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    EnQuest Wins Malaysian PSC

Summary

The block offers low-cost tie-back opportunities, according to EnQuest.

by: Joseph Murphy

Posted in:

Corporate, Mergers & Acquisitions, Exploration & Production, News By Country, Malaysia

EnQuest Wins Malaysian PSC

London-listed independent EnQuest has landed a production-sharing contract (PSC) for block PM409 off the coast of Peninsular Malaysia, it reported in a stock filing on December 4.

EnQuest has taken an 85% in the PSC, while Malaysia’s state-owned Petronas controls the remaining interest. The contract covers an initial four-year exploration period, in which time the partners will have to drill at least one well.

PM409 is 1,700 km2 in size, covering water depths of between 70 and 100 metres. It contains several undeveloped discoveries, according to EnQuest, providing low-cost tie-back opportunities to the company’s adjacent Seligi production hub.

“We are delighted to have been awarded the Block PM409 PSC and to expand our presence in Malaysia,” EnQuest CEO Amjad Bseisu said in a statement. “The block contains several undeveloped discoveries providing future opportunities for EnQuest to demonstrate its proven capabilities in low-cost drilling and near-field development.”

EnQuest has two other contracts in Malaysia and produced 8,432 barrels of oil equivalent/day of hydrocarbons in the country last year. It also works in the UK North Sea.