Petronas, TechnipFMC Sign Limbayong SURF Contract

OE Staff
Tuesday, June 1, 2021

Malaysian oil and gas company Petronas on Tuesday confirmed the contract award to TechnipFMC for the engineering, procurement, construction, installation, and commissioning for a subsea production system, umbilical, riser, and flowline (SURF) for its Limbayong deepwater development, offshore Malaysia.

A virtual signing ceremony was held Tuesday to commemorate the award of the contract to FMC Wellhead Equipment Sdn Bhd, a subsidiary of TechnipFMC.  

Petronas' Executive Vice President and Chief Executive Officer of Upstream Adif Zulkifli:"The Limbayong project is aligned with Petronas' three-pronged growth strategy to expand our resource base. We hope the project, which is PCSB’s first deepwater development undertaking in Malaysia, will give confidence and invite potential investors to collaborate further in maturing the country’s deepwater resources. Apart from monetization, Limbayong will be a platform to enhance our internal capabilities in preparing for the next deepwater projects not only in Sabah but also in other regions.”  

Limbayong is an oil and non-associated gas field located 120 kilometers offshore Sabah in water depths of between 900 and 1,200 meters. The field consists of 10 deepwater wells which tie back to the project’s Floating Production Storage and Offloading unit while the subsea system is made up of SURF.  

According to Petronas, the project will pave the way for the development of the surrounding prospects within 18 to 30 kilometers of its vicinity.

To remind, TechnipFMC itself first announced the Limbayong contract award back in February.

It then said that the contract was a “substantial” one, meaning that its value ranges between $250 million and $500 million.

TechnipFMC will design, manufacture, deliver and install subsea equipment including subsea trees, manifolds, umbilicals, flexible risers, flowlines, jumpers, and other associated subsea hardware for the project.

As for the FPSO, World Energy Reports' May FPSO report (paywall) shows the project is in the bidding phase, with the FPSO contract expected to be awarded in Q3 2021

Petronas in Oct 2020 issued a new tender to lease an FPSO for the Limbayong field offshore Sabah Malaysia. 

Per WER, the FPSO is to be capable of producing 40,000 b/d oil, 90 mmcf/d gas, and injecting 75,000 b/d water -- and have storage for 600,000 bbls. 

Local content requirements for FPSO fabrication favor local contractors. The lease will be for 12 yrs firm + 3 + 3 + 2 yr options, WER has reported.

According to WER, bids were submitted on Feb 2, 2021, with MISC, Yinson, Bumi Armada, and SIP are among the bidders.  

Petronas is the field operator and has 100% interest in Limbayong.

Categories: Offshore Energy Subsea Production Asia Floating Production

Related Stories

PTTEP Hires Velesto’s Jack-Up Rig for Drilling Campaign off Malaysia

Petrovietnam, Partners Sign PSC for Block Off Vietnam

UK Firm Secures Exploration Extension for Two Blocks off Vietnam

CNOOC Starts Production at Offshore Field in South China Sea

Indonesia's Medco Starts Production at Natuna Sea Fields

Shell-Reliance-ONGC JV Complete India’s First Offshore Decom Project

Petrovietnam, Petronas Extend PSC for Offshore Block

INEOS Wraps Up Acquisition of CNOOC’s US Oil and Gas Assets

CNOOC Sees 11% Profit Growth in 2024 Driven by Record Oil Production

‘Ultra-Mega’ Offshore Deal for L&T at QatarEnergy LNG’s North Field Gas Scheme

Current News

PTTEP Hires Velesto’s Jack-Up Rig for Drilling Campaign off Malaysia

Yinson Production Secures $1.17B Refinancing for FPSO Maria Quitéria

Centrica and Thailand’s PTT Ink Long-Term LNG Supply Deal

Petrovietnam, Partners Sign PSC for Block Off Vietnam

Japan Protests China’s New Oil and Gas Construction Activities in East China Sea

CNOOC Signs Hydrocarbons Exploration and Production Deal with Kazakhstan

Thailand's PTT to Buy LNG from Glenfarne's Alaska LNG Project

Woodside and Jera Agree LNG Cargoes Supply for Japan’s Winter Period

Petronas Expands Suriname Portfolio with Deepwater Block Acquisition

Japanese Oil and Gas Firm Enters Two Blocks off Malaysia

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com