NAJIB WITNESSES SIGNING WORLD’S BIGGEST OFFSHORE OIL PROJECT

Najib Witnesses Agreement Signing For US$12 Billion World's Biggest Offshore Oil Project

PUTRAJAYA, Jan 16 (Bernama) -- Prime Minister Datuk Seri Najib Tun Razak monday witnessed the signing ceremony for the world's biggest offshore enhanced oil recovery (EOR) project totalling US$12 billion over 30 years between Petronas and Shell Malaysia.

Under the production-sharing contract for two EOR offshore projects in Sarawak and Sabah, the oil companies will develop nine oilfields in the Baram Delta and four in the North Sabah development area using EOR or other appropriate related technologies.

Najib said the project is expected to see several key benefits of national importance, including building local capabilities in a niche technology area, as well as increasing the average recovery factor in the Baram Delta and North Sabah fields from around 36 per cent to 50 per cent.

"If realised, the technology will also be able to extend the field's life to beyond 2040," he said in his speech after the signing ceremony.

Petronas Carigali (operator) has a 60 per cent interest in the Baram Delta EOR PSC while Shell Malaysia, via Sarawak Shell, holds the remaining 40 per cent.

The partners own an equal 50:50 per cent interest in the North Sabah EOR PSC, to be operated by Shell Malaysia, via Shell Sabah Selatan, and their financial commitment for the two EOR projects will amount to US$12 billion over the 30-year period from January 2011.

Petronas President and Chief Executive Officer (CEO) Datuk Shamsul Azhar Abbas signed on behalf of Petronas, while Shell was represented by its CEO, Peter Voser and Petronas Carigali by its President, Datuk Abdullah Karim.

Najib said the improvement in the recovery efficiency of the oil field is expected to positively impact Malaysia's oil reserves and benefit the country as a whole.

"In addition, I was told that if successful, the technology employed in the North Sabah fields could potentially lead to the world's first offshore Alkaline Surfactant Polymer (ASP) EOR project using horizontal wells," he added.

The Prime Minister said the government is committed towards realising the national agenda as spelt out in the Economic Transformation Programme (ETP), to make Malaysia a high-income economy by 2020.

He said as the largest sector in the Malaysian economy, Oil, Gas and Energy (OGE) was one of the National Key Economic Areas (NKEAs) to drive the country's transformation in realising its goals.

He said the Malaysian government had identified the rejuvenation of existing fields through EOR as one of the 19 entry Point Projects (EPPs) to provide additional supplies for Malaysia power and industrial needs and promote an organised growth of the oil and gas sector.

The EOR projects are expected to recover more than 750 million barrels of oil from the two PSC areas using the latest technologies.

Meanwhile, Shamsul in his speech said the Baram Delta and North Sabah are located within some of Malaysia's largest clusters of oil fields, with oil-in-place of 4.6 billion barrels and 1.6 billion barrels respectively.

"To date, we have recovered some 1.7 billion stock tank barrels through primary and secondary recovery techniques.

"With the introduction of EOR, we are confident of unlocking significant volumes of the remaining hydrocarbons. This will enable us not only to realise further value from these fields but also contribute to the sustainability of national oil production," he added.

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Najib Saksi Tanda Tangan Perjanjian Projek Minyak Luar Pesisir Terbesar Dunia Bernilai US$12 Bil

PUTRAJAYA, 16 Jan (Bernama) -- Perdana Menteri Datuk Seri Najib Tun Razak Isnin menyaksikan majlis menandatangani projek memperoleh semula minyak dipertingkat (EOR) di luar pesisir terbesar di dunia berjumlah US$12 bilion dalam tempoh 30 tahun antara Petronas dan Shell Malaysia.

Di bawah projek kontrak perkongsian pengeluaran (PSC) bagi dua projek luar pesisir EOR di Sarawak dan Sabah, kedua-dua syarikat minyak itu akan membangunkan sembilan lapangan minyak di Delta Baram dan empat lapangan minyak di kawasan pembangunan Utara Sabah menggunakan EOR atau lain-lain teknologi berkaitan yang sesuai.

Najib berkata projek itu dijangka menyaksikan beberapa faedah utama kepentingan negara termasuk dalam membina keupayaan tempatan dalam bidang teknologi khusus serta meningkatkan faktor penemuan purata di Delta Baram dan lapangan Utara Sabah daripada kira-kira 36 peratus kepada 50 peratus.

"Jika direalisasikan, teknologi itu juga akan dapat memanjangkan hayat lapangan untuk melepasi 2040," kata beliau dalam ucapannya selepas majlis pemeteraian berkenaan.

Petronas Carigali (pengendali) mempunyai kepentingan 60 peratus dalam Baram Delta EOR PSC manakala Shell Malaysia, melalui Sarawak Shell, memegang baki 40 peratus.

Rakan kongsi memiliki kepentingan sama rata 50:50 di Utara Sabah EOR PSC, yang akan dikendalikan oleh Shell Malaysia, melalui Shell Sabah Selatan, dan komitmen kewangan mereka bagi kedua-dua projek EOR akan berjumlah US$12 bilion dalam tempoh 30 tahun mulai Januari 2011.

Presiden dan Ketua Pegawai Eksekutif (CEO) Pertonas Datuk Shamsul Azhar Abbas menandatangani bagi pihak Petronas, manakala Shell diwakili oleh CEOnya Peter Voser manakala Petronas Carigali oleh Presidennya Datuk Abdullah Karim.

Najib berkata peningkatan dalam kecekapan pemulihan lapangan minyak dijangka memberi kesan positif kepada rizab minyak Malaysia dan akan memberi manfaat kepada negara secara keseluruhannya.

"Di samping itu, saya telah diberitahu bahawa jika berjaya, teknologi yang digunakan di lapangan Utara Sabah berpotensi membawa kepada projek EOR Polimer Surfaktan Alkali (ASP) luar pesisir pertama dunia menggunakan telaga mendatar," kata beliau.

Perdana Menteri berkata kerajaan komited ke arah merealisasikan agenda negara seperti yang dinyatakan dalam Program Transformasi Ekonomi (ETP), untuk menjadikan Malaysia ekonomi berpendapatan tinggi menjelang tahun 2020.

Beliau berkata sebagai sektor terbesar dalam ekonomi Malaysia, minyak, gas dan tenaga (OGE) adalah satu daripada Bidang Ekonomi Utama Negara (NKEA) untuk memacu transformasi negara dalam merealisasikan matlamatnya.

Beliau berkata kerajaan Malaysia telah mengenal pasti usaha mencergaskan semula lapangan sedia ada melalui EOR sebagai salah satu daripada 19 Projek Permulaan (EPP) untuk menyediakan bekalan tambahan untuk tenaga Malaysia dan keperluan industri serta menggalakkan pertumbuhan teratur sektor minyak dan gas.

Projek-projek EOR dijangka memperoleh lebih daripada 750 juta tong minyak daripada kedua-dua kawasan PSC yang menggunakan teknologi terkini.

Sementara itu, Shamsul dalam ucapannya berkata Delta Baram dan Utara Sabah terletak dalam beberapa kelompok lapangan minyak terbesar di Malaysia dengan terdapat minyak masing-masing sebanyak 4.6 bilion tong dan 1.6 bilion tong.

"Setakat ini, kita telah menemui kira-kira 1.7 bilion stok tong melalui teknik-teknik pemulihan yang utama dan sekunder.

"Dengan pengenalan EOR, kami yakin dapat mengeluarkan sejumlah besar baki hidrokarbon. Ini akan membolehkan kami bukan sahaja untuk merealisasikan nilai tambahan daripada lapangan ini tetapi juga menyumbang kepada kemampanan pengeluaran minyak negara," kata beliau.