OVERVIEW According to the US International Trade Administration, oil has been the driving force of the Omani economy since Oman began commercial production in 1967. The oil industry supports Oman’s modern and expansive infrastructure, including electric utilities, roads, public education, and medical services. Oman can produce upwards of one million barrels per day of crude oil and condensates, but honours OPEC+ quotas. Oman produced 775,000 barrels per day (bpd) in mid-2025 and, as a member of OPEC+, can alter production based on the consensus of the group. Oman’s oil reserves primarily consist of heavy crude, and China is the predominant export market. Oman’s government derives roughly 70 per cent of its annual budget from oil & gas revenues through taxation and joint ownership of some of the most productive fields, and the industry accounts for 30 per cent of Oman’s gross domestic product. In February 2025, Oman Ministry of Energy and Minerals (MEM) invited investors to explore oil and gas in three concession areas: Block 43A, Block 66 and Block 36. These concession blocks are large, and the MEM believes that additional exploration could prove successful.1 According to Worldometers, Oman holds 4,971 million barrels of proven oil reserves as of 2025, ranking 24th in the world and accounting for about 0.28 per cent of the world's total oil reserves of 1.77 trillion barrels. Oman has proven reserves equivalent to 59 times its annual consumption levels (based on 2024 data). This means that, without net exports, there would be about 59 years of oil left (at 2024 consumption levels and excluding unproven reserves) 2. Oil production data collated by CEIC Data of MEM reports, recorded production at 31.81 million barrels in December 2025, an increase from the 30.70 million barrels recorded for November 2025. Monthly oil production averaged 31.20 million barrels from February 2006 (Median) to December 2025, with 239 observations. The data reached an all-time high of 33.94 million barrels in October 2022 and a record low of 20.10 million barrels in February 20073. Oman is positioning itself as a future leader in green hydrogen, targeting of 8 to 15 gigawatts (GW) of electrolyser OMAN 1 International Trade Administration (US), Oman – Country Commercial Guide (Oil & Gas), 18 December 2025 2 Worldometers, Oil reserves in Oman (2025), accessed 5 February 2026 3 CEIC Data, Oman oil production 2006 – 2025, accessed 5 February 2026 In 2025, Masirah Oil Ltd installed a second flowline connecting the Mobile Offshore Production Unit (MOPU) to the Floating Storage and Offloading (FSO) unit, to increase reliability of the production system. The FSO was changed out to optimise cost efficiency. The company is gearing up for a three-well drilling campaign in 1H 2026. The rig mobilisation is being planned, subject to regional developments and logistical conditions. Rex International Holding Limited 21
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