EOR projects planned for offshore Malaysia

Nov. 11, 2011
Petronas Carigali Sdn. Bhd. and Shell Malaysia signed an agreement for two 30-year production-sharing contracts for enhanced oil recovery projects offshore Sarawak and Sabah.

Petronas Carigali Sdn. Bhd. and Shell Malaysia signed an agreement for two 30-year production-sharing contracts for enhanced oil recovery projects offshore Sarawak and Sabah.

Shell estimates the EOR projects will increase recovery factors to 50% from 36% in the Baram Delta (BDO) and North Sabah fields. It expects to produce an additional 90,000-100,000 boe/d from the projects and estimates that the projects will extend field life beyond 2040.

The technology planned for the North Sabah fields could potentially lead to the first field-scale offshore chemical EOR project in the world, according to Shell.

The new agreement builds on the existing BDO and North Sabah PSCs.

Petronas Carigali holds a 60% interest in the BDO production sharing contract (expiry 2018) and is operator while Shell holds the remaining 40%.

The North Sabah PSC (expiry 2019) is Shell operated with each company holding an equal 50% share.

About the Author

Guntis Moritis | Production Editor

Guntis Moritis has covered production and drilling technology for the Oil & Gas Journal since January 1988. Previous to that, he worked for several major oil companies in the areas of drilling, production, and reservoir engineering. Moritis has a degree in petroleum engineering from the Colorado School of Mines.