(EnergyAsia, October 29, Thursday) — NYSE-listed Murphy Oil Corp said it has begun producing natural gas fields in Blocks SK 309 and SK 311 off the coast of Malaysia’s Sarawak state. Natural gas produced from the phased development of the fields will be supplied to the Petronas LNG Complex in Bintulu city.
Murphy Sarawak Oil Co Ltd operates the development and maintains an 85% working interest in the fields with state Petronas Carigali Sdn Bhd holding the remaining 15%. The contract terms call for the development to supply 250 million cubic feet of natural gas per day (mmcf/d) for a firm period of five years, with a provision to supply up to 350 mmcf/d for an additional 10-year period.
Murphy Oil’s President and CEO, David M. Wood, said: “This efficient and low-cost approach to develop a collection of smaller natural gas fields is testament to the cooperation between Murphy, our partner, Petronas Carigali, and Petronas. This long-term natural gas development will play an important role in Malaysia’s production profile for many years to come.”