Receive our newsletter – data, insights and analysis delivered to you
  1. News
December 8, 2013

Petronas, Shell win Brunei’s offshore blocks

Malaysia's state-run company Petronas and global oil and gas major Shell have been awarded two offshore blocks by Brunei's national oil company, PetroleumBrunei.

Malaysia’s state-run company Petronas and global oil and gas major Shell have been awarded two offshore blocks by Brunei’s national oil company, PetroleumBrunei.

The blocks, N and Q, are located in eastern shallow water areas offshore of Brunei and both firms own equal 50:50 equity interests in the two blocks.

Petronas will act as the operator for block N, while Shell Deepwater Brunei will hold operatorship for block Q.

Petronas signed more agreements with PetroleumBrunei for beneficial cooperation in the oil and gas industry between two parties.

Both parties have signed a head of agreement (HoA) for Malaysia’s Kinabalu West NAG field and Brunei’s Maharajalela North Panel field towards formalising unitisation.

The agreement will pave the way for the two parties to resolve a number of issues relating to the unitisation and future development of these straddling fields.

Content from our partners
Green investment: What gives Scotland multiple advantages
How the North of Tyne region is leveraging its legacy to define its future
Q&A with Chevron Lubricants’ Paul Sly, global industrial OEM specialist, and Nathan Knotts, global brand technical manager

Another HoA was also signed towards a provisional arrangement for joint development of Malaysia’s Gumusut/Kakap field and Brunei’s Geronggong/Jagus-East field, said Petronas.

Progress Energy and Pacific NorthWest LNG, Petronas’s Canadian subsidiaries, have entered into a deal with PetroleumBrunei for the latter to acquire three percent equity in Progress Energy Canada’s natural gas assets and in the proposed Pacific NorthWest LNG’s export facility.

Under the proposed transaction, PetroleumBrunei will buy a three percent share of the LNG facility’s production for a minimum of 20 years.

A memorandum of understanding was signed by Malaysia Marine and Heavy Engineering, a unit of Petronas’s subsidiary MISC Bhd, with PetroleumBrunei subsidiary PB Services Sdn to form an engineering and fabrication services company in a 30:70 joint venture.

Energy

Related Companies

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Friday. The industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU