Oman secures loan for wastewater improvement project
In a significant stride towards sustainable oilfield operations, Aquatech International Corporation, a global leader in water purification technology, has secured a major contract to implement a wastewater recycling plant at Occidental Mukhaizna oilfield in Oman. The project aims to treat and reuse produced water from oil production and heavy oil extraction, thereby minimising freshwater consumption in the harsh desert environment.
## Project Details
The Mukhaizna field, one of the largest heavy oil fields in Oman, operated by Occidental Petroleum (Oxy), will benefit from Aquatech's advanced Brine Concentrator™ and Zero Liquid Discharge (ZLD) systems. The systems are designed to treat up to 105,000 barrels per day (over 4.4 million gallons per day) of produced and process water, supporting Steam Assisted Gravity Drainage (SAGD) operations.
The project is expected to be delivered in multiple phases, with the initial phase targeting approximately 45,000 barrels per day of treatment capacity. Aquatech's systems will help Oxy achieve its Net Zero goals by maximising water reuse and exceeding environmental compliance through ZLD, reducing discharge to zero.
## Partners Involved
The project involves partnerships between global technology leaders, major oil producers, and local stakeholders. Aquatech will provide the technology, engineering, procurement, and construction (EPC), while Occidental Petroleum will serve as the field operator and project owner. The Libra Group, of which Aquatech is a portfolio company, may also invest or partner in the project, although the exact role may vary. Local contractors and suppliers will collaborate on construction and integration. The Government of Oman will provide regulatory oversight and support for sustainable development initiatives.
## Impact and Significance
This project marks a milestone for sustainable oilfield operations in Oman, demonstrating how advanced water recycling can reduce environmental impact, lower operational costs, and support the Sultanate’s Vision 2040 goals for water conservation. The project will set a new standard for water stewardship in heavy oil production, potentially paving the way for similar initiatives in the region.
## Key Takeaways
- **Large-Scale Recycling:** One of the largest water reuse projects in the Middle East oil & gas sector. - **Advanced Technology:** Cutting-edge ZLD and brine concentration systems ensure high efficiency and sustainability. - **Strategic Partnerships:** Collaboration between global technology leaders, major oil producers, and local stakeholders. - **Environmental Leadership:** Sets a new standard for water stewardship in heavy oil production.
PNC Bank in Pittsburgh, Pennsylvania, will provide the loan to Aquatech to fulfil its contract. Occidental Mukhaizna aims to recover 1 billion barrels of heavy oil from Mukhaizna over the life of the project, with current estimated reserves of 2 billion barrels. The Mukhaizna field is one of the largest in the Sultanate of Oman and is operated by Occidental Mukhaizna, a subsidiary of Occidental Petroleum. Occidental Mukhaizna plans to increase oil production from 8,000 barrels per day (bpd) to 150,000 bpd within five years. Occidental Petroleum holds a 45% interest in Occidental Mukhaizna, with the government of Oman, Shell Oman Trading Company, Liwa Energy, Total E&P Oman, and Partex Oman holding the remaining stakes. The contract for Aquatech was secured through a US$23 million working capital loan guarantee from US Ex-Im Bank.
- PNC Bank in Pittsburgh, Pennsylvania, will provide a loan to Aquatech International Corporation to finance the implementation of their advanced water recycling plant at Occidental Mukhaizna oilfield in Oman, which aims to treat and reuse produced water in the oil-and-gas industry.
- The Mukhaizna field, a heavy oil field operated by Occidental Petroleum (Oxy), will partner with Aquatech for the recycling project, integrating their Brine Concentrator™ and Zero Liquid Discharge (ZLD) systems into the oil-and-gas production and finance sector, thereby contributing to the energy industry's sustainability efforts.
