Petronas and Shell Malaysia have signed two new production sharing contracts for enhanced oil recovery projects offshore Sarawak and Sabah.
Under the new contracts, Shell Malaysia’s upstream companies and partner Petronas Carigali Sdn. Bhd. will further develop six oil fields in the Baram Delta offshore Sarawak, and three oil fields in the North Sabah development area offshore Sabah, using EOR or “other appropriate related technologies.”
The deal combines the remaining periods of the earlier PSCs which would have expired in 2018 (Baram Delta Operations) and 2019 (North Sabah) with license extension to 2040, and with the addition of the EOR component for integrated PSCs with new terms.
