EnQuest PLC has been awarded Production Sharing Agreement (PSA) for Block C in Brunei by the Petroleum Authority of Brunei Darussalam (PABD).
EnQuest will be sole operator of the PSA in the first instance with a view to subsequently, subject to contract, forming a 50/50 joint venture company with Brunei Energy Exploration Sdn Bhd (BEE). On establishment, the JVC will assume the role of operation of Block C and focus on completion of the Merpati Field Development Plan with a view to securing a final investment decision within two years. It is forecast that the capital project will commence in 2027 and first gas from the field in 2029.
Block C is off the coast of Brunei Darussalam and contains the condensate-rich gas discovered fields of Merpati, Meragi and Juragan. EnQuest intends to develop the fields in stages, beginning with the Merpati Field. The gas and liquids produced from the fields are targeted for utilization within the domestic market and the Brunei LNG plant; for the international LNG markets.
"We are keen to get started on this new country entry with Brunei Darussalam," commented Amjad Bseisu, EnQuest Chief Executive. "EnQuest is determined to fulfill the responsibilities placed in our trust and we will apply our experienced people and differentiated operating ability to take the project on safely and economically."
"This opportunity is consistent with our strategy to diversify our portfolio into gas and expand our foothold in South East Asia following two significant recent transactions to increase our production in Malaysia and our acquisition of Block 12W in Vietnam from Harbour Energy," said Bseisu. "By established presence within the region and our operating experience gained in Malaysia and the UK North Sea, we will be able to provide strong support to this project and future opportunities for Brunei Darussalam. We look forward to further developing this relationship and further opportunities for Brunei Darussalam."