How Much Oil Does Oman Produce?
Short Answer
Oman produces approximately one million barrels of crude oil per day, making it the largest oil producer in the Middle East outside of OPEC. Production levels are influenced by OPEC-plus agreements, reservoir maturity, and investment in enhanced oil recovery technologies.
Detailed Answer
Oman’s oil production has followed a trajectory of growth, plateau, and managed decline interspersed with recovery periods driven by new technology and field development. Production peaked at around nine hundred seventy thousand barrels per day in 2000, declined through the mid-2000s, then recovered through the application of enhanced oil recovery techniques.
The primary oil-producing region is the interior of the country, with major fields including Nimr, Yibal, Lekhwair, and Fahud operated by Petroleum Development Oman, which is majority owned by the government with Shell, Total, and Partex as minority shareholders. Smaller concession areas are operated by other international companies.
A distinguishing feature of Omani oil production is the heavy reliance on enhanced oil recovery methods, particularly steam injection and polymer flooding, to extract crude from mature and technically challenging reservoirs. These methods increase production costs compared to the lighter, easier-to-extract crude found in neighbouring countries.
Production decisions are now coordinated with the OPEC-plus framework, under which Oman has agreed to voluntary output restraints. This coordination limits upside production potential during high-price periods but supports price stability which benefits Oman’s fiscal planning. The government continues to invest in exploration and new field development to sustain output.