EnQuest sets up farm-in deals for three offshore Malaysia PSCs
PETRONAS Carigali has entered agreements for various producing upstream interests offshore Peninsular Malaysia and Sarawak.
EnQuest Petroleum Production Malaysia will assume operatorship and participating interests in the Balingian, SK8 and D35 production sharing contracts (PSCs), also joining the PM6/12 PSC as a non-operating partner.
The company plans to transfer its experience managing brownfield and late-life projects in the UK North Sea and Peninsular Malaysia to support continued operations and redevelopment of these assets.
Terengganu’s TI Exploration & Production (TI EP) will also take a share in the PM6/12 PSC. This is a joint venture company between TI Petroleum, a subsidiary of state-owned investment vehicle Terengganu, and Ping Petroleum.
Ping also brings experience in the brownfield redevelopment of producing UK North Sea fields.
EnQuest reported June 10 that the maximum total consideration for its three farmout agreements with PETRONAS Carigali and E&P Malaysia Venture is $833 million, of which $554 million is payable upon completion.
The acquired interests would add about 57,400 boe/d to the company’s current production.
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About the Author
Jeremy Beckman
Editor, Europe
Jeremy Beckman has been Editor Europe, Offshore since 1992. Prior to joining Offshore he was a freelance journalist for eight years, working for a variety of electronics, computing and scientific journals in the UK. He regularly writes news columns on trends and events both in the NW Europe offshore region and globally. He also writes features on developments and technology in exploration and production.