‘Saving on expenditure in oil and gas sector at $1.5 billion’

Oman was able to reduce its expenditure in oil and gas sector to the tune of $1.5 billion in 2016, compared to its original budgeted expenditure. Also, the ministry of oil and gas could redeploy 3,500-4,000 Omani workers from oil and gas sector within the industry and other areas.

“We definitely managed to reduce substantial cost from the budget and increased production,” said Salim Al Aufi, undersecretary at the Ministry of Oil and Gas. 

The Sultanate’s government had initiated a major exercise to cut all non-priority expenditures and waste and improve efficiency amid dwindling oil prices. This was in close coordination with operators and contractors as they collaborated to share resources and ideas.

Al Aufi also said that the ministry could redeploy 3,500-4,000 workers in the oil and gas sector within the industry and other sectors in late 2015 and 2016.

Presently, only 140-150 workers in the sector need redeployment. “We worked extremely hard to redeploy Omani workers around the rest of the industry – tourism and other industries. This is helping us to maintain some kind of healthy employment environment for Omani talents,” the undersecretary further said.

Source :Times Of Oman