Oman's state energy company seeks $1.5 bln

Energy Development Oman (EDO), a recently established state company, is in talks with banks to raise US $1.5 billion in debt financing, two sources said told Reuters on Monday.

"EDO is looking to raise around $1.5 billion," one of the sources close to the matter told Reuters. The source said the financing could be in the form of a loan. The company that was established last year was to take ownership of Oman’s Block 6 to help raise debt.

“The financing is to help fund capital expenditure, a second source familiar with the plan said,” the agency reported.

According to energy consulting firm Wood Mackenzie, Block 6 is Oman's largest oil and gas operation.

The company is working with JPMorgan on its financing plan the sources said told Reuters. They added "that there is strong interest from lenders in the United Arab Emirates (UAE) to be part of the deal."