Gulf of Thailand: Uzma Clinches 3-Year Coil Tubing Contract with Valeura Energy

Malaysia-based energy industry services firm Uzma has, via its Thai subsidiary MMSVS secured a contract with the oil company Valeura Energy Inc.

The three-year contract is for the provision of coil tubing equipment and services in the Gulf of Thailand.

The value of the contract is around 45 million Malaysian ringgit (currently around $10,1 million) in Malaysia over the firm period of the contract.

Valeura Energy will have the option to extend the contract for two more years.

The oil and gas company in December 2022 agreed to buy three offshore blocks in the Gulf of Thailand from Mubadala Petroleum's subsidiary, Busrakham Oil & Gas.

This was not Valeura's first acquisition in the Gulf of Thailand of the year. Namely, in Q2 2022, Valeura acquired KrisEnergy International (Thailand) Holdings Ltd. which owns and operates two licenses in the offshore Gulf of Thailand. 

The acquisition included the suspended Wassana oil field and the fully appraised Rossukon oil field. Additionally, through a separate agreement, the company agreed to acquire the Mobile Production Unit Ingenium (“MOPU”) which is on location at the Wassana oil field.

On April 28, 2023 Wassana’s production was re-started, introducing crude oil into the field’s processing facilities for the first time in nearly three years.    

Also, Valeura’s 11% partner in Licence G10/48, Palang Sophon Limited opted to discontinue its participation in the license, and agreed to transfer its 11% working interest to Valeura, which will proceed with further Wassana oil field operations on a 100% working interest basis, including its planned infill drilling campaign which is scheduled to begin in Q3 2023.

In consideration, Valeura has agreed to discharge PSL of outstanding liabilities owed in connection with joint operations on the licence as well as any future liabilities associated with its past involvement in the license.