BP and Oman Oil Company Exploration and Production signed an agreement with the government of the Sultanate of Oman amending the Oman Block 61 exploration and production sharing agreement (EPSA) to extend the license area. The signature came in purpose of paving the way for further development of the giant Khazzan tight gas field, Reuters reported.

Under the amended EPSA, the extension adds more than 1000 sq. km to the south and west of the original Block 61. The extension will allow a second phase of development, accessing additional gas in the area already identified by drilling activity within the original block. Development of this additional resource is subject to final approval of Oman’s government of Oman and BP, both of which are expected in 2017, according to BP’s website.

BP is the operator of Block 61 with a 60% interest and Oman Oil Company holds the remaining 40% stake.  The project’s phase 1 sanctioned in December 2013 with 80% completed and remains on schedule to deliver first gas in late 2017. While the subject to final approval for Khazzan Phase 2 project, is expected to come on stream around 2020.