Petronas has for the first time, since its incorporation in 1975, discovered oil in significant quantities off the coast of Pahang state, the country's Prime Minister Najib Razak revealed Wednesday through a statement on his personal website.
In his statement, Razak said that Petronas Carigali, the firm's oil and gas exploration unit, and Lundin Petroleum had jointly discovered additional oil reserves under a production sharing contract (PSC) in the offshore Bertam oil field located in Block PM 307.
"With addition of these reserves, the Bertam field now contains recoverable oil reserves of 64 million barrels," Razak said in his statement.
Commenting on developmental activities that the Malaysian government has drawn up for Bertam, Razak said that crude oil production will begin at the oilfield in 3Q 2014 with a projected output of between 17,500 and 20,000 barrels per day. He cautioned that this forecast is subjected to results that will be produced from on-going commercial and technical feasibility studies.
The block – located 99 miles (160 kilometers) offshore Pahang in water depths of 249 feet (76 meters) – is operated by Lundin Petroleum through its subsidiary Lundin Malaysia.
Lundin Malaysia holds a 75-percent interest in PM 307, while Petronas Carigali holds the remaining 25-percent stake in the block. Lundin Malaysia operates six blocks in Malaysia, namely PM307, PM308A, PM308B, SB303, SB307 & SB308.
Lundin Malaysia was previously drilling at the offshore block PM308B. The Merawan Batu-1 exploration well – which Lundin Malaysia was drilling with the jackup rig West Courageous (350' ILC) – was plugged and abandoned as a dry hole Oct. 25.
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