Proud To Serve Oman
Petroleum Development Oman (PDO) is the foremost exploration and production company in the Sultanate. We account for around 70% of the country's crude oil production and nearly all of its natural gas supply. The Company is owned by the Government of Oman (with a 60% interest), Royal Dutch Shell (34%), Total (4%) and Partex (2%). The first economic oil find was made in 1962, and the first oil consignment was exported in 1967.
PDO operates in a concession area of about 100,000 km2 (one third of Oman’s geographical area), has around 130 producing fields, close to 6,000 producing wells, a diverse workforce of around 8,000 employees, comprised of 64 different nationalities, and more than 45,000 contractors.
The primary objective of PDO is to engage efficiently, responsibly and safely in the exploration, production, development, storage and transportation of hydrocarbons in the Sultanate. The Company seeks a high level of performance with the aim of furthering the long-term benefits of its shareholders, its employees and the society of Oman in line with our core values of honesty, integrity and respect.
This approach to business is underpinned by our vision to be renowned and respected for the excellence of our people and the value we create for Oman and all our stakeholders.
The Company provides all employees with safe and healthy conditions of work and adequate and competitive conditions of service. We pay particular attention to the recruitment, training and development of Omani employees and respect the rights of all employees in line with the Omani Labour Law.PDO has a dedicated Diversity & Inclusion (D&I) team of 20 employees that work towards establishing a healthy work environment free of harassment and discrimination. The team’s mission is to elevate the status of D&I in the Company, to underline the benefits of a diverse staff and the positive impact they can have on business performance.
At all times, PDO endeavours to be a good corporate citizen. We operate in an environmentally responsible and sustainable fashion, dealing transparently and honestly on the basis of open and competitive bidding with contractors and suppliers and supporting and investing in social and community projects.
Enhanced Oil Recovery (EOR)
PDO is a global leader in the field of enhanced oil recovery (EOR) and its success is critical to delivering the Company’s current and future production.
EOR is a process which enables operators to extract oil from reservoirs where the pressure has dropped making it difficult to bring to the surface.
PDO has invested a great deal of time and money in ground-breaking projects as it looks to boost the overall percentage of oil recovered from its fields. EOR is expected to account for a third of PDO’s oil production by 2023.
The Company’s first full-scale EOR venture was inaugurated in October 2010. The Marmul project in the south of its concession area – where polymer was added as a thickening agent to water and injected into the field to sweep oil to producing wells - was the first of its type in the Middle East.
The Company is breaking new ground with major projects involving three advanced EOR techniques:
Miscibile Gas Injection
The Managing Director’s Committee (MDC) is responsible for the Company’s overall performance and business direction.
It is headed by the Managing Director who is assisted by 14 other Directors, who are responsible for setting the technical standards, the allocation of staff and their development.
The MDC is answerable to the Board of Directors which provides objectives and guidelines to the Managing Director. The Board consists of twelve members. There are seven Government representatives, including the Chairman, who is the Minister of Oil & Gas, His Excellency Dr Mohammed bin Hamad bin Saif Al Rumhy; and five who represent PDO’s private shareholders (Royal Dutch Shell, Total and Partex).
Members of the MDC
Managing Director: Raoul Restucci
Technical Director: Amran Al Marhubi
External Affairs Director: Abdul-Amir Al Ajmi
Infrastructure Director: Sami Baqi
Petroleum Engineering Director: Ali Al Gheithy
Corporate Planning Director: Ruqaiya Al Hinai
Finance Director: Haifa Al Khaifi
Exploration Director: Intisaar al Kindy
Oil North Director: Khamis Al Saadi
In-Country Value Director: Abla Al Riyami
Gas Director: Salim Al Sikaiti
People & Change Director: Ibtisam Al Riyami
Oil South Director: Suleiman Al Tobi
Well Engineering Director: Mohammed Al Rashdi
Engineering and Operations Director: Abdullah al Shuely
We are committed to maximizing the procurement of local goods and services as well as improving the capacity and capability of Omani people and companies in order to secure sustainable commercial benefits for the Sultanate.
In-Country Value (ICV) is the way to achieve this. ICV is defined as the total expenditure retained in-country that can benefit business development, contribute to human capability building and stimulate productivity in the Sultanate’s economy. In short, it is about products made and services provided by skilled Omanis in Oman. Working closely with the Government and other operators, PDO has driven ICV development across the oil and gas sector, supported the development of the ICV governance model and the establishment of the Ministry of Oil and Gas’s ICV Committee, which is attended by the CEOs of all up-, mid- and downstream oil and gas companies and representatives from key Government ministries. PDO has also supported the establishment of two sub-committees for Contracting & Procurement/ICV Managers and HR Managers.
As a pioneer of ICV, PDO and its contractors have created more than 14,000 jobs and training opportunities since 2011 – Including over 4,300 in 2014. In 2014, we awarded contracts worth US$4.9 billion to locally registered firms and launched a welding training scheme for 400 Omani jobseekers which will qualify them to the highest internationally accredited level and enable them to work on PDO’s three mega projects at Rabab Harweel, Yibal Khuff and Budour.
Vocational Training: A National Objective
PDO manages one of the largest drilling and hoist fleets in the world, with talented Omanis covering the full spectrum of employment from Chairmen and CEOs to derrick hands and roustabouts. We are now working on all fronts to create a standardized framework for personnel development. Incubating and piloting new Omanisation ideas and directly supporting job seekers through training certification to employment with PDO contractors, the Company’s National Objectives team, which was founded in 2013, works closely with Ministry of Manpower (MOM) to build an aligned effective overall framework for Omanisation with the objective of maximizing the employment of skilled Omanis with PDO contractors and across the wider oil and gas sector in a sustainable way. A target has been fixed to train and secure employment for 7,000 job seekers for each of the next five years with our focus on three areas which are: High school Graduates, Graduates and the Accelerated Experience Programme.
Support For Small Businesses
PDO is fully supportive of the desire to see a flourishing sector for small and medium-sized enterprises (SMEs) in Oman to diversify the economy and create more job opportunities. We have recently signed a Memorandum of Understanding with the Public Authority for Small and Medium Enterprises Development (PASMED) to offer assistance to Omani entrepreneurs. The agreement is aimed at strengthening co-operation and collaboration between the two sides on training, business advice and knowledge exchange to help SMEs operate more successfully. Under the terms of the deal, PDO business specialists will advise entrepreneurs and SME owners who are members of PASMED and who might be in need of guidance on management and strategic planning.
PDO CELEBRATES 45th NATIONAL DAY
Petroleum Development Oman (PDO) has staged a series of events in celebration of the 45th National Day including the unveiling of an Appreciation Book from employees for His Majesty Sultan Qaboos bin Said. The book, launched on PDO Day 2015 which marked the second anniversary of His Majesty’s official visit to the Company’s main headquarters building on 12 May 2013, is a compilation of messages and drawings from PDO staff and their children expressing their love, admiration and respect for His Majesty, and has been presented to His Majesty to mark the 45th National Day. It was designed by Ahmed Al Mandhari, who works in PDO’s Exploration Directorate.
PDO Managing Director Raoul Restucci said: “The historic visit of His Majesty has had a profound impact in inspiring the Company’s workforce, encouraging them to work harder and with sincerity in serving the nation.“The book captures expressions of loyalty and sincere sentiments of gratitude for His Majesty’s great endeavours in uplifting Oman to its current eminent and respected standing in the world. “There is no doubt that these heartfelt thoughts emanate from the high regard PDO staff have for His Majesty. They recognise and appreciate His Majesty’s wonderful achievements in transforming the fortunes of the Sultanate at home and elevating it to become a champion of peace and dialogue on the global stage.” Celebrations at PDO’s Bait Mina Al Fahal (BMF) headquarters in Muscat included the launch of a PDO-sponsored patriotic song and music video titled “Qaboos: Pulse of the Nation” composed and produced by local artists. This was accompanied by a live Bara’a traditional dance performance which features in the video. The building was also decorated in Omani flags and red, green and white bunting.
Additionally, the three winners of a staff photography competition for the best Omani-themed photos were revealed on the day and the winning photographs, as well as 42 other entries, were displayed on digital screens around the PDO campus. The 45 images – one to mark each year of His Majesty’s reign – will be posted on the Company’s Instagram page (@PDO.Oman), which was launched on the day. The overall winner was Engineering, Procurement and Contracts Representative Hamed Al Ghanboosi for his picture of an Omani man with his camels. Similar celebrations were held across the Company’s Interior locations where staff and contractors took part in loyalty marches, speeches, poem recitals and prayers.A week of activities are also being held at PDO’s Knowledge World, comprising the Oil and Gas Exhibition Centre, Planetarium, and EcoOman Centre, all of which were donated by PDO as Gifts to the Nation to mark every five years of His Majesty’s reign. Activities included competitions and shows for the public, including a new show to be launched at the Planetarium. Moreover, the Knowledge World will be open during evenings throughout the National Day holidays.
PDO BOOSTS OMANI JOBS AND TRAINING WITH US$650 MILLION CONTRACTS
Petroleum Development Oman (PDO) today boosted Omani job and training opportunities by signing six contracts worth US$650 million over the next 10 years.The deals for the supply, installation and maintenance of 29 centrifugal compressors were signed with international engineering companies Siemens LLC, General Electric International LLC, and Omani firm OHI Petroleum & Energy Services LLC and its partners MAN Diesel & Turbo Schweiz AG. The contracts all contain In-Country Value (ICV) provisions to retain more of the oil and gas industry’s wealth in the Sultanate for the training of Omani engineers and the local manufacturing of components such as vessels, coolers and transformers.Thesignings took place at the third edition of the Business Opportunities Forum at the Oman International Exhibition Centre at Seeb under the auspices of His Highness Sayyid Haitham bin Tariq Al Said. The event, organised by the Oman Chamber of Commerce and Industry (OCCI), aims to create a platform for companies and institutions to expand business, build awareness and present investment opportunities from large firms and promote the efforts and programmes of private sector companies in the field of ICV.
PDO Managing Director Raoul Restucci said: “Despite the current difficult oil price environment, these signings show that we are committed to staying the course and making significant investments which will directly increase Omani jobs and training opportunities and build a robust and sustainable local supply chain.“Since 2011, our ICV strategy has so far created more than 15,000 National Objectives job and training opportunities for Omani jobseekers and we are working all the time to develop and support Omani service and manufacturing capabilities.” The compressors are planned to be installed at 11 PDO projects, including the YibalKhuff mega project, Lekhwair, Mabrouk and the second phase of the SaihNihayda and Kauther Depletion Compression projects.The suppliers have committed to maximising the local content in their submitted contract plans. This should lead to the recruitment and training of a number of Omanis as engineers and technicians and maximise the use of PDO’s in-house repair workshops.PDO received one award at the OCCI event for the largest one-off contract with Siemens LLC worth US$210 million.The PDO booth at the two-day OCCI event features presentations on the Company’s ICV efforts, including an array of artisan products made by its social enterprise Banat Oman which has given vocational training to more than 200 women from low-income backgrounds.
PDO HELPS OMANI SMEs SUCCESSFULLY BID FOR BUSINESS
Petroleum Development Oman (PDO) has staged a second workshop giving Omani small and medium enterprises (SMEs) a better understanding of how to do business with the Company.The workshop highlighted the main reasons for unsuccessful submissions for contracts – such as quality of documentation and technical and financial requirements - to enhance the awareness level of local firms on PDO’s tendering process.Around 60 representatives from SMEs and Local Community Contractors (LCCs) attended the event at the Company’s Mina Al Fahal headquarters in Muscat. Many of those invited had unsuccessfully bid for PDO work in the past.
The workshop covered PDO’s stringent health, safety and environment (HSE) rules and regulations, and key areas such as business experience and resourcing, work quality and financial viability, tender requirements and ethics. In addition, the half-day session highlighted contractual In-Country Value (ICV) and National Objectives stipulations for training and Omanisation, reflecting PDO’s commitment to generate employment opportunities for Omanis.PDO In-Country Value Director Abla Al Riyami, said: “PDO has always been a pioneer in supporting local Omani companies. “This workshop was aimed at creating awareness on the main reasons why Omani companies had been unsuccessful in participating for PDO tenders in the past, enhancing their tendering capabilities and understanding our procedures and requirements. “We anticipate this will help those attending to gain business from PDO in future tenders.” PDO is an active backer of local SMEs, providing support across a wide range of activities. It held its first workshop for companies who had been unsuccessful in securing PDO work in May and staged a recent seminar in October for Omani enterprises giving them an overview of the oil and gas industry and PDO policies, processes and procedures. As of September 2015, the Company had awarded additional contracts worth US$2.9 billion to nationally registered firms.
PDO IN DOUBLE TRIUMPH AT ADIPEC AWARDS
Petroleum Development Oman (PDO) has won two awards at the prestigious 2015 Abu Dhabi International Petroleum Exhibition and Conference, which is billed as the most important event in the global oil and gas industry.The Company scooped the Best Oil and Gas Mega Project for Harweel 2AB, one of the world’s largest miscible sour gas injection projects, and also the Best Oil and Gas Innovation or Technology (Surface) with its partner GlassPoint Solar forMiraah, one of the largest solar energy ventures globally.PDO’s double triumph came at the most competitive awards in ADIPEC’s 31-year history, with 501 entries received from over 240 companies across 32 countries.
PDO’s Exploration Director Intisaar Al Kindy was also shortlisted for Oil and Gas Woman of the Year, and the Company was nominated for the Best Practice Award for delivering technical integrity and In-Country Value (ICV) through the in-sourcing of equipment repairs in its own maintenance workshops. PDO Managing Director Raoul Restucci said: “We are truly honoured to have won two awards at ADIPEC, which showcases the very best people and projects in our industry.“The victories and nominations reflect PDO’s excellence in delivering world-class production projects safely, efficiently and sustainably, our pioneering spirit and our strong belief in Omani talent. These achievements should be a matter of great pride not only for us but also for the nation.”Harweel 2AB was commissioned in April 2012 and staff and contractors have overcome a series of technical and operational challenges to deliver a project that is performing impressively well, with high uptimes and strong oil and gas recoveries, maximising miscible gas injection and gas export and reducingflaring.The Miraah project, which was unveiled in July with GlassPoint, will be a 1,021 megawatt solar thermal facility harnessing the sun’s rays to produce steam to extract heavy and viscous oil at Amal in southern Oman. It is expected to save 5.6 trillion British Thermal Units of natural gas each year. Construction work began in October and the first steam is expected in 2017.
Mr Restucci said: “The transformation at Harweel has been truly impressive and has been achieved by professional multi-disciplinary teamwork from staff and contractors and strong project leadership. “We safely established the full plant production from October-December last year in half the scheduled time and with safety as our guiding and overarching priority, secured full and accelerated payback of the entire Harweel 2AB investment and continue to increase reserves and production potential for long term development through these industry leading facilities.“Our staff and contractors are working in a complex environmentcharacterised by very high pressure and corrosive sour fluids and are applying advanced enhanced oil recovery (EOR) technology and processes not seen on such a scale anywhere in the world. Despite this, they have risen to the challenge magnificently and Harweel continues to make a substantial contribution to the nation’s hydrocarbon production and associated investment returns.“As forMiraah, the use of solar for oil production is a long term, strategic solution to reduce consumption of valuable natural gas. Gas saved can be directed towards higher value applications to diversify Oman’s economy and have a lasting impact on the country’s growth.Together with GlassPoint, we are proud to be leading the way in deploying innovative solutions to today’s production challenges in order to deliver energy more economically and sustainably.”During ADIPEC, PDO and GlassPoint are exhibiting together at PDO’s 150m2booth in Hall 4 of the main exhibition centre. The stand features a 3D virtual reality tour of Miraah, “transporting” visitors to south Oman so they can experience the scale of the project and technology up-close, and a model of the facility. In addition, the stand also features key PDO business areas of excellence and achievements such as ICV and new technology. PDO is also making four technical presentations at the event on EOR, new technologies, the use of solar power to generate steam and Nibras, a web-based real-time monitoring tool for Well and Reservoir Management. This year ADIPEC, which runs from 9-12 November, is expected to attract 85,000 trade professionals from 120 countries, 2,000 exhibiting companies, 14 national oil companies and 16 international oil companies.
Gifts to the Nation
PDO has a long tradition of marking the milestone of Oman’s National Day by making a Gift to the Nation every five years to help Oman to develop itself further. PDO’s goal behind this tradition is not only to share the knowledge it acquires through the exploration of oil with the community of Oman, an area that it excels in, but also goes beyond to exploring the environment and the skies.
PDO announced in May 2014 to build Oman’s first aquarium as a Gift to the Nation. The RO7.5 mln Marine Fish Aquarium and Educational Centre complex will spread over approximately 17,000m2.
The Public Knowledge Library and Traffic Safety Institute have been given to the Diwan of the Royal Court and the Royal Oman Police respectively. They continue to attract thousands of visitors including students, tourists and professionals for the many learning opportunities they provide as well as offering their facilities for professional meetings depending on availability.
The PDO Knowledge World is a state-of-the-art complex housing three attractions which were donated by PDO as Gifts to the Nation.
First, the Oil and Gas Exhibition Centre was opened in November 1979. After extensive remodelling, it was re-opened in November 1995 as a Gift to the Nation to celebrate the 25th anniversary of the reign of His Majesty Sultan Qaboos bin Said. The centre charts the journey of oil and gas from its formation through to its production, offers a glimpse into the future and showcases the role of technology in the industry.
In 2000, PDO unveiled Oman’s first ever planetarium as an annexe to the Oil and Gas Exhibition Centre to mark the 30th anniversary of His Majesty’s reign. The building is suitable for both children and adults and teaches astronomy in an engaging way, fostering an interest in modern science. The planetarium has received more than 250,000 visitors since opening.
The third attraction is the EcOman Centre, which was built as a Gift to the Nation to mark the 40th National Day of Oman in 2010. This offers a fascinating journey through the evolution and future of energy and aims to help visitors understand the possibilities of harnessing sustainable energy resources. It also underlines the Company’s strong commitment to society and sustainable development.
A key element of our success has been the close working relationship between PDO, the communities where we operate and all aspects of society in Oman. With this in mind, we have developed a structured social investment programme which is implemented in close collaboration with the Government through a joint Social Investment Committee.
This programme focuses on contributing to the growth of society and developing areas where we operate to achieve a mutually beneficial and sustainable environment for carrying out oil and gas operations. Funding has been channelled to non-governmental organisations to help vulnerable members of society such as the blind and disabled and there has been special focus on projects that provide Omanis with the right skills to enter the job market or the ability to earn an income. Underpinning this approach is PDO’s long-term aspiration to help secure sustainable benefits for the Sultanate as we carry out our core business of exploring and producing oil and gas.
Banat Oman Project
PDO has funded a community-based vocational training initiative for low-income Omani women to help develop and nurture skills and create a sustainable commercial opportunities and jobs for them. So far, more than 200 have benefited from the Banat Oman project, with many establishing worker co-operatives to pool their resources and meet rising order books.
The main objectives of the initiative are to:
Promote Omani self-employment, entrepreneurship and skills
Help unemployed school leavers forge rewarding careers
Empower and help the women to raise their families’ income
Diversify the source of income for low-income families
Create jobs that can be performed in the comfort of the women’s homes
Realise PDO’s aim of improving the living conditions of low-income families through self-employment and sustainable development.
PDO invested RO 150,000 to initiate the project, in partnership with the Omani Women’s Association, to train a number of Omani women across the country in various handicrafts, such as tailoring and embroidery, dairy and bakery product manufacture, leathercraft, camel bone carving and silversmithing.
We work on the basis that we only succeed if the communities in which we operate succeed. It’s about being a good corporate citizen. For us, our communities are our neighbours and partners and improving their wellbeing and sustainability is a key strategic and moral priority. PDO endeavours to meet its wider responsibility to society by taking economic, social and environmental considerations into account in all decisions, specifically in terms of the provision of oil revenues, domestic employment, staff and contractor training, the support and development of local businesses and community investment. While exploring for and producing oil and gas for the country, we set a high priority on minimizing the impact of our operations on the surrounding environment and communities, and maximising the potential benefits to local citizens. The Community Relations Department sits at the core of this strategy. Our approach is to engage continuously with local authorities, community leaders and inhabitants to understand and mitigate issues resulting from operations.
PDO invests more than US$ 8 million annually on a diversified educational programme at virtually all levels which is designed to equip young Omanis with the knowledge and skills to help them prepare to join the working environment.
Every year, PDO offers 200 scholarships to students from low-income families to primary, secondary and university level after an assessment of their capabilities. The programme helps young people to attend boarding schools, to complete secondary education or attend local training centres to acquire vocational skills and colleges and universities to gain qualifications from diplomas to advanced degrees in technical disciplines such as engineering. In addition to paying tuition fees and training costs, PDO provides travel expenses, a monthly stipend, and accommodation or living expenses for sponsored students and trainees. Last year, we offered 15 four year higher education scholarships to disabled students from all over Oman.
Effective management of the health, safety and welfare of our workforce and the protection of Oman’s environment are key aspects of PDO’s business goals. We invest heavily in our drive to achieve and sustain the highest standards of management control and employee culture with the aim of operating efficiently, responsibly and safely in harmony with our society. In doing so, we hope to be a role model for other Omani organisations inside and outside the industry.
Health, Safety and the Environment in PDO comprises of the following departments:
Health: This works to implement occupational health management systems and support management on all health matters, promoting medical, occupational and public health to fulfil the vision of achieving workforce wellness whilst providing quality medicinal, therapeutic, preventative and emergency medical care.
Safety: This works to ensure the personal and process safety of PDO people, contractors and assets is achieved. Driving the message and developing systems to ensure the importance of PDO staff and contractors working in safe conditions and with safe assets is paramount.
Environment: PDO aspires not only to operate in an environmentally responsible fashion but also to contribute to the vision of being the best exploration and production company in its class. PDO is leading many environmental initiatives and takes pride in being pioneer in sustainable operations.
We have received a number of recent awards for our sustainability activities and achievements including:
• Annual Gulf Co-operation Council Ministers of Social Development Award in Bahrain for providing university scholarships for 15 students from low-income families or with special needs, supplying five specially equipped buses for Al Wafa Social Centre network for the care and rehabilitation of the disabled and funding the upskilling of 250 of the organisation’s staff (2013)
• ADIPEC Award for the Empowerment of Women in the Oil and Gas Industry for the porgramme to train female graduates as field operations engineers (2013)
• Offshore Arabia Environmental Award (category Excellence in Environmental Technology) for the Amal solar steam generation pilot (2014)
• Best Clean Tech Project Award for the Amal solar steam generation pilot, New Economy (2013)
• Big Project Award. Construction and Sustainability Award of Excellence for the Best Water Conservation Initiative, Ras Al Hamra International School project (2013)
• Oman Green Awards. Received a Green Innovation Award for Ras Al Hamra International School (2013)
• Oman Green Awards. Received the Green Habitat Award for the Nimr Water Treatment Plant (2013)
• Royal Oman Police Private Sector Award for Road Safety (2014)
• Best Engineering Innovation category at the third annual Intelligent Transportation Systems & Road Safety Forum in Qatar (2014)
• Appreciation certificate from the Ministry of Environment and Climate Affairs for our initiatives towards and involvement in saving the environment (2014).
Headquarters, Muscat, Sultanate of Oman
Postal Office Box 81
Postal Code 100
Telephone: + (968) 24678111
Fax + (968) 24674374
Media Contact Information
Address: Media Relations Advisor
External Affairs Department
Bait Mina al Fahal- 2nd Floor
Postal Office Box 81
Postal Code 100