Dubai: Dolphin Energy Limited has begun supplying gas to Oman, completing the strategic Qatar-UAE-Oman natural gas grid first proposed in 1999, the company said in a statement.

The company announced that Dolphin gas from Qatar was now flowing to the Sultanate for the very first time, as part of a 25-year Gas Sales Agreement (GSA) signed in 2005.

Dolphin's gas is produced offshore Qatar and is processed onshore at its Ras Laffan gas processing plant.

The gas is then compressed and pumped through the export pipe-line to Dolphin's receiving facilities in Abu Dhabi for distribution to customers.

Supplies for Oman subsequently flow across the country via the company's Eastern Gas Distribution System (EGDS) to Al Ain, where the EGDS connects with a new Omani pipeline on the Oman border.

Dolphin Energy began to deliver gas to UAE customers in July 2007 with an average of 2 billion standard cubic feet of gas a day (scf/day) since February 2008. Oman will be receiving some 10 per cent of this quantity, 200 million scf/day, under the terms of the GSA.

Dolphin Energy's CEO, Ahmad Ali Al Sayegh said: "This is a historic moment for Dolphin Energy - it is equally significant for the three nations who have embraced and supported the Dolphin Gas Project from the very beginning.

"We have always been grateful for Oman's supply of gas to our Al Ain-Fujairah pipeline project in 2004, which enabled us to deliver much needed gas to the Northern Emirates three to four years earlier than if we had waited for completion of our Qatar facilities.

"Now Dolphin, in its turn, can contribute to Oman's own future economic growth."

Dolphin Energy Limited was created to develop substantial energy projects throughout the GCC and to create long-term economic wealth and new business opportunities for GCC citizens, far into the future.

Dolphin Energy is owned 51 per cent by Mubadala Development Company, on behalf of the Government of Abu Dhabi - and 24.5 per cent each by Total of France and Occidental Petroleum of the USA.