Hamed Al Naamany

Over the past three decades, Oman LNG has evolved into a key contributor to the Sultanate’s economy and global energy trade, exemplified by its increased capacity, efficiency improvements, and strategic partnerships.

In 2024, Oman LNG will celebrate its 30 years. How has the company developed its presence over the past three decades?

Established by Royal Decree in 1994, Oman LNG has emerged as a primary contributor to Oman’s national economy and GDP. Adapting adeptly to energy market shifts, the company boosted market access and increased its capacity to over 11.4 million tons per annum (MTPA), seizing opportunities through optimizations and diversions. As we mark our 30th anniversary in 2024, Oman LNG stands strong with a robust organizational culture and stakeholder support. Recent milestones include the renewal of shareholding agreements in October 2023 and extending gas supply deals to 2034, bolstering our position in the evolving LNG landscape.

What is Oman LNG working on at the moment?

Oman LNG has set 2024 as a year of concession transition as it embarks on its “Beyond 2024” plan. In 2023, Oman LNG signed multiple agreements to sustain its market competitive position and enhance strategic partnerships with energy firms worldwide. This includes the Amended and Restated Shareholding Agreements for Oman LNG’s shareholders and Qalhat LNG’s shareholders, and the new gas supply agreement with the Integrated Gas Company (IGC). Through a global marketing campaign, Oman LNG secured LNG term sheet agreements for 10.4MTPA to key markets like Japan, China, and Germany, among others. Positioned as a reliable partner for Oman and global gas markets, Oman LNG looks ahead with confidence

What is Oman LNG’s motive behind participating in COP28?

Oman LNG prioritizes Goal Zero at all times to ensure it causes no harm to people or the environment. This has been demonstrated in its efforts to reduce greenhouse gas emissions, where in 2021 we delivered the Middle East’s first carbon-neutral LNG cargo, using nature-based carbon credits. This milestone taught us about carbon offsetting and verification, guiding our future efforts and technology. Our programs focus on boosting production efficiency, cutting emissions, and improving monitoring. Aligned with Oman’s Net Zero Strategy, we joined COP28 to testify our commitment to eliminate carbon emissions and support Oman’s transition while meeting global obligations.

How would the shift to renewable energy sources be aided by putting more focus on growing the domestic gas industry?

Oman is poised to lead decarbonization efforts and expand renewable energy. Investors are drawn to Oman’s credible roadmap for achieving Net Zero by 2050 amidst rising energy consumption. Oman LNG joined the Hy Fly National Hydrogen Alliance to establish hydrogen clusters, aligning with its strategic goals. Additionally, joining the Oil and Gas Methane Partnership 2.0 underscores Oman LNG’s commitment to sustainability and methane emission reduction. These actions demonstrate dedication to sustainable operations and meeting the Net Zero target by 2050.

How is Oman LNG addressing in-country value (ICV)?

Oman LNG prioritizes local skill development, evident in its In-Country Value (ICV) initiatives. Achieving over 96% Omanization rate and 73% in site-based contracts highlights this commitment. Moreover, over 87% of the supply chain is from local enterprises, expanding Oman LNG’s ICV footprint. Our support to establish the Youth Center in Sur, exemplifies efforts to empower the local youth through various programs, fostering entrepreneurship and innovation. As a corporate citizen, Oman LNG contributes to Oman Vision 2040’s goals through business and social initiatives, embodying its role in societal progress.