Petronas and Vestigo Petroleum ink PSC for Sabah Gas Fields

Petroleum Nasional Bhd (Petronas) has signed a small field asset (SFA) production sharing contract (PSC) with Vestigo Petroleum Sdn Bhd for a discovered resource opportunity cluster marketed under the Malaysia Bid Round Plus (MBR+).The agreement was facilitated by Malaysia Petroleum Management (MPM).

Located off the coast of Sabah, the NBE cluster, comprising the Nosong, Bongawan North, and Epidot fields, is predominantly a gas discovery cluster.A comparable field is Samarang, a mature field 25km south of Nosong, which has demonstrated proven production deliverability.This marks the inaugural award of PSCs in Sabah under the MBR+ promotion.

“We welcome capable operators like Vestigo to explore, invest, and develop Sabah’s oil and gas resources,” said Sabah’s finance minister, Datuk Seri Masidi Manjun.“At the same time, we are committed to fostering the growth of local oil and gas services and equipment companies in Sabah and encourage collaborations that increase the participation of qualified Sabahan companies in the industry.”

The signing ceremony was held in conjunction with the Sabah Oil and Gas Conference and Exhibition, witnessed by Masidi.Petronas was represented by MPM senior vice president Datuk Ir. Bacho Pilong, while Vestigo was represented by its CEO, Khairul Azhar Abu Bakar.Bacho Pilong highlighted that the award signified a successful outcome of the MBR+ cycle introduced in October 2023.

“It provides an additional avenue for investors to explore and acquire DRO and Late Life Assets (LLA) available in Malaysia beyond the annual MBR by utilizing and assessing information made available through the Petronas myPROdata,” Pilong added.

“We continue to collaborate with the Sabah state government in steering a vibrant investment climate and ecosystem, which is essential in supporting Sabah local communities and players to further progress in this industry.”In the coming weeks, Petronas will sign new PSCs with more MBR+ winning bidders.MPM acts on behalf of Petronas in the overall management of Malaysia’s petroleum resources throughout the lifecycle of upstream oil and gas assets. –TMR