First Oil Flows from Banang Field in KBM Cluster Off Peninsular Malaysia

Malaysia's national oil company Petroliam Nasional Berhad (Petronas) announced Thursday that oil production at Banang field located offshore Peninsular Malaysia commenced July 15, three months ahead of schedule.

Banang is the second of three fields from the Kapal, Banang and Meranti (KBM) Cluster small field development to have attained first oil after production came on stream at the Kapal field in December 2013.

Facilities at the Banang field comprise one Mobile Offshore Production Unit (MOPU), a Storage Tanker equipped to store approximately 600,000 barrels, one well bay module and one flexible flow line. The Banang field is estimated to produce an average of 6,000 barrels per day.

"The oil production from KBM cluster also marked the third Risk Service Contract (RSC) which has successfully reached oil production after the Balai cluster and Berantai Field," Petronas said in a press release.

Petronas has awarded six RSCs so far. They include the Berantai field to Petrofac and Sapura Kencana Petroleum Bhd in January 2011; the Balai-Bentara cluster offshore Sarawak to a consortium comprising Roc Oil Malaysia (Holdings) Sdn Bhd, Dialog Group Bhd and Petronas Carigali in August 2011; the KBM cluster to Coastal Energy KBM Sdn Bhd in June 2012; the Tembikai-Chenang cluster to Vestigo Petroleum in October 2013; the Tanjong Baram field to EQ Petroleum Developments Malaysia Sdn Bhd and Uzma Energy Venture (Sarawak) Sdn Bhd in March; and Ophir Small Field Risk Service Contract (SFRSC) to Ophir Production Sdn Bhd (Ophir Production), a joint venture company between Octanex Pte Ltd, Scomi D&P Sdn Bhd and Vestigo Petroleum Sdn Bhd in June.

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