Petronas subsidiary PC Oman Ventures has signed a concession agreement with Oman’s Ministry of Energy and Minerals and OQ Exploration and Production Batinah Offshore (OQEP) for offshore exploration Block 18, the companies announced on Thursday.
Block 18 is a frontier exploration area covering more than 21,000 square kilometres in northeast Oman and includes shallow to ultra-deepwater zones. Under the agreement, PC Oman Ventures will take a 70% interest and become the block’s designated operator, while OQEP will retain the remaining 30%.
The concession establishes an initial exploration period of four years, with an option for a second. If commercial discoveries are made, the concession can be extended for a production period of up to 30 years.
“Petronas continues to expand its exploration activities into new frontiers. Through our innovative exploration approaches and OQEP’s basin expertise, we aim to jointly unlock the potential of Block 18, contributing to Oman’s long-term energy security. The addition of Block 18 aligns with our commitment to disciplined portfolio expansion,” said Mohd Redhani Abdul Rahman, Petronas vice-president of international assets.
The deal follows an MoU signed in October 2025 by Petronas and OQEP to increase their collaboration in Oman. Petronas has operated in Oman since 2018 and also holds a 10% interest in Block 61, a key gas asset operated by BP.