THE HAGUE, NETHERLANDS: Royal Dutch Shell plc said that it has started oil production at its second deep-water project, Malikai Tension-Leg Platform (TLP), located off the coast of the Malaysian state of Sabah.
Situated in waters up to 500-metres deep, Malikai is expected to have a peak production of 60,000 barrels per day. As the company’s first TLP in the country, Malikai is an example of the strength of Shell’s global deep-water business, applying TLP expertise from decades of operations in the US Gulf of Mexico.
The Malikai project is a joint venture between Shell (owns 35 percent), ConocoPhillips Sabah (35 percent) and Petronas Carigali (30 percent).
The project features a cost-effective platform design and a unique, industry-first set of risers, or pipes that connect the platform to the wells for oil production, which required fewer drilling materials and lower costs.
Designed and built in Malaysia, the Malikai TLP project has allowed Shell to share deep-water expertise with Malaysian energy companies, playing an active role in helping the government develop the nation’s deep-water resources and deep-water service industry.
“Malikai marks an important milestone for Shell, its partners, Sabah and Malaysia. The project has demonstrated our capability in delivering competitive deep-water projects utilising our global expertise,” said Andy Brown, upstream director, Royal Dutch Shell.