Shell adds four new wells to Gumusut-Kakap project in Malaysia

Oil major Shell has completed its Gumusut-Kakap Phase 2 project offshore Malaysia, which involved the drilling of four additional subsea wells tied back to its semi floating production system (GK-Semi FPS).

Gumusut-Kakap semi FPS; Source: MISC Group

At peak production, the four wells will add 50,000 barrels of oil equivalent per day to the GK-Semi FPS, sustaining its rated production capacity of 165,000 barrels per day, Shell said last week announcing the completion of Phase 2.

Located in water depths of 1,200 meters, the GK-Semi FPS was Shell’s first deepwater development in Malaysia, starting production in 2014.

Simon Durkin, Vice-President, Malaysia Upstream, said: “Shell has been a pioneer in Malaysia’s exploration and production sector for more than a century and a global leader in deep-water exploration and production for more than 40 years. We are proud of our continued investment in Malaysia and utilising our global and local expertise to ensure the long-term sustainability of Malaysia’s energy resources,” he added.

According to Shell, the GK Phase 2 project has realized cost savings of more than 35% since taking final investment decision in 4Q 2017 and this has been achieved through competitive scoping and efficient project execution.

The Gumusut-Kakap project is a joint venture between Shell (29%, operator), ConocoPhillips (29%), Petronas Carigali (16.8%), PTTEP Sabah Oil Ltd (6.4%), Pertamina (2.7%), and others.

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