EMEPMI Begins Production from 2 Satellite Field in Malaysia

Irong Barat A Platform
ExxonMobil Exploration and Production Malaysia Inc. (EMEPMI) has commenced oil production from Irong Barat B and Raya B, the last two of five satellite platforms installed under the Satellite Fields Development Phase I (SFD I) Project in 2001.

"By using a generic minimum facility design which optimised the use of existing facilities, we are able to capitalize on time efficiencies, economies of scale and lessons learned to bring relatively small fields on-stream quickly and economically to benefit the nation and to enhance our operations in Malaysia," said Rob Fisher, EMEPMI Chairman.

The SFD I Project represents a technological innovation in EMEPMI's approach to the development of small oil and gas reserves. About 70 million barrels of oil from six fields will be produced from the five satellite platforms, with peak production expected to total approximately 40 thousand barrels per day. The total project development cost is estimated at RM 950 million, inclusive of drilling costs.

The SFD I Project was implemented on a tight schedule. The platforms were made in Malaysia from start to finish, reflecting the ability of local contractors to design and build world-class oil and gas production facilities. More than 2.2 million work hours were expended to design, fabricate and install the five platforms and about 110 kilometers of associated pipelines. Despite the high level of construction activities, the project was safely completed without any lost time incident.

The Raya B and Irong Barat B platforms were installed about 200 km offshore the east coast of Peninsular Malaysia in the South China Sea in August 2001. At their peak, each platform will produce approximately six thousand barrels of oil per day. The other platforms developed as part of the SFD I Project were Seligi H, Lawang A and Serudon A.

EMEPMI, as the operator, is developing the fields on behalf of its joint venture with PETRONAS Carigali Sdn Bhd (PCSB), a subsidiary of Malaysian national oil company, PETRONAS. Under the various Production Sharing Contracts, EMEPMI has a working interest of between 78% and 80% in the fields.

Since the development of the SFD I Project, EMEPMI has installed three additional facilities under the SFD Phase II Project in 2002 at Bintang A and B, and Tapis F. Fabrication of two more platforms is due to start soon under the SFD Phase III Project planned for installation in 2004.

ExxonMobil Exploration and Production Malaysia Inc. is the largest crude oil producer in Malaysia and supplies two-thirds of Peninsular Malaysia's natural gas needs, producing approximately 280,000 barrels of oil per day and 1.3 billion cubic feet of gas per day.

The Irong Barat A platform will serve as the central processing platform for the Irong Barat B satellite platform.

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