Shell Malaysia reports another oil discovery off Sabah

By OGJ editors

HOUSTON, Sept. 22 -- Shell Malaysia unit Sabah Shell Petroleum Co. Ltd, operator of Block G in deep water northwest of Sabah, has made another oil discovery—the Malikai-1 exploration well—off Sabah. Shell's joint venture partners in the well are Malaysia's Petronas Carigali Sdn. Bhd., and ConocoPhillips.

"The Malikai-1 exploration well encountered a long oil column in very good quality reservoirs," said Shell Malaysia Chairman Jon Chadwick. "Initial indications are that Malikai crude oil is of a high quality." Specifics of the discovery were not disclosed.

The well was spudded Aug. 4 and drilled as a vertical hole in water 565 m deep. It lies 110 km from earlier discovery Gumusut field in Block J.

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