Hibiscus discovers oil in offshore Malaysia-Vietnam PSC

Hibiscus Oil & Gas Malaysia Ltd. (HML), a wholly owned subsidiary of Hibiscus Petroleum Bhd., discovered oil in the Bunga Aster-1 exploration well in the PM3 commercial arrangement area production sharing contract (PM3 CAA PSC), offshore Malaysia and Vietnam.

The well was drilled in 56 m of water from the existing Bunga Orkid-D platform and encountered about 17.5 m of oil-bearing sandstone with up to 46 m of potential oil column. Multiple oil samples were collected during the logging campaign. Initial assessments indicate good reservoir characteristics.

This well marks the second significant discovery within a 12-month period, following the discovery of Bunga Lavatera in 2023, the company said. First oil production is expected to begin in May 2024.

HML will progress with an evaluation and appraisal to further define the size of the discovery. The Bunga Aster discovery will add additional reserves and oil production to the PM3 CAA PSC, thereby extending the economic life of the PSC, the company said. HML has plans to continue exploring other near-field prospects in in the next 3 years. 

PM3 CAA PSC is a commercial arrangement area between Malaysia and Vietnam and includes producing fields Bunga Orkid, Bunga Pakma, Bunga Raya, Bunga Seroja, Bunga Kekwa, Bunga Tulip, and Bunga Lavatera. Development includes fixed platforms with gas pipelines to Peninsular Malaysia and Vietnam. Oil export is by floating, storage, and offloading (FSO) vessels Orkid and PM3 CAA.

Hibiscus is operator with 35% interest. Partners are Petronas Carigali Sdn. Bhd. and PetroVietnam Exploration Production Corp. Ltd.