Malaysia’s state-owned energy giant Petronas has awarded Production Sharing Contracts (PSCs) for three oil and gas clusters and one exploration block offered under the Malaysia Bid Round (MBR) 2024, with Shell and ConocoPhillips among the winners.
The awarded PSCs cover nine fields and one exploration block, featuring oil and gas discoveries located offshore Peninsular Malaysia and off the coast of Sabah.
Under the Small Field Asset PSC, the RAJA cluster, located offshore Peninsular Malaysia, comprising Rhu, Ara and Janglau fields – was awarded to Dialog Resources, while the Erb South field was awarded to EPOMS.
The Ubah Cluster, located off the coast of Sabah, consisting of five fields – Ubah, Rempah, Bagang, Batai and Biris – was awarded to ConocoPhillips Malaysia New Ventures, Sabah Shell Petroleum Company, and PETRONAS Carigali (PCSB) under the Deepwater Revenue-over-Cost PSC.
Additionally, Block PM515, which is an exploration block, was awarded under the Enhanced Profitability Terms PSC to PCSB and E&P Malaysia Venture.
These resources, situated within proven hydrocarbon basins, offer significant development advantages due to their proximity to existing infrastructure, enabling synergistic development and swift monetization, ensuring efficient and cost-effective resource extraction, Petronas said.
“We are pleased to see our petroleum arrangement contractors growing their portfolios in Malaysia. With their strong track records and proven capabilities, they continue to contribute significantly to the growth of Malaysia's petroleum sector.
“Block PM515 holds great potential for significant discoveries while the DRO Clusters are primed for accelerated development due to their sizeable resources and proximity to nearby facilities.
"The Ubah Cluster can greatly benefit from integration with the Kebabangan field, especially considering that both are operated by the same contractors – this integration can lead to various synergies and advantages for the operations of both fields,” said Bacho Pilong, Senior Vice President of Malaysia Petroleum Management (MPM).
Looking ahead, PETRONAS is gearing up for MBR 2025, scheduled for the first quarter of 2025.