Lundin to keep locals sweet with pipe prize
Upstream, June 1
By James Tham
TL Offshore is poised to land a pipeline transportation and installation contract with Lundin Oil for the latter's Bunga Kekwa phase two development in the Malay basin.
According to industry sources, Malaysian state oil explorer Petronas Carigali has encouraged Lundin to give the job to TLO, a joint venture between domestic company Crest Petroleum and McDermott.
The Swedish independent had earlier prequalified a small number of contractors to participate in a tender.
The project area is located in block PM-3 in the Malaysia-Vietnam Commercial Arrangement Area. Lundin holds a 42% operating interest alongside Carigali (45%) and PetroVietnam (13%).
It is understood that a frame agreement signed between TLO and Carigali in April 1998 covers transportation and installation work at Bunga Kekwa. The three-year umbrella pact expired in March but is believed to have been extended by Carigali.
The scope of work for Lundin encompasses several in-field pipelines, ranging from six to 12 inches in diameter and totalling some 70 kilometres in length.
The entire Phase Two development comprises a central processing platform bridge-linked to a wellhead platform over Bunga Raya, two more platforms over Bunga Kekwa and one over Bunga Seroja.
The gas will be transported to the nearby Resak field for export while the processed crude will be stored on board a floating storage and offloading vessel, which is set to go to a consortium comprising Tanker Pacific and FPSO Tech, a company founded by former senior Petronas officials.
Phase two is due to come on stream in late 2003 at a rate of 40,000 barrels per day of oil and 250 million cubic feet per day of gas.
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Lundin ‘sale’
Upstream, June 1
Lundin Oil is close to selling a large part of its operations to a US oil company with the aim of raising money to finance projects in Malaysia.
Lundin Oil President Ian Lundin said: “This is a good time to sell. The big companies are trying to buy reserves and we are in possession of great reserves. It is possible to get a very good price today."
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Thar Jath comes good - Lundin find in Sudan confirmed
Upstream, May 31
Lundin Oil is moving ahead with a conceptual development plan for its block 5A in Sudan after appraisal well Thar Jath-2 struck a net play of over 100 metres.
The well, drilled 3 kilometres away from discover well Thar Jath-1, flowed at 2000 barrels per day from two separate tests in the Bentiu and Arabeida reservoirs.
"The results from Thar Jath-2 are very encouraging and combined with the recently acquired 3D seismic, will give us valuable information on which to base a conceptual development plan," said Lundin Oil president Ian Lundin. |
