PETRONAS, through its upstream arm Malaysia Petroleum Management (MPM), has awarded PSCs for four new ventures as part of the Malaysia Bid Round (MBR) 2024.
The contracts encompass three DRO clusters and one exploration block, marking a significant development in Malaysia's oil and gas sector.
The PSCs cover nine fields and one exploration block, all situated offshore Peninsular Malaysia and off the coast of Sabah.
These areas are located within established hydrocarbon basins, offering the advantage of being near existing infrastructure, which is expected to facilitate synergistic development and rapid monetisation of the resources.
The RAJA cluster, comprising the Rhu, Ara and Janglau fields offshore Peninsular Malaysia, was awarded to Dialog Resources under the Small Field Asset PSC. EPOMS has secured the rights to the Erb South field.
In a joint venture, ConocoPhillips Malaysia New Ventures, Sabah Shell Petroleum and Petronas Carigali were awarded the Ubah Cluster, which includes the Ubah, Rempah, Bagang, Batai and Biris fields, under the Deepwater Revenue-over-Cost PSC.
Block PM515, an exploration block, was awarded to Petronas Carigali and E&P Malaysia Venture under the Enhanced Profitability Terms PSC.
MPM senior vice-president Datuk Ir. Bacho Pilong 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."
He added: “The year 2024 marks another successful year with the award of 18 PSCs across exploration, DRO and Late Life Asset. This is a testament of investors' confidence in Petronas' innovative asset offerings with high monetisation potential, solidifying Malaysia’s position as a preferred destination for upstream investments.”
Petronas is already preparing for the next phase, MBR 2025, which is due to launch in the first quarter of 2025.
This forthcoming bid round is expected to offer substantial opportunities for investors to tap into Malaysia's upstream oil and gas potential.
To support investor decision-making, Petronas has introduced myPROdata, a digital platform providing access to detailed data and insights, enhancing the investment process.
These strategic developments are part of Petronas' commitment to adding value and strengthening Malaysia's appeal as a prime location for upstream oil and gas investments.
