MUSCAT, Aug. 7 (Xinhua) -- Oman's Ministry of Oil and Gas on Wednesday signed an agreement with Daleel Petroleum to extend exploration and production rights for 15 years for the company, in Block 5 concession area in Ibri, 280 km west of the capital Muscat.
The deal, signed at the ministry headquarters, is an extension of a 17-year agreement signed in 2002.
Block 5, which covers 992 square kilometers, includes the Daleel field, owned and operated by Oman's Mazoon Petrogas corporation.
Azhar Al Kindi, chief operating officer at Mazoon Petrogas Ltd., told Xinhua that Daleel field has been developed over the past period and now produces 56,000 barrels per day (bpd), up from 5,000 bpd in 2006.
"The Daleel oil field reserves are estimated at about 200 million barrels, while studies put the oil reserves of Block 5 at 1 billion barrels," he said.