PC Myanmar (PCML), a subsidiary of Malaysia’s oil and gas company Petronas, has declared force majeure (FM) on its Yetagun gas and condensate field located offshore Myanmar.
Covering an area of approximately 24,130km², the Yetagun gas and condensate field spans in blocks M12, M13 and M14 in the Gulf of Martaban, Andaman Sea.
Go deeper with GlobalData
Petronas said that force majeure on the field has been issued due to gas production depletion at the field.
It follows the wells’ deliverability challenges, which resulted in reduced production rate below the technical threshold of the offshore gas processing plant.
PCML country head Liau Min Hoe said that the Yetagun field was producing well below the technical turndown rate of its facilities before the cessation of production.
Hoe added: “There has been a drastic decline in production level due to subsurface challenges in the field since January 2021 and it has further deteriorated recently.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalData“Continuing to produce at a low rate would impose significant risks to the integrity of our assets and the safety of our people. As a responsible operator, we had to temporarily cease production and declare force majeure.
“We have put in place an intervention plan to mitigate the matter, and have informed the host authority, our partners and gas buyer of our decision.”
Production at the Yetagun field has been ceased temporarily by PCML.
PCML, together with its affiliate, owns 40.9% interest in the field while Myanma Oil and Gas Enterprise owns 20.5% stake, Nippon Oil Exploration (Myanmar) holds 19.3% interest and the remaining 19.3% stake is owned by PTTEP International.
In February, Petronas and PTT Exploration and Production Public Company (PTTEP) made sweet gas discovery following the drilling of the Dokong-1 wildcat exploration well in Block SK417 offshore Malaysia.
