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TotalEnergies (NYSE:TTE) said Friday it has started gas production at the Mabrouk North-East field in Oman and that it signed a 10-year agreement with Oman LNG to buy 800K metric tons/year of liquefied natural gas starting in 2025.
TotalEnergies (TTE) said it expects gas production in onshore Block 10 at the field will reach 500M cf/day by mid-2024, although it did not disclose initial gas production volumes from the block.
The French company owns a 26.55% interest in the block, while Shell (NYSE:SHEL) is the operator with a 53.45% holding and Oman’s state energy company OQ owns the remaining 20%.
Omani officials have said the Shell (SHEL) and its partners in Block 10 are expected to spend $2B on developing key facilities required for the gas-rich onshore acreage.
TotalEnergies (TTE) offers still more upside after a strong 2022 and a supportive outlook going into early 2023, Cavenagh Research writes in an analysis newly published on Seeking Alpha.