Norwegian oil and natural gas operator DNO ASA said in a statement on Thursday that its subsidiary has handed over the share of its operations in Oman Block 8 to the country's state agencies following its license expiry.
The subsidiary, DNO Oman Block 8 Limited, "has relinquished operatorship and participation in Oman Block 8 to the Sultanate of Oman's Ministry of Oil and Gas (MOG) and state-owned Oman Oil Company Exploration and Production LLC (OOCEP)," the statement said.
"Effective 4 January 2019, with the expiry of the 30-year commercial term of the Exploration and Production Sharing Agreement, Block 8 will be operated by the Musandam Oil and Gas Company, fully-owned by OOCEP," it added.
Block 8 has produced a total of 35 million barrels of oil and 285 billion cubic feet (8.07 billion cubic meters) of gas, generating the Sultanate of Oman around $1 billion in total revenues, DNO's Managing Director Bjorn Dale said in the statement.
The block, which contains the Bukha and West Bukha fields located to the northwest of Oman, had an average production of 4,458 barrels of oil equivalent per day during 2018.
DNO had a 50 percent interest in the license, while South Korean LG International held the remaining 50 percent interest, according to the statement.
By Ovunc Kutlu