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MALAYSIA — SapuraOMV Upstream Sdn Bhd, the operator of the Jerun gas field in Malaysia, has announced the successful achievement of its first gas production.
The field, located approximately 160 kilometres northwest of Bintulu in Sarawak, marks a significant milestone in Malaysia’s energy sector.
The Jerun field, discovered in 2015, is part of the SK 408 production sharing contract (PSC) offshore Malaysia.
Shell plc holds a 30 per cent equity stake in the field through its Malaysian subsidiary, Sarawak Shell Berhad, with the final investment decision made in 2021.
The development comprises an integrated central processing platform designed to produce up to 550 million cubic feet of gas per day, with an additional capacity of 15,000 barrels per day of condensate during peak production.
Gas from the Jerun field will be exported through a newly constructed 80-kilometre pipeline to the E11RB production hub, ultimately supplying Bintulu-based customers, including Malaysia LNG.
Zoë Yujnovich, Shell’s Integrated Gas and Upstream Director, commented on the achievement: “Jerun was a highly attractive investment for Shell, building on our interests in this important region off the coast of Sarawak, offshore Malaysia, where Shell operates the Timi platform and has the Rosmari-Marjoram project under construction.
“Gas is an important fuel for Malaysia and the world, providing a secure form of energy for heating, cooling and power generation. We are delighted the venture has reached this milestone.”
The Jerun field is operated by SapuraOMV Upstream with a 40 per cent stake, in partnership with Sarawak Shell Berhad (30 per cent) and PETRONAS Carigali Sdn Bhd (30 per cent).
The successful start-up of the Jerun field is expected to make significant contributions to Malaysia’s energy portfolio and help sustain the country’s long-term gas supply.
It also reinforces Shell’s commitment to supporting Malaysia’s economic progress and energy transition efforts through competitive and resilient investments.