Discovering new reserves to maintain Malaysia’s oil and gas production involve intensive capital outlay as well as geological studies and testing of new exploration methods.
To this effect, the EPP, through PETRONAS will review production sharing contract terms and introduce new petroleum contract arrangements to attract necessary exploration investments.
- Success drilling in the Cendor Graben-2 appraisal well within Block PM304 off peninsular Malaysia during the year has transformed Cendor from a marginal field to one of the biggest oilfields in Malaysia, increasing its estimated recoverable resource to over 200 M Mstb, a growth of more than 16 times from the initial discovery of the field.
- PETRONAS discovered oil and gas via the Adong Kecil West-1 well in Block SK333 onshore Sarawak, representing the first onshore oil and gas discovery for Malaysia in 24 years. Drill-stem testing of the field achieved flow rates of around 440 barrels of crude oil per day and 11.5 million standard cubic feet of gas per day.