Petronas’ Vestigo eyes FPSO or FSO for marginal field mySarawak - TopicsExpress



          

Petronas’ Vestigo eyes FPSO or FSO for marginal field mySarawak | 13/08/2013 | 0 Comments Email This Post Email This Post Print This Post Print This Post 1 Star2 Stars3 Stars4tars5 Stars (No Ratings Yet) KUCHING: Petroliam Nasional Bhd’s (Petronas) newly-established Vestigo Petroleum Sdn Bhd (Vestigo) is sounding out the market for a charter of relatively small floating production, storage and offloading (FPSO) vessel or floating storage and offloading (FSO) vessel capable of holding up to 150,000 barrels of crude oil. AmResearch Sdn Bhd (AmResearch) in a recent research note, quoted Upstream as saying the storage or production floater will be deployed to support crude production of up to 6,000 barrels per day over a fixed-term charter running between two and seven years. It added, this could mean that Vestigo has already identified development targets among the 10 fields on offer in the nation’s third risk service contract (RSC) licensing round. Quoting Upstream, AmResearch said that Vestigo will initially concentrate on fields off Sabah, East Malaysia. Three of the 10 fields on offer are Rusa Timur, Mutiara Hitam and Kuda Terbang. Rusa Timur lies within the vicinity of the producing Barton, South Furious and St Joseph fields, and is considered among the high-profile targets offered under the third RSC round. As with the initial three Malaysian RSCs already in development, AmResearch highlighted that Vestigo has flagged up an ambitious first oil date in the fourth quarter of 2014 (4Q14) from its intended floater. In line with the RSC licensing policy so far, Vestigo will need to bring in third party players and conclude a deal with Petronas before year-end in order to push for a production start-up next year from its first such contract. To recap, Vestigo was introduced first last month as Petronas’ primary vehicle to pursue marginal field developments, which involve building niche technical and executional capabilities which can be replicated for Petronas’ overseas ventures. However, Vestigo’s immediate challenge could be to reaccelerate the development schedules in Malaysia given delays in the commencement of oil production for the first three RSCs in Malaysia, according to AmResearch. An example is Coastal Contracts Bhd (Coastal Energy) which recently announced that its 70:30 joint venture (JV) with Petra Energy Bhd (Petra Energy) will be postponing the first oil schedule for the Kapal, Banang and Meranti field from July this year to late 2013 due to delays in the modifications of its mobile offshore production unit. Meanwhile, the research firm outlined, the rising momentum for marginal field evelopments will continue to partly drive interest in the oil and gas (O&G) sector, as 2Q13 O&G orders surged by 2.2-folds quarter-on-quarter to RM17 billion. “But in the short to medium-term, excitement in the sector will still largely stem from the larger field projects in Malaysia such as the enhanced-oil recovery projects and gas cluster developments for the North Malay basin, as well as in Sabah and Sarawak which are tied to the completion of the Bintulu liquefied natural gas complex expansion in 2015,” it concluded.
Posted on: Fri, 16 Aug 2013 08:47:43 +0000

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