Petroleum Development Oman (PDO) has awarded five-year hoist services contracts covering 15 units to two local companies, Abraj Energy Services and Shaleem Petroleum Company, the Oman News Agency reported on Tuesday, October 27.
Abraj will provide nine of the hoist units and Shaleem Petroleum will provide six. The units support PDO’s well intervention and servicing operations.
PDO expects the contracts to deliver direct cost savings of 7% against existing contract rates over the five years, plus a further 6% in cost avoidance against market trends.
The awards will raise the share of modern units in PDO’s hoist fleet to 53% from 40%. Six of the modern hoist units will be assembled in Oman, which PDO said would create opportunities for knowledge transfer and for Omani small and medium enterprises.
Dr. Aflah Al Hadhrami, managing director of PDO, said the contracts support the company’s ambitions for production growth, greater efficiency and cost competitiveness.
“By partnering with local companies and developing national capabilities, we are building a more competitive and resilient supply chain that supports our long-term operational needs,” Al Hadhrami said.
Saif Al Hamhami, chief executive officer of Abraj Energy Services, said the addition of six new-build workover hoists expands the company’s operational capabilities.
Mohammed Al Sibani, chief executive officer of Shaleem Petroleum Company, said the agreement builds on a partnership with PDO spanning more than 25 years.
The value of the contracts was not disclosed.
