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Petronas and PTTEP ink multiple deals for Malaysian offshore blocks

December 26, 2023
in News
Petronas and PTTEP ink multiple deals for Malaysian offshore blocks
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Home Fossil Energy Petronas and PTTEP ink multiple deals for Malaysian offshore blocks

December 26, 2023,
by

Nadja Skopljak

Petronas Carigali, a wholly-owned subsidiary of Malaysia’s state-owned energy giant Petronas, has signed multiple agreements with Thailand’s national oil and gas company PTT Exploration and Production (PTTEP) related to the development of two blocks offshore Malaysia.

Source: Petronas

Petronas Carigali and PTTEP signed a memorandum of understanding (MoU) and two technical assistance agreements (TAAs) in relation to the development of PTTEP-operated Blocks SK405B and SK410B located off the coast of Sarawak.

The agreements were signed by Petronas Carigali’s Senior General Manager of Sarawak Asset Anuar Ismail, while PTTEP was represented by its Country Manager Kanok Intharawijitr.

The MoU covers the scope of the potential evacuation of production from Block SK405B through D35/D21/J4 production sharing contract (PSC) facilities, Post 1976 Balingian PSC facilities and Bintulu Crude Oil Terminal operated by Petronas Carigali.

The first TAA covers the study and design works for Block SK405B fields into the same Petronas Carigali-operated facilities, while the second is for the assistance of engineering design for the potential construction, tie-in works, pipeline and cable crossings of Block SK410B for Lang Lebah’s gas evacuation to the Bintulu Additional Gas Supply Facilities 2, as well as for the potential production and handling of Lang Lebah’s condensate at the Bintulu Integrated Facilities.

“This collaboration would enable both parties to drive progress by leveraging on PETRONAS Carigali’s expertise and technology through continued focus on cost optimisation and operational excellence to ensure supply security, particularly in Sarawak,” Ismail said. “We look forward to working together with PTTEP towards our common aspiration in growing Malaysia’s energy industry in the long run.”

PTTEP holds a 49.5% participating interest in Block SK405B PSC, with MOECO Oil (Sarawak) and Petronas Carigali holding 25.5% and 25% respectively. For Block SK410B PSC, PTTEP and Kuwait Foreign Petroleum Exploration Company each hold a 42.5% interest, with the remaining 15% held by Petronas Carigali.

“PTTEP is delighted with this collaboration with PETRONAS Carigali and looks forward to its continued growth in the country, under the stewardship of Malaysia Petroleum Management, PETRONAS, as the nation’s custodian of petroleum resources. Currently, we operate eight PSCs in Sarawak with a production volume of ~15 KBOPD and ~200 MMscfd of crude and gas respectively,” Intharawijitr said.

“In Sarawak, we have a number of developments forthcoming including SK410B and SK405B. We highly appreciate and value this collaboration a lot since it will enable the parties to advance the success of our projects.”

Posted: 18 days ago

PTTEP earlier this month made new oil and gas discoveries in three fields offshore Sarawak, including the Chenda-1 exploration well in block SK405B, and Bangsawan-1 and Babadon-1 exploration wells in block SK438.

Furthermore, the Thai firm has achieved a positive outcome with the Sirung-2 appraisal well in block SK405B to affirm petroleum resources, which follows the prior discovery of oil and gas in the Sirung-1 exploration well in 2021. The project is now moving towards the engineering study.

The announcement came shortly after Petronas revealed 19 exploration discoveries and two exploration-appraisal successes in Malaysia, contributing over 1 billion barrels of oil equivalent (boe) of new resources in 2023.

Posted: about 1 month ago

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>>> Read full article>>>
Copyright for syndicated content belongs to the linked Source : OffshoreEnergy – https://www.offshore-energy.biz/petronas-and-pttep-ink-multiple-deals-for-malaysian-offshore-blocks/

Tags: newsPetronasPTTEP
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