Shell has started oil production from the Malikai Tension-Leg Platform (TLP), which is located 100km off the coast of Sabah, Malaysia.

Malikai is located in waters up to 500m deep and is the company’s second deepwater project in Malaysia, after the start-up of the Gumusut-Kakap platform in 2014.

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Designed and built in Malaysia, the platform is expected to have a peak production of 60,000bpd.

Shell upstream director Andy Brown said: “Malikai marks an important milestone for Shell, its partners, Sabah and Malaysia.

“The project has demonstrated our capability in delivering competitive deep-water projects utilising our global expertise.”

It features a new platform design and a set of risers, or pipes that connect it to the wells for oil production.

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Shell operates the Malikai project with 35% interest. Other partners are ConocoPhillips Sabah (35%) and Petronas Carigali (30%).

"The platform is expected to have a peak production of 60,000bpd."

Shell’s deepwater business currently produces 600,000boe/d, which is expected to increase to more than 900,000boe/d by 2020.

Other Shell-operated projects are Coulomb Phase II and Appomattox in the US Gulf of Mexico.

Malikai’s TLP is a vertically floating structure moored by groups of tethers at each corner and is coupled with a tender assisted drilling (TAD) rig.

It has a fit-for purpose riserless vessel to perform top hole operations.

The Malikai oil field is part of the Block G production sharing contract awarded by Petronas in 1995.

Image: Malikai TLP drills wells with the help of a 'tender assisted drilling' vessel seen on the right. Photo: courtesy of Shell.