Higher hydrocarbon output will support Oman’s growth in 2025 and 2026: S&P

Higher hydrocarbon output will support Oman’s growth in 2025 and 2026: S&P

Muscat – Oman, a voluntary adherent to the OPEC+ agreement, is expected to experience low economic growth of about 1.4% this year due to OPEC+ related oil production cuts, according S&P Global Ratings. ‘We expect hydrocarbon sector output to remain broadly flat in 2024, with the decline in oil production offset by an increase in […]Muscat – Oman, a voluntary adherent to the OPEC+ agreement, is expected to experience low economic growth of about 1.4% this year due to OPEC+ related oil production cuts, according S&P Global Ratings.

‘We expect hydrocarbon sector output to remain broadly flat in 2024, with the decline in oil production offset by an increase in condensate and gas production. A probable increase in hydrocarbon production should stimulate growth in 2025 and 2026,’ S&P said in a report released on Friday, which revised Oman’s outlook from ‘stable’ to ‘positive’.

Oman’s total oil production declined by 4.3% during January–February this year, attributable to the sultanate’s commitment to the OPEC+ agreement. Crude oil production dropped by 6.8% to 46.025mn barrels in the first two months of this year from 49.391mn barrels in 2023, while condensate production rose by 5.2% to 14.047mn barrels, according to the latest NCSI data.

Earlier this month,