ENEOS Xplora has concluded an agreement with PETRONAS to extend the Production Sharing Contract for Block SK10 located off the coast of Sarawak, offshore Malaysia, for 10 years, from 2028 to 2038.
SK10 PSC was awarded to Xplora Malaysia and PETRONAS Carigali in 1987, with Xplora Malaysia appointed as the Operator of SK10 PSC. The first production commenced in 2003 from the Helang field. Since then, Xplora Malaysia has steadily enhanced the production through a series of development activities, which led to production from the Layang and Beryl fields in 2017 and 2018 respectively.
Natural gas produced from SK10 PSC is supplied to the liquefaction plant in Sarawak, where it is processed into Liquefied Natural Gas ('LNG') and exported to East Asian countries including Japan. The LNG volume from the Block accounts for approximately 4% of Japan's total annual LNG imports, making SK10 PSC a significant contributor to the region’s stable energy supply.
With this extension, Xplora Malaysia will continue its role as Operator, advancing development and production activities in SK10 PSC. Leveraging our extensive experience and operational expertise, we aim to maximize the value of SK10 PSC and contribute to a stable energy supply for East Asian countries including Japan.
Source: INEOS Xplora
