PETRONAS Carigali subsidiary PC JDA, and co-venturer PTTEP JDX Thailand, have secured approvals for a new production sharing contract (PSC) for offshore Block A-18-01 in the Malaysia-Thailand Joint Development Area (MTJDA).

They also signed a Gas Sales Agreement with PETRONAS and PTT Public Company covering the continued supply of gas produced from the block to both countries.

The 7,250-sq km MTJDA comprises Blocks A-18-01 and B-17-01, which together produce about 700 MMcf/d of gas, shared equally between Malaysia and Thailand.

Block A-18-01 comprises the Cakerawala, Bumi, Suriya, Bulan, South Bulan, Senja, East Bumi, Samudra and Wira gas fields, while Block B-17-01 includes the Muda, Tapi, Tanjung, Amarit, Jengka, Melati and Andalas gas fields.

The MTJDA has served as a model for cross-border offshore resource development for decades, allowing both countries to jointly develop and share production from gas resources located in overlapping maritime claims.

The new 35-year term for the Block A-18-01, backdated to Jan. 1, 2026, encompasses both the existing acreage and an additional new area.

The agreement ensures continued development of one of Southeast Asia's longest-established cross-border offshore gas projects.

Additional upstream developments in Malaysia

In Kuala Lumpur, PETRONAS, via Malaysia Petroleum Management (MPM), has awarded a Small Field Asset PSC for the Estuary Cluster, offshore Peninsular Malaysia, to Harvester Energy (Malaysia).

The stranded marginal oil fields Lerek, Korbu and Diwangsa are in the Malay Basin. Harvester plans a novel shallow-water subsea development, PETRONAS said, designed to speed up commercial production, reduce capex and the physical footprint compared with conventional development solutions.

It also involves the reuse and redeployment of production infrastructure.

The cluster was offered under the Malaysia Bid Round Plus (MBR+) process.

In addition, MPM has transferred an enhanced 3D seismic dataset for the Mutiara Cluster in the Sandakan Basin offshore eastern Sabah province to DIALOG Resources.

This is MPM’s first acquisition of new 3D seismic over an area with existing coverage.

The Mutiara Cluster, awarded last year, comprises the marginal oil and gas fields Nymphe, Nymphe North, Kuda Terbang, Benrinnes and Mutiara Hitam. DIALOG aims to start production by 2029.