Sapura Energy begins production from B15 gas field offshore Sarawak

Sapura Exploration and Production Sarawak Inc., a wholly-owned subsidiary of Sapura Energy, has begun production from the B15 field offshore Malaysia.

Sapura said that the B15 gas field development was a maiden gas development project for Sapura E&P and that the first gas milestone was achieved within two years of the sanction of its field development plan.

The B15 field was discovered in December 2010 and is located within the SK310 Production Sharing Contract (PSC) area, offshore Sarawak, East Malaysia.

The development comprises a processing platform with a 35-kilometre evacuation pipeline tied into the existing B11 infrastructure for onwards transmission into the Malaysia Liquefied Natural Gas complex at Bintulu, Sarawak.

Shahril Shamsuddin, president and group CEO of SEB, said: “This milestone achievement at B15 was achieved on schedule and within budget. Sapura E&P has made significant gas discoveries over the past two years. The development plans for these discoveries are progressing well and should come on stream over the next two to five years. Once fully developed we expect Sapura E&P to be a significant supplier of natural gas into the Bintulu MLNG complex.”

Sapura Energy is the operator of the SK310 PSC with a 30 percent participating interest and partners with Petronas Carigali Sdn. Bhd. at 40 percent, and Diamond Energy, a subsidiary of Mitsubishi Corporation, at 30 percent.

The field was brought online later than anticipated since Sapura said in mid-2017 that first gas was expected in the fourth quarter of 2017.

In 2016, SapuraKencana Petroleum, as the company was then called, signed a gas sales agreement for gas produced from B15. The company, along with its SK310 PSC partners, signed a deal to sell gas from the field to Malaysian oil and gas major Petronas.