The Integrated Gas Company (IGC) has signed a new set of spot gas sales agreements, strengthening the flexibility of Oman’s gas market and improving the efficiency of natural gas allocation. The move is aimed at supporting industrial growth, enhancing sustainability, and maximizing the economic value of the Sultanate’s natural gas resources.
The agreements were signed during a ceremony held under the patronage of Qais Mohammed Al Yousef, Chairman of the Public Authority for Special Economic Zones and Free Zones (OPAZ), in the presence of senior government officials, private sector representatives, gas producers, and consumers.
The latest agreements build on the success of Oman’s spot gas market since its launch in mid-2024. The market has introduced more flexible and transparent mechanisms for natural gas allocation through competitive bidding and direct agreements, ensuring optimal utilization of national gas resources.
IGC said the spot gas market has become a strategic tool for the industrial sector, enabling businesses to secure additional or temporary gas supplies based on operational and expansion requirements. The mechanism supports uninterrupted production, attracts investment, and strengthens the competitiveness of Oman’s industrial sector.
The company added that the spot market has improved the national gas ecosystem’s ability to balance supply and demand by directing available gas to higher-value applications at the right time, increasing resource efficiency and economic returns.
The market has also supported Oman’s sustainability goals by offering a cleaner and more efficient alternative to diesel in industrial and commercial facilities requiring additional energy, contributing to lower emissions and the country’s net-zero carbon ambitions.
Over the past year, IGC collaborated with Nama Power and Water Procurement Company to supply additional gas for electricity generation, facilitating electricity exports through the Gulf grid while ensuring optimal utilization of national gas resources.
Image Credits: IGC | Cropped by GBN
IGC Chief Executive Officer Abdulrahman Hamid Al Yahyaei noted that the spot gas market is one of the company’s key initiatives to improve market flexibility and enhance the efficiency of national resource allocation. He said the experience has demonstrated that a transparent and flexible gas market not only meets consumers’ operational needs but also creates new opportunities for industrial growth, attracts investment, and maximizes the value of Oman’s natural resources.
Al Yahyaei said that IGC will continue developing market tools and gas allocation mechanisms to meet future demand, strengthen supply security, and support the objectives of Oman Vision 2040 on economic diversification and industrial sustainability. He added that natural gas remains a cornerstone of Oman’s economy, supplying around 95 percent of Oman’s electricity and water production while directly serving more than 150 industrial and commercial facilities.
