Kapal, Banang & Meranti (KBM) Cluster - Malaysia, Asia

STATUS :

UPSTREAM O&M AWARDED

CATEGORY :

EXPLORATION DRILLING

ON/OFFSHORE :

OFFSHORE

Tower 1, PETRONAS Twin Towers

Kuala Lumpur City Centre

Kuala Lumpur 50088

Malaysia

CONTACT

Telephone: ++60 3 2051 5000 / 2026 5000

Fax: ++60 3 2026 5050 / 5055

Web: http://www.petronas.com.my

Email: i_training@petronas.com.my

5th Block, P H Road

Chennai

Tamil Nadu 600010

India

CONTACT

Telephone: ++91 44 5211 2365

Web: http://www.coastalenergy.com/

First oil flows from Kapal, Banang, Merantai Cluster off Peninsula Malaysia

First oil production from the Kapal, Banang & Meranti (KBM) Cluster fields, offshore Peninsular Malaysia, commenced on December 16, 2013. The KBM Cluster,

operated by Coastal Energy KBM Sdn Bhd, has been developed with JV (joint venture) partner Petra Energy under a Risk Service Contract (RSC) since June

2012. This is the third RSC that has successfully achieved oil production, after the Balai Cluster and Berantai Fields.

The KBM Cluster is an eight-year development project with Kapal being in its first development and production phase. The Kapal field facilities consist of one

mobile offshore production unit (MOPU), one storage tanker with approximately 600,000 barrels capacity, one drilling rig with an attached well bay module

and two flexible flow lines. Through this mobile offshore production concept, Petronas plans to continue determining the potential production from the three

KBM fields. The initial production rates from the cluster were over 10,000 barrels of oil per day (bopd), with peak production reaching 13,000 bopd.

(Additional Researched Project Information)

Value: Undisclosed

Location: Offshore peninsular Malaysia

Reserves: Unknown

Water Depth: 60 metres

Kapal, Banang, and Meranti (KBM) cluster of small fields are located offshore peninsular Malaysia. The KBM Cluster fields are located within 20 kilometres of

each other in a water depth of 60 metres. The main oil reservoirs are Miocene aged sandstones ranging in depths from 3,800 feet to 7,800 feet. First oil

from the Kapal field is scheduled within 2013 followed by production from the Banang field a year later. Coastal Energy Company has entered into a Small

Field Risk Service Contract (RSC) with Petroliam Nasional Berhad (PETRONAS) for the development and production of petroleum from the Kapal, Banang and

Meranti cluster of small fields (KBM Cluster) offshore Peninsular Malaysia. Coastal will provide the upfront development capital, undertaking the development

drilling and production of the KBM Cluster. PETRONAS will remain the owner of the project. Subject to its performance, Coastal will recover its capital and

operating expenditures and will be paid a remuneration fee, which will be adjusted by key performance indicators (KPIs) based on the timely implementation

of the agreed field development plan and budget. Coastal will develop the fields using Mobile Offshore Production Units (MOPUs) and Floating Storage and

Offloading Tankers (FSOs) similar to the method used to develop its assets offshore Thailand. A total of seventeen wells will be drilled with ten planned at

Kapal, four at Banang and three at Meranti.

Operators:

PETRONAS: Operator with 100% interest

Contractors:

Coastal Energy Company: Field Risk Service Contract (RSC) for the development and production of petroleum from the KBM Cluster

No sub contractors listed

Project summary

Jan 14, 2014

Jul 13, 2012

Project classification

Project operators

Petronas (Petroliam Nasional Berhad)

Project main contractors

Coastal Energy Company

Project sub contractors

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