Projects

North Malay Basin Integrated Gas Development Project

The North Malay Basin (NMB) Integrated Gas Development Project involves the development of nine gas fields approximately 300km offshore Peninsular Malaysia. These fields consist of Bergading, Bunga Dahlia, Teratai, Gajah, Melati, Kamelia, Zetung, Anggerik and Kesumba, which are located in three blocks, PM302, PM325 and PM326B.

Project Type
Integrated gas fields development
Developer and Ownership
Hess Exploration and Production Malaysia (operator – 50%), Petronas Carigali (50%)
First Production (Early Production System Phase)
October 2013
Completion
2017
Estimated Investment
$5.2bn
Reserves
1.7 trillion cubic feet (TCF) of gas
Current Production Capacity
40 million cubic feet a day

North Malay Basin

The North Malay Basin (NMB) Integrated Gas Development Project involves the development of nine gas fields approximately 300km offshore Peninsular Malaysia. These fields consist of Bergading, Bunga Dahlia, Teratai, Gajah, Melati, Kamelia, Zetung, Anggerik and Kesumba, which are located in three blocks, PM302, PM325 and PM326B.

The three blocks are equally owned by Petronas Carigali, Hess Exploration and Production Malaysia, and are operated by the latter.

The project is being developed in two phases, namely the Early Production System (EPS) phase and the Full Field Development (FFD) phase. First gas under the EPS phase was achieved in October 2013, whereas production from the FFD phase is scheduled to begin in 2017.

“First gas under the EPS phase was achieved in October 2013, whereas production from the FFD phase is scheduled to begin in 2017.”

Net production from the EPS phase averaged 40 million cubic feet a day in 2014 and is expected to continue at the same pace through 2016. Completion of the FFD phase will increase the net production to approximately 165 million cubic feet a day.

The project aims at commercialising 1.7 trillion cubic feet (tcf) of gas reserves from the three blocks. The total cost of the Malaysian offshore project development is estimated to be $5.2bn.

Early production system

The EPS phase involved the development of the Kamelia field, which included the installation of the host platform, the leased Perisai Kamelia (formerly Lewek Arunothai) floating production, storage and offloading (FPSO) vessel, and the Kamelia-A wellhead platform (WHP).

FPSO Perisai Kamelia is jointly owned by EOC and Larizz Petroleum Services. The $272.1m three-year FPSO chartering contract is extendable by three more years. Converted in 2008, the FPSO has a storage capacity of 600,000 barrels, provides accommodation facilities for 60 people, and is moored using an external cantilever turret mooring system.

Full field development details

The FFD phase involves the installation of a floating storage and offloading (FSO) vessel, the Bergading central processing platform (CPP), and the Bergading C, Bergading D and Kesumba WHPs. Development drilling is scheduled to begin in late 2015.

The FFD phase also involves the construction of a new gas gathering, processing and transportation hub, 300km of pipeline, and a new onshore slug catcher comprising an acid gas removal system that integrates membrane technology for acid gas removal, the first of its kind to be used onshore.

Contractors involved with the North Malay Basin gas fields development

The engineering, procurement, construction and commissioning (EPCC) of the Kamelia-A WHP was performed by Kencana HL, a wholly owned subsidiary of SapuraKencana Petroleum Berhad (SapuraKencana), under a MYR135.8m (approximately $36.8m) contract.



Bertam oilfield is located within the PM307 Production Sharing Contract (PSC) area, 160km off the shore of Kuantan in Peninsular Malaysia.


Puncak Niaga Holdings was involved in performing the integrated transportation and installation of offshore facilities, including the 53km-long Kamelia pipeline during the EPS phase.

Cathelco supplied an impressed current cathodic protection system for the Lewek Arunothai FPSO vessel during the conversion process, to protect the vessel’s hull against corrosion.

The $191m engineering, procurement, construction, installation and commissioning (EPCIC) contract for the FSO was awarded to E A Technique, who further subcontracted Sofec to supply the external turret for the FSO, fabricate the rigid arm and install the FSO vessel.

The EPCIC contract for the Bergading CPP was awarded to Hyundai Heavy Industries (HHI). Malaysia Marine and Heavy Engineering Holdings (MHB) has been subcontracted to fabricate one of the Bergading WHPs and jacket, the connecting bridge and the jacket for the Bergading CPP.

SapuraKencana was awarded the EPCIC contract in June 2014 for three WHPs. IEV (Malaysia), an associate company of IEV Holdings, in association with Oil States Industries was subcontracted by Sapura Kencana to provide installation aids for the Bergading C, Bergading D and Kesumba remote WHPs.

Dimo will supply a hydraulic start system for the Bergading central processing platform (CPP), whereas Heatrice will supply the printed circuit heat exchangers (PCHEs) for the CPP.

Aryavartha Design Consultants was subcontracted by VP Petro 6 Engineers and Consultants to appraise the preliminary detailed design of the Bergading WHP.

Wasco Energy will supply approximately 250km of 24in and 28in-diameter pipes for the project, whereas Wah Seong Corporation has been contracted to provide anti-corrosion coating for 250km network of pipes.

NRI Energy Technology

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