OQ and Total approve $1.6bn LNG project in Oman

State-owned Oman National Oil (OQ) and French energy major TotalEnergies have finalised the construction of a $1.6 billion Marsa LNG bunkering project at Sohar Port.

The project will be developed by Marsa Liquefied Natural Gas, a joint venture owned 80 percent by TotalEnergies and 20 percent by OQ, the state-run Oman News Agency reported.

The upstream component of the facility will have a production capacity of 150 million cubic feet per day of gas from Block 10.

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The gas will be transported through the network of OQGN, owner and operator of the natural gas transmission network in Oman, to Sohar Port.

The downstream element involves the construction of an LNG plant with a capacity of one million tonnes per year and a 300 megawatt solar plant to provide the LNG facility’s total annual energy needs.

The Marsa plant will emit less than three kilogrammes of carbon dioxide for every oil equivalent barrel.

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The LNG plant will be 100 percent electrically driven, emitting less than three kilogrammes of carbon dioxide for every oil equivalent barrel.

The plant’s full electrical design and the solar farm’s integration will eliminate more than 200 kilo-tonne per year of CO2 equivalent over the project’s lifetime, compared to a fuel gas-based design.

“The project is one of the many initiatives that reflect Oman’s goal of achieving carbon neutrality by 2050,” said Salim Al Aufi, energy and minerals ministry.