The company’s Short-Term Sustainability Program (NTSP), which addresses a sea change in reducing structural prices and productivity.
MASCATE, SEPTEMBER 18
Heavy foreign energy costs helped propel money from Petroleum Development Oman’s (PDO) oil and fuel operations to $14. 5 billion in 2021, offering “significant boon to the nation,” according to Chief Executive Steve Phimister.
That compares with an initial target of $10. 5 billion, he said in the government’s majority-owned power company’s 2021 sustainability report.
A combined oil, fuel and condensate production of an average of 1. 223 million barrels of day-consistent oil equivalent (boepd) in 2021 helped achieve this impressive figure. of 57 million cubic meters consistent with the day (versus a target of 71 million m3/day) and condensate yield below the target of 104,000 bpd: overall figures that were achieved “despite coronavirus-related limitations on staff mobility and availability and pressures on our supply chain”, noted the Director General.
By comparison, oil production is targeting 652,000 bpd and condensation 91,000 bpd in 2022, with Capex and Opex for the year projected at $5. 129 billion and $2. 066 billion, respectively. “This is expected to generate $8. 9 billion in money for our shareholders (based on an oil value of $45 consistent with a barrel and $4. 5 consistent with millions of UK gas thermal sets),” said Phimister.
In another successful year on the exploration front, PDO set aside a total of 111 million barrels of oil and 0. 6 trillion cubic feet of fuel as commercial contingent resource (CCR) volumes in 2021. barrel of oil (boe) equivalent, according to the report.
The company has also made significant progress in controlling expenses in line with its rigorous charge control regime, the lead executive said. “We have achieved more than $550 million in total savings (an accumulation of more than 10% compared to 2020) across all instructions and other contracts, especially those similar to rates, demands and specifications. This is primarily due to our Short-Term Sustainability (NTSP) program, which addresses a sea change in structural charge discounts and productivity innovations on a much larger scale. beyond that in achieving our history. The program fulfilled its mandate to achieve $1 billion in charge savings in 2020-2021, guided through multidisciplinary groups for each expense portfolio. They were tasked with conducting thorough investigations, contract reviews, and negotiations. to deliver optimal value.
A combination of NTSP reviews, drilling efficiencies, optimization and allocation savings stored $327 million in oil-related capital expenditures and $90 million in gas-related capital expenditures, he added.
Going forward, the company’s long-term direction will be guided through the following 3 strategic priorities: (1) emerging and cost-competitive hydrocarbon operations, (2) building a differentiated hydrocarbon portfolio, and (3) capture, use and garage and low-carbon fuels, Phimister added.
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