Abu Dhabi player flows first gas from Malaysian field

Exploration & Production

March 21, 2022, by Nermina Kulovic

Abu Dhabi-based oil and gas company Mubadala Petroleum has started the first gas production from the Pegaga gas field in Block SK 320, offshore Malaysia.

Illustration; Source: Mubadala Petroleum

Block SK 320 - Abu Dhabi-based Mubadala — Block SK 320; Source: Mubadala

Mubadala Petroleum has been present in Malaysia since 2010 and is the operator of Block SK 320 with a 55 per cent interest. Petronas Carigali, a subsidiary of Petronas, holds 25 per cent, with Sarawak Shell holding the remaining 20 per cent interest. The project was sanctioned in March 2018.

The Abu Dhabi firm said in a statement on Monday that this milestone marks the culmination of a challenging gas project, during a period in which the company navigated the challenges of the global pandemic. As a key strategic development for the local energy sector, Pegaga will be a key producing field supplying gas to Petronas LNG Complex, in Bintulu, Sarawak, Malaysia.

The Pegaga gas field is located in the Central Luconia province, offshore Sarawak, Malaysia at about a 108-meter water depth. The development concept comprises an Integrated Central Processing Platform (ICPP) consisting of an 8-legged jacket.

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Pegaga ICPP - Mubadala — Pegaga ICPP; Source: Mubadala

The facility is designed for a gas throughput of 550 million standard cubic feet of gas per day plus condensate. The produced gas will be evacuated through a new 4 KM, 38-inch subsea pipeline tying into an existing offshore gas network and subsequently to the onshore Petronas LNG Complex.

The jacket and wellhead deck, which were constructed in Lumut and Kuching fabrication yards, were installed in April 2020 followed by the Pegaga Development Drilling campaign. The ICPP float-over and installation was then completed in August 2021. Sapura was in charge of EPCIC works for the ICPP.

Mansoor Mohamed Al Hamed, CEO of Mubadala Petroleum said that the Pegaga achievement is a landmark for the company. He added: “With our strategic focus on gas as a key bridge fuel in the energy transition, this achievement reflects our ambition for the future as a long-term investor and strategic energy partner.”