Arabian business reports officials of the ministry saying "We are targeting an average of a million barrels per day by 2015 and we will be spending some $3.5bn in the next five years to achieve it".

This new oil project has potential oil well resources and the officials declared that they are intending to dig oil wells at the Al Ghubar field, which too, has billions of oil reserves.

Oman produces around 859,400 barrels per day; However with the new project in the pipeline aims to push the production to around 870,000 barrels per day.

Last year Oman exported 97.8 million barrels (bbl), while this time of the year it has managed to raise its Oil exports by 112.6 million bbl lifting the export rate to around 15.1 percent in just five months.

Reports claim that Omani oil export rate to China rose up by 32.1 percent while exports rate were significantly higher to Japan (55.5%), and Thailand (20.7%).

"More oil will mean more money to spend on development projects,” said the official, who added that the increased funding would finance the drilling of more wells. (Reuters)

Global Insight HIS, analyst reports that Oman has significantly augmented oil recuperation technique by investing in advanced machineries and equipments to increase production.

“The higher production and price levels will help the government avoid a budget deficit this year, according to our latest forecasts, and moreover push the sultanate's headline external balance firmly into the black,” the analyst said.(pennenergy)