OQ Group Reports OMR 970 Million Profit in 2023, with 408 Million OMR in ICV
Muscat – OQ, the global integrated energy group, released today its financial results for 2023. The company reported a revenue of OMR 13.7 billion, earnings before interest, taxes, depreciation and amortisation (EBITDA) of OMR 1.975 billion, and a net profit of OMR 970 million.
This outstanding performance reflects robust operational achievements across the Group’s businesses. Key factors included increased production volumes, strong Oman Export Blend (OEB) and refined product prices, operational excellence across the assets, and gains from divestment activities.
The achievement of this level of operational, financial, and strategic performance in 2023 reflects the directives of the Oman Investment Authority (OIA) and the Group’s Board of Directors to enhance performance and achieve the targeted rates. The Group will continue to focus on continuous improvement by controlling costs, developing commercial aspects, optimising operating expenses, and enhancing asset competitiveness. In addition, the Group will champion the energy transition through carbon emission reduction and investments in renewable energy.
The Group will also work in tandem with the government’s efforts to enrich local markets by implementing a regulatory and legislative framework to maximise in-country value.
The Group’s 2023 annual report revealed that OQ achieved an average production of around 246,000 barrels of oil equivalent per day by the end of December 2023, with total annual production reaching 89 million barrels of oil equivalent. Additionally, the refining and petrochemicals sector achieved 81 million barrels of processed crude in 2023.
OQ places high value on Human Resources, achieving 83% Omanisation in 2023. They have trained and employed 200+ graduates through their Graduate Programme. Also, over 300 employees completed the Masar Leadership Development Programme. In total, 900 trainees have benefited from OQ’s initiatives, supporting human development in Oman and enabling young Omanis to enter the workforce with essential skills.
The report highlighted that OQ’s spend on local goods and services in 2023 surpassed OMR 408 million, accounting for 77% of OQ’s total procurement expenditure for the year, which totalled OMR 528 million. The In-Country Value (ICV) index reached 31.9%, demonstrating OQ’s commitment to supporting local businesses. OQ places a significant emphasis on ICV, with a focus on enriching local markets, promoting domestic products, and supporting small and medium enterprises (SMEs). Expenditure on SMEs amounted to OMR 95 million, constituting 18% of the total expenditure.
In 2023, OQ’s contributions to social investments amounted to OMR 4.4 million, showcasing social investment as one of the main pillars that exemplifies OQ’s dedication to serving the community across social, environmental, economic and health dimensions.
In the realm of health, safety, security and the environment, the group logged 46 million work hours in 2023 without any fatalities. OQ strictly adheres to national and international safety standards across all its operations to prevent incidents that could lead to casualties within its assets and facilities.