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Shell Presence in Oman
Shell long and successful history in Oman dates back to 1937, when the Iraq Petroleum Company (IPC), a company in which Shell had a shareholding of 23.75%, was awarded a 75-year concession to explore for oil in the Sultanate.
However, it was not until 19 years later in 1956, that the drilling for oil started. Even though the first well was found to be dry, and with most of the IPC partners starting to lose faith and withdrawing from the country, Shell continued in its search for oil. This quest finally paid off on 18th September 1962, when the historic find was made at Yibal.
The discovery of two more oilfields shortly afterwards proved to be a defining moment in the history of Oman, and signaled the birth of the country’s renaissance - something that we are extremely proud to have been a part of.
Historical Timeline:
1937 – The Iraq Petroleum Company (IPC), in which Shell had a shareholding of 23.75%, was awarded a 75-year concession to explore for oil in Oman.
1956 – The first well was drilled in Oman by IPC, but was found to be dry.
1958 – The Shell fuel marketing business in Oman was granted trading rights and lease of land at Mina Al Fahal.
1962 – Oil was discovered at Yibal, near Fahud.
1967 – The first export of oil left Oman on the 27th July (a consignment of 543,000 barrels valued at US $1.42 a barrel).
1980 – Petroleum Development Oman (PDO) was incorporated by Royal Decree as a limited liability company.
1994 – The Oman LNG project was born after significant volumes of non-associated gas was discovered by PDO in central Oman, and the government accepted Shell proposal to undertake a feasibility study.
1995 – As a gift to the Sultanate on its 25th National Day anniversary, Shell initiated the ‘Intilaaqah’ programme.
1997 – Shell Marketing (Oman) Ltd became a public company, Shell Oman Marketing Company SAOG.
2000 – The Joint Virtual Reality Centre for Carbonate Studies at Sultan Qaboos University (SQU) was presented to His Majesty Sultan Qaboos bin Said by Shell as a gift to the nation on the 30th Renaissance Day.
2002 – Shell Representative Office Oman was established.
2005 – Qalhat LNG, in which Shell has a shareholding through Oman LNG, started production ahead of schedule and under budget.
2006 – Shell Technology Oman and The Middle East Learning Hub were launched. This year also marked a new era in relationships with the Sultan Qaboos University with the launch of the Shell Chair in Carbonate Geosciences.
2007 – The Intilaaqah Enterprise Fund was launched.
2008 – The role and responsibilities of the Shell Representative Office were transferred to Shell Development Oman LLC.