Malaysian state firm Petronas has taken 10% of Oman’s marquee gas asset—BP’s 1bn cfd Khazzan gas field. The deal provides Muscat with another vote of confidence and sees Petronas expand its regional upstream portfolio.

Oman Oil Company Exploration and Production (OOCEP), a subsidiary of Oman Oil Company (OOC), announced on 21 October that it would farm out a 10% stake in Block 61 to Petronas, pending government approval and “other closing conditions.” Once...