KUCHING: Petroleum Sarawak Exploration and Production Sdn Bhd (PSEP), a wholly-owned subsidiary of Petroleum Sarawak Bhd (Petros), together with Sarawak Shell Bhd (SSB) and Petronas Carigali Sdn Bhd (PCSB) have been awarded the SK437 production sharing contract (PSC), off the coast of Sarawak.
Petros in a statement today said the participating interests of SSB, PSEP and PCSB are 85 per cent, 7.5 per cent and 7.5 per cent respectively, with SSB being the operator of the PSC.
Block SK437, measuring 2,015 sq km in size and in water depths of up to 50m is located towards the southwest of the prolific Central Luconia province, off the coast of Sarawak.
Petros group chief executive officer Datuk Sauu Kakok said the company's participation in the SK437 PSC would provide an opportunity for PSEP to expand its role in exploration activities off the coast of Sarawak.
"The addition of exploration Block SK437 PSC to our existing producing ventures, Malaysia LNG Sdn Bhd (MLNG) PSC and Kumang Cluster PSC, further diversifies PSEP's portfolio of assets off the coast of Sarawak.
"We look forward to close collaboration with our operating partners to maximise the value of the PSCs," he said in a statement today.
PSEP holds interests in MLNG Satu PSC and Kumang Cluster PSC ventures with 20 per cent and 50 per cent equity interest respectively off the coast of Sarawak.
Representing their respective companies at the signing ceremony were Malaysia Petroleum Management senior vice president Mohamed Firouz Asnan; Shell Malaysia chairman and Shell Malaysia Upstream senior vice president Ivan Tan; PSEP director and executive vice president, Upstream, Dr James Foo; and vice president of exploration, Upstream, Emeliana Rice-Oxley.
The signing which was held semi-virtually was part of the inaugural annual strategic dialogue between Petronas and Sarawak government.
Chief Minister Datuk Abang Johari Openg and his deputy Datuk Awang Tengah Ali Hassan as well as the 11-member Petronas team led by Petronas chairman, Tan Sri Ahmad Nizam Salleh, including Petronas president and chief executive officer Tengku Muhammad Taufik Tengku Kamadjaya Aziz were present at Chief Minister's Ofice where the ceremony was conducted virtually with other representatives at different locations.
Petros has also recently concluded its inaugural award and signing of the Block SK433 Petroleum Contract, Onshore Sarawak resulting from Onshore Sarawak Bid Round 2020.
Per the Commercial Settlement Agreement signed on Dec 7 last year between Petronas, the Sarawak government and Federal Government, Petros is the regulator and manager for oil and gas resources for Onshore Sarawak.
The winning bidders for this block were Petra Energy (as operator) and Uzma Energy (as non-operating partner).