Sabah Shell awards Gumusut-Kakap subsea integration contract

Feb. 5, 2009
Sabah Shell Petroleum has let a contract to JP Kenny Wood Group for subsea integration and follow-up work for the Gumusut-Kakap deepwater development off Sabah, Malaysia, on Blocks J and K.

By OGJ editors
HOUSTON, Feb. 5 -- Sabah Shell Petroleum Co. Ltd. Sdn. Bhd. awarded JP Kenny Wood Group a contract for subsea integration and follow-up engineering work for the Gumusut-Kakap deepwater development in 1,300 m of water, 120 km off Sabah, Malaysia, on Blocks J and K.

The 4-year contract provides for specialist subsea engineers, engineering studies, design, and follow-up engineering support through the project's fabrication and commissioning phases.

Sabah Shell will operate the development that includes the first deepwater semisubmersible floating production facility off Malaysia. The facility has a design capacity for processing 150,000 bo/d.

Gumusut-Kakap will produce from 19 subsea wells with oil exported via a pipeline to a new oil and gas terminal, planned at Kimanis, Sabah. The project will reinject associated gas into the reservoir to help improve oil recovery. Development drilling commenced in January 2008.

A 2006 unitization and unit operating agreement combined the Gumusut and Kakap fields into a single development. Interest owners in the project are Sabah Shell, 33%; ConocoPhillips Sabah Ltd., 33%; Petronas Carigali Sdn. Bhd., 20%; and Murphy Sabah Oil Co. Ltd., 14%.

The semisubmersible is under construction at the Malaysia Marine & Heavy Engineering's fabrication yard in Pasir Gudang, Johor, Malaysia.

Sabah Shell completed the Gumusut discovery well in December 2003 on Block J. The well included a vertical well and two sidetracks. The field extends into Block K on which Murphy operates the Kikeh field.