Petroliam Nasional Berhad (PETRONAS) is pleased to announce the completion of Phase One of the Angsi Development project jointly undertaken by PETRONAS’ subsidiary PETRONAS Carigali Sdn Bhd and Esso Production Malaysia Inc (EPMI) offshore Peninsular Malaysia.
Phase One of the project consists of design, fabrication and installation of the AnDR-A drilling and riser platform, modifications to the Guntong-D satellite platform as well as to the Jerneh onshore slug-catcher in Kertih, Terengganu. Phase One, also known as the Southern Gas Pipeline System, saw the installation by the two partners of 222 kilometres of interconnecting 32-inch gas pipeline from Guntong-D to AnDR-A and on to the onshore facility.
Gas from the Guntong-D platform started flowing on 2 February 2001 to the onshore facility via AnDR-A, which is the largest drilling and riser platform in the South China Sea. At the current flow rate of between 80 million standard cubic feet per day (mmscfd) and 100 mmscfd, the gas will further enhance the security of supply to end customers in the peninsula. The pipeline system itself is designed to handle a peak rate of 1,200 mmscfd to accommodate gas from various fields currently being developed and those to be developed in the future. This includes the Angsi field, whose first gas is expected to flow via the infrastructure in the first quarter of next year.
Phase One of the project began in the third quarter of 1997 after PETRONAS awarded selected gas fields to PETRONAS Carigali and EPMI under a new gas Production Sharing Contract signed in June of the same year. It was completed well within its projected schedule of Quarter 1 of this year and at a 27-percent saving from the original cost estimate. This was achieved through various cost-optimisation initiatives taken by the two PSC contractors such as joint procurement and contracting, simplification of processes and facilities and other measures. About 65 percent of the work in this phase was undertaken by local contractors.
The completion of Phase One of the Angsi Development Project marks a major milestone not only for the project but also for the overall development of Gas PSC in the country. It manifests the commitment and resilience of both partners in developing the project to ensure adequate supply of gas to meet the energy need of the country.
Phase II of the project, which consists of design, fabrication and installation of two additional platforms — a central processing platform (AnPG-A) for production of crude oil and natural gas and a drilling platform (AnDP-B) — has already started. The two platforms, currently being fabricated at Pasir Gudang and Kuching respectively, together with a 48km crude export pipeline to the existing Tapis pump platform, are expected to be installed by the third quarter of this year.
A Phase Three development plan is in the pipeline following a recent discovery of additional petroleum reserves at the Angsi field.
Legal & Corporate Affairs Division