Industry sources report Hess has issued a tender for the provision of turnaround and inspection services at its North Malay Basin project offshore Malaysia.
The tender was reportedly released last week with bids due by mid-July, according to Omara Sarif, a Malaysia-based oil and gas industry professional. The offshore works are expected to start in the third quarter next year, Sarif posted on Linkedin.
Potential bidders could include Sapura Energy, Saipem, Alam Maritim Resources, T7 Global, Red Tech Offshore, Semarak Petroleum, UMD Energy, 2H Offshore, and Heerema among others, said Sarif.
In Sarif’s “personal opinion” bidders who has pass the technical phase with commercial bids around $30 million to $32 million or lower could “be the lucky winner.”
In April, Sapura Energy was awarded the engineering, procurement, construction, and commissioning (EPCC) contract for all the facilities which are expected to be completed by the second quarter 2024.
The North Malay Basin is a development of 10 discovered gas fields in the Malay Basin and operated by Hess. Malaysian national oil company Petronas is a joint venture partner with a 50% share. Full field development phase 1 achieved first gas in 2017, phase 2 achieved first gas in 2019 and phase 3 first gas is expected in 2022, according to Hess.
Hess earlier this month revised its agreement with Petronas covering the sale and purchase of gas from the Kangsar field in PM302 production-sharing contract (PSC), as well as gas produced from any future fields in the PM325 Block of the North Malay Basin.
The Kangsar gas field was found in 2018 and forms part of the recently approved North Malay basin (NMB) Phase 4A development, which is aiming to pump first gas in the third quarter 2022. Hess and Petronas last year signed a heads of agreement to unitise the Kangsar field for development.
Hess is currently in phase 2 of the NMB development. The drilling programme for phase 3 is expected to commence in the third quarter of this year with first gas planned in the first quarter of 2022.
The latest pact with Petronas lays the foundation for the US company to make a potential Malaysia exit as Energy Voice reported earlier this month.
Petronas and Hess have agreed amendments to an existing upstream gas sales agreement for fields offshore Malaysia that cements the value of the US-based company’s North Malay Basin assets. This makes any potential divestment process easier as Hess focuses on its prolific acreage offshore Guyana.
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