Saturday 11 / January / 2025
Muscat: Petroleum Development Oman (PDO) celebrated yesterday the official inauguration of the Greater Saqr Gathering Station under the auspices of Sultan bin Salem Al Habsi, Minister of Finance.
The project is regarded as a showcase for the company’s contribution to Oman Vision 2040 and represents PDO's strategy in action, to deliver sustainable growth of its core oil and gas business whilst reducing costs and emissions.
The gathering station, which was completed safely and in record time, is located in the south of PDO’s concession area and aims to maximise recovery from six satellite fields through standardised pattern development with water flooding.
Its design enables zero flaring of harmful gases into the atmosphere and involves the efficient management of wastewater from oil extraction, which is then reused in injection activities within the project’s fields.
Gas and water are separated by using an Enhanced Gas Flotation Tank, a new advanced technology pioneered by the Canadian company, Enerflex Water Solutions.
The inauguration event, held at the Oman Convention and Exhibition Centre in Muscat, was attended by several senior government officials, members of the PDO board and executive committee, and representatives from both the public and private sectors.
Al Habsi said: “It was a pleasure to inaugurate Greater Saqr’s Gathering Station located in the Wilayat of Shalim and Halaniyyat islands. We congratulate PDO on this excellent achievement and there is no doubt that the benefits of this project will contribute towards achieving a diversified and sustainable economy for the Sultanate of Oman.
Overall, the project consists of a 23-kilometre gas pipeline network, 11 water injection manifolds, 10 main selector valves and more than 400 wells.
Its design enables peak production volumes of 30,000 barrels of oil equivalent per day (boepd). Health, safety and environment (HSE) was a critical consideration throughout the project, with PDO staff and contractors working 4.2 million manhours without any Lost Time Injuries.
The scheme is expected to contribute to an annual cut of approximately 6,600 tonnes of carbon dioxide equivalent and will contribute to the Company’s emission reduction plans to reach Net Zero Emissions by 2050.
The gathering station is designed for zero flaring in line with PDO’s commitment to the World Bank’s ‘Zero Routine Flaring By 2030’ initiative. It is equipped with vapour recovery units to retrieve and reuse the gas in the plant and to power the facility.
PDO Managing Director Steve Phimister said: “This is an exemplary PDO project, which will generate significant long-term revenue for the nation by ensuring maximum production and cost optimisation whilst protecting the environment.
“Its safe delivery in record time is another major milestone for PDO after an outstanding 2023, a year which saw us boost revenue, production and volumes while reducing greenhouse gas emissions, expenditure and unit operating costs, as well as recording our best safety performance since 2011. I can’t commend the efforts of the project team and our contractor partners enough. They represent the very essence of our new PDO purpose of 'building a sustainable and low-carbon future to maximise value for Oman.”
PDO opted for a Design-Build-Own-Operate-Maintain (DBOOM) concept in developing the project, where Enerflexis responsible for design and construction, as well as long-term operation and maintenance services over its 20-year lifespan.
Oil South Director, Salim Al Sikaiti said, “In addition to an excellent safety performance, it is particularly pleasing that this project has commenced production 18 months ahead of schedule, despite COVID-19 adding another layer of complexity.”
In-country value was key to the project’s success. PDO exceeded its Omanisation targets, with nationals comprising over 80 per cent of staff across different administrative levels during the operational phase. Additionally, more than OMR2.265 million was paid to local small and medium enterprises and more than OMR11.57 million to nationally registered suppliers for their work.
