SapuraOMV begins production from Malaysian gas field

Malaysia’s independent gas producer and operator SapuraOMV Upstream, soon-to-be completely owned by French energy giant TotalEnergies, has begun gas production from its Jerun field offshore Sarawak.

Discovered in 2015 and having reached a final investment decision (FID) in March 2021, the Jerun platform is designed to produce up to 550 million cubic feet of gas per day, with condensate production of 15,000 barrels per day during peak production.

The gas will be evacuated through a new 80-kilometer pipeline into the E11RB production hub, for onward delivery to Malaysia LNG terminal in Bintulu.

SapuraOMV reported on July 9 that it had commenced gas production from the field under the SK408 production sharing contract (PSC).

TotalEnergies announced in April it would become the sole owner of the company. Namely, the energy giant first inked a deal with OMV to acquire its 50% interest in SapuraOMV and then signed an agreement with Sapura Upstream Assets to obtain its entire stake in the company. Thanks to this, the French giant will own 100% of SapuraOMV.

The acquisition is expected to be completed in the second half of 2024, enabling TotalEnergies to own SapuraOMV’s main assets in full, encompassing 40% operated interest in block SK408 and 30% operated interest in block SK310, both located offshore Sarawak in Malaysia.