Petronas, JX Nippon move on gas cluster development offshore Terengganu

Dec. 13, 2022
Petronas Carigali and JX Nippon have entered a heads of agreement to co-develop the gas potential in the Bujang, Inas, Guling, Sepat and Tujoh fields offshore Malaysia.

Offshore staff

KUALA LUMPUR, Malaysia  Petronas Carigali and JX Nippon Oil & Gas Exploration have entered a heads of agreement to co-develop the gas potential in the Bujang, Inas, Guling, Sepat and Tujoh (BIGST) fields offshore Kerteh, Terengganu province in Malaysia.

The BIGST fields were offered in the Malaysia Bid Round (MBR) 2020. PCSB and JX Nippon, which were shortlisted for the award, will promote their development proposal as the basis for negotiation of the production sharing contract.

Petronas Carigali’s senior general manager, Resource Development and Management, Aidil Shabudin, said, “The gas supply from BIGST fields is important for Peninsular Malaysia’s energy security given the significant potential that exists within the cluster.

“Carbon capture and storage [CCS] technology will be key solutions in monetizing the fields since these fields contain high carbon dioxide and will be the first CCS project in Peninsular Malaysia.”

The cluster project should also spur the development of other high-contaminant fields in Peninsular Malaysia, which have been held back due to the lack of CO2 handling infrastructure.

Separately, Petronas has signed a memorandum of understanding with Emerson concerning digital transformation and decarbonization initiatives.

The two companies have been collaborating for several years to identify digitalization and decarbonization opportunities.

They plan to extend the co-operation to extracting Highway Addressable Remote Transducer (HART) diagnostic data from field instrument and control systems, developing predictive analytics and optimized wireless instrument performance for process control and cybersecurity applications.

Another goal is to develop measurement and automation solutions to support decarbonization in the form of carbon capture, utilization and storage; hydrogen; and ammonia.



Courtesy Shell Malaysia Upstream
Shell has been a partner in fueling Malaysia’s progress for more than 125 years. The company discovered Malaysia’s first oil onshore, then took the industry offshore, and most recently into the technically challenging depths of deepwater.
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Sarawak Malaysia
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