Shell’s Tan (left) and Mohamed Firouz (right) are joined virtually by (right side, from top) Sauu, Rice-Oxley and Petronas executive vice president and group chief financial officer Liza Mustapha during the virtual PSC signing today.
KUCHING: Petroleum Sarawak Exploration and Production Sdn Bhd (PSEP) – wholly owned subsidiary of Petroleum Sarawak Berhad (Petros), together with Sarawak Shell Berhad (SSB) and Petronas Carigali Sdn Bhd (PCSB) have been awarded the SK437 production sharing contract (PSC), off the coast of Sarawak.
The participating interests of SSB, PSEP and PCSB are 85, 7.5 and 7.5 per cent respectively, with SSB being the operator of the PSC.
Block SK437, measuring 2,015 square kilometres in size and in water depths of up to 50 metres, is located toward the southwest of the prolific Central Luconia province, off the coast of Sarawak, offshore Malaysia.
At the virtual PSC signing today, Petronas, Petros, SSB, PSEP and PCSB are represented by senior vice president of Malaysia Petroleum Management, Mohamed Firouz Asnan; Shell Malaysia chairman and senior vice president of Shell Malaysia Upstream, Ivan Tan; Petros Group chief executive officer Datuk Sauu Kakok; director of PSEP and executive vice president, upstream, Dr James Foo; and vice president of exploration, upstream, Emeliana Rice-Oxley.
Besides the SK437 exploration block PSC, PSEP also holds interests in MLNG Satu PSC and Kumang Cluster PSC ventures with 20 and 50 per cent equity interest respectively in off the coast of Sarawak.
Speaking on this update, Sauu said, “Petros’ participation in the SK437 PSC will provide an opportunity for PSEP to expand its role in exploration activities off the coast of Sarawak.”
“For this PSC, Petros EP is being carried for the exploration phase which allows it to manage its exploration risks while seeking to build its capability.
“The addition of Exploration Block SK437 PSC to our existing producing ventures, MLNG PSC and Kumang Cluster PSC, further diversifies PSEP portfolio of assets in off the coast of Sarawak.
“We look forward to close collaboration with our operating partners to maximise the value of the PSCs.”
Petros has also recently concluded its inaugural award and signing of the Block SK433 Petroleum Contract, Onshore Sarawak resulting from Onshore Sarawak Bid Round 2020.
Per the Commercial Settlement Agreement signed on December 7, 2020 between Petronas, Sarawak state and federal government, Petros is the regulator and manager for oil and gas resources for onshore Sarawak.
The winning bidders for this block are Petra Energy (as operator) and Uzma Energy (as non-operating partner).