Shell starts oil production from Gumusut-Kakap deepwater platform in Malaysia
Shell starts oil production from Gumusut-Kakap deepwater platform in Malaysia
THE HAGUE, Netherlands -- Shell has started oil production from the Gumusut-Kakap floating platform off the coast of Malaysia, the latest in a series of Shell deepwater projects.
The Gumusut-Kakap field is located in waters up to 1,200 m deep. The platform is expected to reach an annual peak oil production of around 135,000 bpd, once fully ramped up. With oil production now under way, work on the gas injection facilities is continuing with an expected start-up during 2015.
“We are delighted to have reached this milestone with our partners," said Andrew Brown, Shell Upstream International Director, “Gumusut-Kakap is our first deepwater development in Malaysia, and uses the best of Shell’s global technology and capabilities in deepwater. The field is one of a series of substantial deepwater start-ups this year, driving returns and growth for shareholders.”
This floating platform is the latest addition to Shell’s strong portfolio of major deepwater projects. Assembling the vast structure, whose four decks total nearly 40,000 sq m, involved the world’s heaviest onshore lift. The project uses Shell Smart Fields technology to carefully control production from the undersea wells to achieve greater efficiency. Oil is transported to the Sabah Oil and Gas Terminal onshore at Kimanis, Malaysia via a 200 km long pipeline.
The project has allowed Shell to share deepwater expertise with Malaysian energy companies, assisting in the Malaysian government’s goal to create an offshore industry hub. The platform was built in Malaysia by Malaysian Marine and Heavy Engineering(MMHE).
Shell Malaysia, Chairman, Iain Lo said: “Shell is pleased to be able to play an active role in developing the nation’s deepwater resources and deepwater service industry. Deepwater resources are critical to Malaysia’s long-term energy security. The Gumusut-Kakap field is expected to contribute up to 25% of the country’s oil production.”
Gumusut-Kakap is the latest of more than 20 major deepwater projects that Shell has delivered around the globe.
The Gumusut-Kakap project is a JV between Shell (33%, operator), ConocoPhillips Sabah (33%), Petronas Carigali (20%) and Murphy Sabah Oil (14%).
