploration expertise with OQEP’s regional knowledge, laying the foundation for a mutually beneficial venture,” PETRONAS said.
Block 18, one of Oman’s largest offshore concession blocks, was launched in 2024 as part of the country’s renewed investment approach in the oil and gas sector. The framework allows for concession fees and supports integrated gas exploitation projects.
PETRONAS Vice President of International Assets Mohd Redhani Abdul Rahman said: “Building on our technical strengths and past successes, PETRONAS continues to expand exploration into new frontiers. With innovative exploration approaches and OQEP’s basin expertise, we aim to unlock the potential of Block 18 and contribute to Oman’s long-term energy security.”
The acquisition aligns with PETRONAS’ disciplined portfolio expansion strategy, providing strategic options across its international operations. The announcement follows a string of discoveries in 2025, including Malaysia’s Lebah Emas and Suriname Block 52.
“As a global energy and solutions partner, PETRONAS remains committed to pursuing international opportunities while deepening collaboration with strategic partners,” the company said.
