The share of petroleum activities in Oman’s gross domestic product (GDP) increased by around 37.1% in 2018, as shown by the Central Bank of Oman (CBO) most recent data.

In its annual report for 2018, the CBO said that for the second year in a row, the Omani economy witnessed robust growth across all sectors, but noted that “petroleum activities contributed majorly to the growth due to a significant surge in oil prices.”

The petroleum sector was the main driver of accelerated growth in the Omani economy last year, according to the CBO, as the Omani nominal GDP grew by 12% in 2018, with the petroleum and non-petroleum activities expanding at 37.1% and 2.9%, respectively.

Oil output in Oman grew by 0.8% last year, with an average price of $69.7 per barrel. On the other hand, natural gas is also emerging as a significant player in the Sultanate’s economy with the first phase of the Khazzan field becoming fully operational.

It is worth noting that the second phase of the Khazzan field project is being developed through a gas sales agreement and an amended production sharing agreement (EPSA) between the government of the Sultanate of Oman and BP Oman, including the Ghazeer extension.