Bahrain has a $950.9 million plan to modernize the oil industry, covering 10 development projects to be completed by 2005, Bahrain Tribune reported Saturday.
Minister of Oil, Sheikh Issa bin Ali Al Khalifa was quoted by Al Ayam, sister newspaper of the Tribune, as saying that Bahrain will soon sign oil and gas exploration agreements with Texaco of the US and Petronas of Malaysia. Bahrain had received exploration offers from 10 international companies.
“Exploration work will begin immediately after the signing of the agreements with the two companies whose offers to explore in the eastern area extending from Garada in the north to Hawar island in the south have been approved,” the minister said.
Referring to the new plan, Sheikh Issa said that the projects under it, which have been approved by the Supreme Council for Oil, were meant to boost the competitive edge of the refinery, and to cope with the latest technological trends in the field. He said that a number of projects had been completed, including the production of lead-free petrol at the cost of BD6.8 million, which was launched by the prime minister in July last year.
The decision of developing Bahrain’s oil projects was taken after Bahrain oil revenues came down by 13.5 percent during the first half of the year 2001, exporting a total of BHD605.6 million compared to BHD 700.2 million during the first half of the previous year, registering a decline of about 13.5 percent.
The slump in oil revenues this year is due to the drop in international oil prices, which were uncommonly high last year.
The Organization of Petroleum Exporting Countries (OPEC) basket price of seven crude oils is now averaging USD 24 per barrel, compared to $31 per barrel at the same time last year – Albawaba.com
