Tuesday, 29 June 2010

Punj Lloyd awards compressor contract for Sabah – Sarawak Pipeline


Zecon Berhad has won a $US7.1 million contract from Punj Lloyd to provide the civil, structural, mechanical, electrical and architectural works, including supplies for buildings, at the Bintulu Compressor Station for the Sabah – Sarawak gas pipeline project.

The Sabah – Sarawak gas pipeline will involve the construction of a 512 km, 26 inch diameter onshore natural gas pipeline from the proposed Sabah Oil and Gas Terminal in Kimanis, Sabah to Petronas’ LNG Complex in Bintulu, Sarawak.

About 90 km of the pipeline will traverse Sabah while 422 km will be located in the state of Sarawak.

Construction of the project is scheduled for completion by March 2011.

Wednesday, 16 June 2010

Sembcorp appoints Mohd Hassan Marican as independent director

Conglomerate Sembcorp Industries on Tuesday said it has appointed a new independent director to its board.

He is Mohd Hassan Marican, the former president and CEO of the Malaysian oil giant Petronas.

Mr Mohd Hassan led Petronas from 1995 until his retirement in February this year.

He takes up his new appointment with Sembcorp from Wednesday.

Sembcorp said Mr Mohd Hassan brings over 30 years of experience in audit, accounting and management.

He currently serves as a Director of International Centre for Leadership in Finance.

He holds a Honorary Doctorate from the University of Malaya and is a Fellow member of the Institute of Chartered Accountants in England and Wales. - http://www.channelnewsasia.com

Thursday, 20 May 2010

Petronas awards 2 exploration blocks to Lundin Petroleum, Nio Petroleum and Petronas Carigali

PETRONAS today awarded Blocks SB307 and SB308 offshore Sabah under a single Production Sharing Contract (PSC) to a partnership comprising Lundin Malaysia B.V., Nio Petroleum Ltd., and PETRONAS Carigali Sdn Bhd.

Blocks SB307 and SB308 measure approximately 6,230 sq km and is located in water depths of up to 70 metres. Both blocks have been explored since 1965 and have led to the discovery of the producing Barton, South Furious and St. Joseph fields, currently operated by Sabah Shell Petroleum Company Ltd under a different PSC.

Under the terms of the PSC awarded today, Lundin Malaysia, with the participating interest of 42.5 per cent, will operate both blocks. Nio Petroleum, a newcomer to the Malaysian E&P scene, will own another 42.5 per cent interest whereas PETRONAS Carigali, the exploration and production arm of PETRONAS, will own the remaining 15 per cent interest.

The contractors are committed to drill one wildcat well to a minimum aggregate depth of 1,800 metres subsea, reprocess existing 400 line-km of 2D seismic data (for SB307) and 800 sqkm of 3D seismic data (for SB308), conduct geological and geophysical studies as well as to execute a development feasibility study for an existing discovered field in the blocks. The contractors’ minimum financial commitment is US$8 million.

The PSC was signed today at the PETRONAS Twin Towers in Kuala Lumpur. PETRONAS was represented by its Vice President of Exploration Business Encik Ramlan A. Malek; Lundin Malaysia by its President/CEO Mr. Ashley Heppenstall; Nio Petroleum by its CEO Mr Richard Hall; and PETRONAS Carigali by its Managing Director/CEO Datuk Abdullah Karim.

Issued by
Corporate Communications Department
Group Corporate Affairs
PETRONAS

Monday, 10 May 2010

TDW completes pipeline pressure isolation work


TDW Offshore Services AS has completed a pipeline pressure isolation and joint testing operation at Sarawak Shell Berhad’s gas facilities, located offshore western Borneo in Malaysia.

The work was carried out on Shell’s platform F23P-A, located 80 to 200 km from Miri and Bintulu.

TDW used its SmartPlug isolation tool to isolate a section of a the gas export pipeline that required a new valve. The gas export line forms part of the pipeline that runs from the F23P-A to the E11R-A platform. This network extends to one of the major trunklines connected to an LNG plant onshore in Bintulu.

The pipeline isolation enabled Shell to install a motor-operated valve in preparation for installation of a new compressor module. The affected portion of the gas export pipeline was safely isolated for a period of one month while testing and valve installation took place.

TDW’s isolation operation was carried out as part of a three-year agreement with Shell to provide pipeline pressure isolation and hot tapping services.

Saturday, 8 May 2010

Aker Solutions awarded Kebabangan Northern Hub development project

Aker Solutions has been selected by Kebabangan Petroleum Operating Company Sdn Bhd (KPOC) as its contractor for the detailed engineering of the Kebabangan (KBB) Northern Hub development project located in the South China Sea, 130km offshore Sabah in East Malaysia.

Under the four-year contract, Aker Solutions operations in Malaysia will provide detailed design and engineering support through to the start up phase of project. Aker Solutions estimates the contract value to be approximately NOK 170 million.

"Expanding our international operations is high on our agenda. Being selected as key contractor for detail engineering on this important project demonstrates that we have succeeded in establishing a competitive delivery model within detail engineering for the highly competitive Malaysian market and enables us to further develop our execution arm in our target markets in South East Asia and Australia", says Jarle Tautra, executive vice president in Aker Solutions.

The KBB facility comprises single integrated drilling, oil and gas production, utilities and quarters (PDUQ) topsides mounted on a fixed 8-leg jacket in 142m of water. The gas and oil will be evacuated via 135 km export lines to shore. The Shell-operated Malikai deep water field will be tied in via separate partially- stabilised liquid and dry gas lines shortly after first gas from KBB.

The topsides weight is estimated to be 17,000 MT and is designed to be installed by the floatover method. The jacket weight is estimated to be 14,000 MT and will be launch-installed.

Ravi Kashyap, President for Aker Solutions' field development operations in Malaysia says: "We thank KPOC for demonstrating their confidence in Aker Solutions. We have successfully completed the concept study and FEED for this project and look forward to further building on our relationship with KPOC in this critical phase of the development."

KPOC, comprising PETRONAS Carigali Sdn Bhd (40%), ConocoPhillips Sabah Gas Ltd (30%) and Shell Energy Asia Limited (30%), will operate the Kebabangan field. KBB will be a hub for the development of deep water and on-shelf gas and oil assets offshore Northern Sabah.

Aker Solutions has a track record that spans 20 years in Malaysia.

Thursday, 22 April 2010

Murphy Terminates Production Sharing Contracts

Murphy Oil Corporation announced that it has been informed by PETRONAS that following the execution of the Exchange of Letters between Malaysia and the Sultanate of Brunei on March 16, 2009, the offshore exploration areas designated as Block L and Block M are no longer a part of Malaysia.

As a consequence, the production sharing contracts covering Blocks L and M, awarded in 2003 to PETRONAS Carigali Sdn Bhd and Murphy, were formally terminated by letter dated April 7, 2010. Murphy’s potential participation in replacement production sharing contracts covering these areas is under discussion.

Source : www.gulfoilandgas.com

Thursday, 29 October 2009

Shell awards Malikai deepwater engineering studies

Sabah Shell Petroleum has awarded MMC AMEC a contract to provide basic engineering studies for the Malikai deepwater project offshore Malaysia.

The contract covers basic engineering studies for the flowlines, risers, topside, and hull for the Malikai platform, to be installed 110 km (68 mi) offshore the state of Sabah. The platform will be a dry-tree tension leg design -- topsides will be supported on a buoyant semisubmersible structure tethered to the seabed by tendons.

Thursday, 27 August 2009

Barmada McDermott to replace Guntong pipeline

ExxonMobil Exploration and Production Malaysia has awarded Barmada McDermott a contract to replace a 12-in. (30-cm) full wellstream pipeline between the Guntong-B and Guntong-A platforms offshore Malaysia.

The scope of work also includes transportation and replacement of a flare boom at the Guntong-A platform. Pipeline installation is scheduled for completion during the third quarter.

Saturday, 13 June 2009

Murphy Oil Scores 2 Discoveries Offshore Malaysia

Murphy Oil has made two additional discoveries on its acreage offshore Malaysia. The first discovery was made at the Siakap North prospect located in Block K, offshore Sabah, Malaysia.

Drilled by Diamond Offshore's Ocean Rover semisub, the Siakap North discovery is located 6 miles from Murphy's Kikeh field in approximately 4,300 feet of water. The well encountered oil bearing pay sands of a similar age and quality as Kikeh. Development options including a tieback to Kikeh are being evaluated. Murphy holds an 80% working interest and serves as operator. Petronas Carigali Sdn. Bhd., the wholly owned exploration and production arm of Petronas, holds the remaining 20%.

The second discovery was at the East Patricia prospect located in Block SK 309, offshore Sarawak, Malaysia. The well found approximately 230 feet of net natural gas pay and was drilled in 89 feet of water. East Patricia is located 23 miles from the Bintulu onshore gas receiving facility currently under construction for the sanctioned Sarawak natural gas development. Murphy maintains a 60% working interest and serves as operator. Petronas Carigali Sdn. Bhd. holds the remaining 40%.

"We are pleased with the well results and hope to tie these discoveries into our nearby major fields in the future," stated David M. Wood, President and Chief Executive Officer. "These successes should contribute nicely to the continued growth of our Southeast Asian operations," he also added.

Offshore Sabah

The most significant impact project Murphy has lies in deepwater Malaysia offshore Sabah. After a rocky beginning, with announced dry holes at the Bagang and Bliais prospects, Murphy achieved tremendous success at the Kikeh prospect (80%). Located in 4,400 feet of water, the Kikeh discovery lies in the southern part of Block K and is the first deepwater oil discovery ever made in Malaysia. The initial well found in excess of 500 net feet of oil pay and Murphy quickly moved to drill more wells to appraise the size of the structure. The average net pay of the three wells and two associated sidetracks was 400 to 600 feet. Furthermore, all oil pay sands appeared to be in communication and were full to base with oil. During 2003, a different well location on the Kikeh structure was drilled, cored, then production tested, to help further define both reserves and oil flow characteristics. A formal sanctioning of the $1.5 billion, 440 million barrel project was announced in 2004 and includes the tie-in of a nearby discovery at Kikeh Kecil.

The Kikeh development is being executed extremely well with the field expected to begin producing in the second half of 2007 -- an impressive five years after the discovery and within the original schedule. The topside modules have been installed on the FPSO and the SPAR is on location with the mating of the hull and topsides complete. A total of 20 producing wells have been drilled -- all of which were completed on schedule and on budget as the field is drilling out as envisioned. We expect the initial field production rate to be 40,000 barrels a day with a one year ramp up to plateau of 120,000 barrels a day, which will provide meaningful production growth for Murphy from the latter half of 2007 through 2008.



Offshore Sarawak

Murphy's initial success in Malaysia was offshore Sarawak in 2002 where its first well found the West Patricia field (85%), located approximately 25 miles from the coast. The field was quickly appraised and brought on stream within 18 months -- a record in Malaysia. West Patricia produces from a well jacket to a floating storage facility and continues to produce at levels above 20,000 barrels a day. The establishment of a production center at West Patricia will allow Murphy to fully develop its surrounding acreage, including the Congkak oil discovery which is already been routed through the facility as well as perhaps the Endau, Rompin and Permas discoveries yet to be fully appraised and sanctioned.

Murphy has also continued its string of successful exploration on our two blocks offshore Sarawak, adding natural gas discoveries to our growing inventory at Pemanis, Serandah, Gasing, Wangsa, Tiram and Sapih during 2006. Murphy has signed a Gas Sales Agreement to develop several of our discoveries. The project includes the development of several fields which will supply natural gas to a nearby LNG facility beginning in 2009. Production volumes are expected to be as high as 350 million cubic feet a day and cover up to 15 years. This project will complement our Kikeh oil production in Malaysia (see Offshore Sabah, Malaysia above) as well as West Patricia, and will serve as a predictable and low decline anchoring asset in our international portfolio.

Thursday, 14 May 2009

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