Oman's National Oil Company will sell assets to raise US$8 billion

According to Bloomberg News on April 28, according to Bloomberg News reported on Wednesday, Oman’s state-owned energy company OQ plans to sell assets and raise funds through the international bond market to provide for the planned expenditure of US$7.

According to Bloomberg News, OQ does not expect to receive funds from the state.

As oil prices and oil demand plummeted at the beginning of the epidemic last spring, OQ's main upstream sector and its refining business suffered losses in 2020.

Oman’s national finances also suffered a great loss last year and will continue to suffer this year.

Oman is a non-OPEC oil-producing country and a member of the OPEC+ alliance.

Fitch Ratings stated in December last year that Oman’s fiscal deficit is expected to double in 2020, reaching 18% of gross domestic product (GDP), and shrink to 7% of GDP by 2024.

Earlier this month, Bloomberg reported that the Omani government is considering several options to fill the expanding budget loopholes, including the sale of OQ shares through an initial public offering (IPO).

OQ operates in 13 countries and is actively engaged in petroleum exploration and production, as well as fuel and petrochemical products.

　　Zhu Jiani is an excerpt from Bloomberg

　　The original text is as follows:

　　Oman's National Oil Firm To Sell Off Assets To Fund $8 Billion In Spending

　　Oman's state-held energy company OQ looks to sell assets and tap the international debt market in order to fund its planned US$7.

　　OQ does not expect to receive funding from the state anymore, which has so far poured as much as US$8.

　　OQ suffered losses in 2020 at its major upstream division as well as the refinery business after oil prices and oil demand crashed at the start of the pandemic in the spring of last year.

　　Oman's state finances also suffered a lot last year and continue to suffer this year, too.

　　Oman, a non-OPEC oil producer which is part of the OPEC+ alliance, has been hit very hard by the oil price and demand crash in 2020, and is looking to raise additional funding while it is cutting government expenditure.

　　Oman's fiscal deficit was expected to double to 18 percent of gross domestic product (GDP) in 2020, before narrowing to 7 percent of GDP by 2024, Fitch Ratings said in December, warning that Oman's fiscal plan faced large implementation and funding risks.

　　Earlier this month, Bloomberg reported that the government of Oman was looking at several options to plug the widened budget hole, including selling a stake in OQ via an initial public offering (IPO).

　　OQ operates in 13 different countries and is active in oil exploration and production as well as fuels and petrochemicals.