Muscat:Petroleum Development Oman (PDO) has awarded five-year hoist services contracts to two local companies, ABRAJ Energy Services and Shaleem Petroleum Company, as part of its efforts to modernize its hoist fleet, enhance operational performance, and maximize local content.
According to Oman News Agency, the contracts cover 15 hoist units, with 9 awarded to ABRAJ and 6 to Shaleem Petroleum, supporting PDO's well intervention and servicing operations. The awards aim to improve operational reliability and efficiency while maintaining PDO's stringent health, safety, and environment (HSE), asset integrity, and process safety standards. They are also expected to deliver direct cost savings of 7% against existing contract rates over the five-year period, alongside an additional 6% in cost avoidance against market trends.
The modernization of PDO's hoist fleet is set to increase the proportion of modern units from 40% to 53%. The introduction of advanced equipment will help reduce manual intervention, enhance workforce welfare, and strengthen HSE performance. A key element of the contracts is the assembly of six modern hoist units in Oman, creating opportunities for technical knowledge transfer, national capability development, and greater participation by Omani small and medium enterprises (SMEs). This will further strengthen the local supply chain and increase the economic value retained in Oman, in line with Oman Vision 2040.
Dr. Aflah Al Hadhrami, PDO Managing Director, emphasized that these strategic contracts are crucial in strengthening operational capabilities and supporting ambitions for production growth, efficiency, and cost competitiveness. By partnering with local companies and developing national capabilities, PDO is building a more competitive and resilient supply chain that supports long-term operational needs and contributes to national economic development.
Eng. Saif Al Hamhami, CEO of ABRAJ Energy Services, highlighted the addition of six new-build workover hoists as an important step in expanding ABRAJ's operational capabilities and supporting PDO's evolving needs. Through continued investment in national talent, technology, and operational excellence, ABRAJ aims to deliver sustainable value and contribute to the long-term development of Oman's energy sector.
Eng. Mohammed Al Sibani, CEO of Shaleem Petroleum Company, expressed delight in signing the strategic agreement, which builds on a partnership spanning more than 25 years. Al Sibani noted Shaleem Petroleum's commitment to fulfilling its operational obligations to the highest standards and continuing to develop Omani talent, with Omanisation already exceeding 91%, further contributing to local content development.
The awards signify another step in PDO's Journey of Transformation, advancing its priorities of production growth, cost competitiveness, and operational excellence. Through investment in modern technologies and stronger national supply chains, PDO is building the capabilities needed to deliver competitive and responsible hydrocarbon growth and maximize long-term value for Oman.