Hibiscus, Petronas in 65:35 production sharing deal
Published on: Saturday, July 27, 2024
By: Bernama
SVP of MPM, Petronas, Datuk Ir. Bacho Pilong (5th from left) with signatories and representatives from PCSB, Hibiscus Oil & Gas Malaysia Limited, Ping Petroleum, Duta Marine and Jadestone Energy at the signing of DRO PSCs marketed under the MBR+ Round 1.
Kuala Lumpur: Hibiscus Petroleum Bhd’s indirect wholly owned subsidiary Hibiscus Oil & Gas Malaysia Ltd (HML) has been awarded a 65 per cent participating interest and operatorship in a production sharing contract by Petronas.
In a filing with Bursa Malaysia, Hibiscus said the remaining participating interest is held by Petronas Carigali Sdn Bhd, while the effective date of the production sharing contract is July 1, 2024, with a contract duration of 24 years.
ADVERTISEMENT
“The production sharing contract comprises four discovered resource opportunities (DRO) in the Pertang, Kenarong, Noring and Bedong fields, located in shallow waters between 65 and 75 metres depth offshore the east coast of Peninsular Malaysia,” it said.
The cluster is located to the south, and within the PM3 commercial arrangement area operated by HML, the statement said.
Country head (Malaysia and Vietnam) Dr Pascal Hos said the award of the production sharing contract provides HML an opportunity to maximise the use of the readily available gas network and to continue to meet Peninsular Malaysia’s growing gas demand.
Petroliam Nasional Bhd (Petronas) has signed production sharing contracts (PSCs) for three clusters of discovered resource opportunities (DRO) under the Malaysia bid round plus (MBR+) round one.
ADVERTISEMENT
These clusters are situated offshore Peninsular Malaysia.
The small field asset (SFA) cluster PSC includes the Bubu, Bunga Tasbih and Enau fields, which have been awarded to Ping Petroleum Sdn Bhd and Duta Marine Sdn Bhd.
ADVERTISEMENT
Another SFA cluster PSC has been awarded for four fields: Puteri, Padang, Penara and North Lukut, to Jadestone Energy (PM) Inc.
Malaysia Petroleum Management (MPM) senior vice president Datuk Ir. Bacho Pilong said MPM will continue to provide support and foster collaboration to facilitate the monetisation of these assets.
He also noted that MBR+ and Petronas myPROdata have been instrumental in opening doors for potential investors and existing players to explore business growth opportunities within Malaysia.
“We are delighted to see our operators continue to expand their portfolios in Malaysia.
“Their niche technical expertise and agility are crucial in navigating the unique challenges of monetising and developing DRO assets efficiently and safely,” said Bacho.
The awarded PSCs cover a portfolio of 12 fields, featuring oil and gas assets within the Malay basin in Peninsular Malaysia.
These DRO clusters, located in a proven hydrocarbon basin and near existing infrastructure, present synergistic development opportunities for monetisation.
In the coming weeks, Petronas will sign additional MBR+ PSCs.
Launched in October 2023, MBR+ complements the annual Malaysia bid round licensing by offering an extra avenue for investors to engage in DRO and late-life assets in Malaysia.
This is available exclusively to Petronas myPROdata paid subscribers.
Stay up-to-date by following Daily Express’s Telegram channel.
Daily Express Malaysia
