Shell and its partner Malaysian state oil firm Petronas have made the final investment decision (FID) to develop the Rosmari-Marjoram gas project offshore Malaysia.

Situated 220km off the coast of Bintulu in Sarawak state in block SK318, the Rosmari-Marjoram project involves the development of the offshore fields.

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The Rosmari-Marjoram project development involves an uncrewed well head platform, a subsea tie-back, a 207km pipeline to onshore, and an onshore gas plant at Bintulu.

Shell’s subsidiary Sarawak Shell Berhad (SSB) operates the project with an 80% stake while Petronas’ upstream unit Carigali Sdn Bhd owns the remaining 20% interest.

Shell upstream director Zoe Yujnovich said: “Rosmari-Marjoram will help to deliver a secure and reliable supply of energy, responsibly and efficiently.

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“This demonstrates our powering progress strategy, powering lives, generating value, and reducing emissions by using renewable energy to power Rosmari-Marjoram.”

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Planned to be commissioned in 2026, the Rosmari-Marjoram project is expected to have a production capacity of 800 million standard cubic feet per day of gas.

Shell said that the Rosmari-Marjoram project would help ensure a sustained gas supply to the Petronas LNG Complex in Bintulu.

In July 2022, Samsung Engineering secured a $680m engineering, procurement, construction, and commissioning (EPCC) contract from SSB for an onshore gas plant for the Rosmari Marjoram project.

To be located in Bintulu, Sarawak, the proposed plant is planned to be executed in two phases, with the first phase involving a limited scope before the FID for the Rosmari Marjoram project.