Malaysian services company Dialog Group’s upstream division has three ongoing projects: the Balai cluster small field risk service contract, the Bayan oilfield services contract and the D35, J4 and D21 production-sharing contract. Heng Hiok Boon, head of upstream business, talks to TOGY about mature and marginal field development and ensuring sustainable production from small and ageing assets.
In what ways are mature and marginal fields an attractive prospect for investment?
Speed of decision-making and a seamless project implementation schedule, along with rigorous cost control, are essential in developing both marginal and mature fields.
Smaller players are nimble and their production approaches and applications are typically mobile and cost-effective. They can be quickly installed and re-deployed. This is ideal for marginal greenfield and brownfield developments.
In contrast, the larger international oil companies need a much longer time before debuting production in a new licence area, as the scale of the work and processes they have to undertake is much greater and significantly more rigorous.
Services companies that have only recently acquired stakes in upstream ventures are perhaps not yet ready for the bigger risk of frontier exploration. In the case of mature, marginal fields, the oil has already been discovered and the challenge is to extract it efficiently.
Thus the risk is not in exploration, but in maximising and accelerating production and monetising relatively small volumes of oil.
What kind of technologies are being utilised at mature assets in Malaysia?
The first venture Dialog participated in was the appraisal and development of small marginal discoveries located in shallower waters. Though the development concept deployed was on the market for many years, it had only been applied in a few projects in the past.
We re-evaluated the concept, taking into consideration the fast-track project delivery schedule and, in discussions with our joint venture partners, recommended installing four of these minimum wellhead platforms in the Balai cluster. Subsequently, Dialog installed three similar structures for Petronas Carigali in its shallow-water field development projects.
From a subsurface perspective, seismic reprocessing of vintage seismic along with attribute studies, complimented by calibration to actual field data, can enable the extraction of more valuable information, thus providing an insight into the distribution of reservoir sands and hydrocarbons, which could help mitigate the subsurface risk and uncertainty in future drilling.
TOGY talks to Sylvain Itté, French Ambassador to Angola, about the strong economic and cultural ties between the two countries,… Read More
TOGY talks to Li Patrik, director of energy, environment, infrastructure at the China-Britain Business Council (CBBC), about the difficulties of… Read More
TOGY talks to Río Negro province Secretary of Hydrocarbons Sebastian Caldiero about policies implemented by the provincial government to manage… Read More
TOGY talks to Heba Filobbos, area manager of the Northern Gulf for Halliburton, about the company’s experience working as an… Read More
TOGY talks to Christopher Gunson, partner at Amereller, about the oil and gas industry in the UAE and the surrounding… Read More
TOGY talks to Graeme Taylor, Vice President for Angola at Halliburton, about forecasted stabilisation, onshore potential and the qualities required… Read More
This website uses cookies.