Petronas opens more blocks for E&P offshore Malaysia

Feb. 11, 2022
Petronas is offering offshore areas in prolific geological provinces under the Malaysia Bid Round 2022.

Offshore staff

KUALA LUMPUR, MalaysiaPetronas is offering offshore areas in prolific geological provinces under the Malaysia Bid Round (MBR) 2022.

The offer comprises 14 exploration blocks, six clusters of discovered resource opportunities (DROs), and one cluster of late life assets (LLA).

All the 14 exploration blocks are in the Malay, Sabah and Sarawak basins, and most of them contain oil and/or gas discoveries.

The DRO clusters – Meranti, Ubah, Baram Jr., A, C, and D – are mainly in shallow water and close to production infrastructure. The single LLA, which includes three fields named the Abu Cluster, provides the opportunity for the chosen operator to develop remaining oil in place through existing facilities.

Petronas’ senior vice president of Malaysia Petroleum Management, Mohamed Firouz Asnan, said: “Through our basin study work, we believe there are many more prospects to be identified in the Malaysia basins, with the estimated remaining potential of about 21 Bboe.

“We welcome players with unique capabilities to unlock the potential in both old and new places.”

In addition, the company is offering technical study arrangements for two exploration areas in the southern Malay and northwest Sabah basins. These should allow interested parties to better understand the potential of the acreage ahead of submitting any bid proposal.

Malaysia’s Enhanced Profitability Terms Production Sharing Contract model will continue to apply to the shallow water blocks, while the new small field asset and LLA PSC terms will accompany the DRO and LLA offers.

Finally, three deepwater opportunities included in the MBR 2022 will feature the deepwater revenue over cost PSC terms.

Investors will retain flexible bidding options such as merging two adjacent blocks under one PSC, transferable minimum work commitments between two adjacent PSCs; and a phased exploration period as part of non-fiscal enhancements introduced earlier. 

Petronas’ virtual data room will be accessible until June 30, 2022, allowing investors to review data anywhere and at any time during the bid round period.