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PROJECT | Staff Reporter, Malaysia
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Malaysia's gas projects to boost output to a peak of 70.6bcm by 2021

6 large projects are in the pipeline.

BMI Research expects Malaysia's gas production will continue on an upward slope over the first half of 2016-2021 forecast period. 

This is thanks to several large fields which came online over the past years and that are continuing to ramp-up their production, in addition to several small-to-mid-scale projects set to come online in the coming years.

Nearly all of the new gas projects are offshore Sarawak, East Malaysia, which will raise gas production and in turn feed Petronas' LNG complex in Bintulu.

Here's more from BMI Research:

Amongst others, projects to come online in the coming years boosting Malaysian gas production include:

Hess' North Malay Gas Project: Covering blocks PM302, PM325 and PM326B offshore to the north-east of Peninsula Malaysia, the first phase of the project came onstream in December 2013. The second phase, which will provide an additional 2.0bcm of gas at its peak, is tabled to start production late 2017.

Shell's E6 Field: Shell and Petronas Carigali are developing the E6 field in the SK308 production sharing contract area. The development concept leverages on existing infrastructure by evacuating gas from E6 to the E8 platform and crude oil to D35. It is expected to commence production by 2019.

Rotan field: the field will be developed to feed Petronas' second FLNG facility. The project was delayed by two years, and the vessel is now expected to be delivered by 2020. The 1.5mn tonne per annum (2.1bcm) facility will be moored at the Rotan field off Sabah.

SapuraKencana's SK310: In November 2015, SapuraKencana secured field development plan approval from Petronas for the B15 field, with first gas expected by late 2017. The development will comprise a central processing platform with a 35 km gas evacuation pipeline to be tied into existing infrastructure.

Petronas' Kumang cluster development in Block SK306 is currently under way, in two phases: Phase 1 is developing the F9, Kumang, Kanowit fields, and Phase 2 will develop the A3, F11, F22, F27, F12, Selar Marine, Bunga Pelaga. Together, the project will likely peak around 2020, production between 3-4bcm of gas.

Petronas is also currently laying the groundwork for the development of the K5 sour gas project, and has started receiving submissions by foreign contractors regarding the engineering, procurement and construction of big mobile offshore production unit that it aims to use at K5. Phase one will see production of 2.6bcm, with production start-up in 2020.

Taken together, these projects will maintain production over the coming years and even boost output from 64.4bcm in 2016 to a peak of 70.6bcm by 2021.

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