The Mineral Industry Of Other Countries Of The Near East - Bahrain (cbaeb5f0-db23-4545-b655-c60ed9216196)

The petroleum industry continued to be the most important mineral activity in Bahrain during 1978-79. Revenues generated by the petroleum sector increased from $378 million' in 1977 to an estimated $419 million in 1978 and approximately $522.5 million in 1979, despite decreasing production over the 2 year period. There were two oilfields that produced revenues for Bahrain, the Awali oilfield, the nation's only onshore producer, and the Abu Sa'fah oilfield, located in the Persian Gulf, north of Bahrain, The Await oilfield has been decreasing output from a high of 27,973,000 barrels in 1970 to 19,000,000 barrels in 1979. Bahrain shared the revenues from the Abu Sa'fah oilfield with Saudi Arabia, as settlement of an ownership dispute. For the first time, in 1978, revenues from the Abu Sa'fah oilfield represented over 50% of the total receipts from the petroleum sector. The years 1978-79 saw the gradual takeover of the Bahrain Petroleum Co. (Bapco), formerly a subsidiary of the California Texas Petroleum Co. (Caltex), by the Government-owned Bahrain National Oil Co. (Banoco). By yearend 1978, Banoco owned 60% of Bapco, and Caltex the remaining 40%. The Government-owned company controlled exploration concessions, managed domestic marketing of petroleum products, and controlled natural gas production and marketing. On December 15, 1979, the Bahrain Government completed full takeover of the Bapco operations. Bapco will continue to own and operate the 250,000-barrel-per-day oil refinery located near Sitrah, as well as handle foreign marketing of petroleum products.