brochure - Petronas

PETRONAS
Exploration & Production
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CONTENTS
ABOUT PETRONAS
2
INTEGRATED VALUE CHAIN
4
PETRONAS E&P (EP) GLOBAL PRESENCE
6
PETRONAS EP MALAYSIA OPERATIONS
8
INVESTMENT & PARTNERSHIP OPPORTUNITIES
10
EXPLORATION
12
DEVELOPMENT
16
PRODUCTION
20
UNCONVENTIONAL
24
MAKING IT POSSIBLE
26
ADVANCING TECHNOLOGY & ENGINEERING
28
PEOPLE DEVELOPMENT
32
HEALTH, SAFETY & ENVIRONMENT
36
COMMUNITIES
38
CONTACT US
40
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ABOUT
PETRONAS
Petroliam Nasional Berhad is Malaysia’s fully integrated oil and gas multinational with
proven capabilities in a broad spectrum of the petroleum value chain.
Building on the success of managing Malaysia’s oil and gas field resources, PETRONAS
has grown into a major global oil and gas company.
PETRONAS strives to contribute to the well-being of the people and nations wherever
it operates by developing and adding value to oil and gas resources in a manner that
carefully balances commercial, environmental and social considerations.
Fortune
Global 500
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®
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2
PETRONAS ANNUAL REPORT PE 2011
INTEGRATED VALUE CHAIN
Fully Integrated Value Chain for the Oil and Gas Industry
A Exploration,
Development and
Production
Crude Oil
Natural Gas
“ Our capabilities spread across a broad
portfolio, across every stage of the oil
and gas development and across the
total value chain ”
Dato’ Wee Yiaw Hin
Executive Vice President
Exploration & Production, PETRONAS
B Refining
C Processing
D Liquefaction
E Liquefied
Natural Gas (LNG)
F Petroleum Products
• Transportation
Sector - Diesel,
Gasoline, Jet Fuel
and Lubricants
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As one of the world’s leading oil and gas producers, our
global operations include exploration, development and
production of crude oil and natural gas in Malaysia and
abroad; liquefaction, sale and transportation of LNG;
processing and transmission of natural gas and the sale of
natural gas products; refining and marketing of petroleum
products; manufacture and sale of petrochemical
products; trading of crude oil, petroleum products and
petrochemical products; and shipping and logistics
relating to LNG, crude oil and petroleum products.
This deep experience which spans the entire value
chain of the oil and gas industry has allowed us to
work alongside various host governments to develop
their national Gas Masterplan, replicating the success
we have in Malaysia, to many countries abroad.
Consistently, we have demonstrated that we are
good partners with host governments and other oil
companies in monetising oil and gas resources.
G Petrochemical Plant H Liquefied Petroleum I Processed Gas/
J Regasification
Gas (LPG)
• Industrial Sector Terminal
Peninsular Gas
• Residential and
Ethylene, Methanol,
• Export Sector
Utilisation (PGU)
Commercial Sectors
MTBE, Polyethylene,
System
Propylene and Urea
• Power Sector
• Industrial Sector
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Canada
Uzbekistan
Turkmenistan
Iraq
Algeria
Egypt
Cuba
Oman
Mauritania
Venezuela
Chad
Sierra Leone
Myanmar
Sudan
Cameroon
Vietnam
South Sudan
Thailand*
Malaysia
Brunei
Indonesia
Australia
Mozambique
*MalaysiaThailand Joint
Development
Area
PETRONAS EP
Global Presence
PETRONAS’ Exploration & Production (EP) business carries out exploration, development and
production of oil and natural gas resources across five continents.
On the global front, we are a renowned exploration and production operator – known for
our resilience and distinctive capabilities in the upstream sector.
PETRONAS EP’s capabilities and track record of successful onshore and offshore
developments in the oil and gas industry have earned us reputable operatorship in many
ventures across the world.
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332
offshore
platforms
2012 Achievements:
Global Business Dimensions:
•
•
•
•
•
•
•
•
•
•
•
•
•
•
162
ventures in 23
countries
Overall Resource Replenishment Ratio (ORRR) of 2.0x
2,010 kboed of total E&P production
32 first oil and gas production : 11 greenfields and
21 brownfields
546 mmboe of reserves developed
24 new discoveries
2,077 mmboe of resource addition
Total Capital Expenditure (CAPEX) of USD9.1 billion with
exploration expenditure of USD1.8 billion
64 partners
10,500 employees, over 50 nationalities
More than 50 development projects
204 producing oil and gas fields
Over 300 drilled exploration and development wells
67 rigs onshore and offshore
19 FPSO / FSO
Our Experience in Resource Playtypes:
•
•
•
•
Heavy oil
Deepwater
Basement oil
Tight gas
• Onshore
• HPHT
• EOR
• High CO2 Gas
• Coal bed methane
• Shale gas
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This map
representing
oil and gas
activities in
Malaysia is
for illustrative
purposes only
Gas Fields
PETRONAS EP
Malaysia Operations
Dual Role: Resource Owner/Host Authority and Operator
As a resource owner and host authority in Malaysia, we are responsible for the effective
management and sustainable development of the country’s oil and gas resource base.
As an operator, we aim to maximise upstream value, sustain production and enhance
prospectivity of the nation’s acreages.
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7787
km
pipeline
Oil Fields
22.2
bboe
discovered resources
Malaysia Business Dimensions and 2012
Achievements:
•
•
•
•
•
•
•
•
95 PSCs and 4 RSCs
77 producing oil fields
55 producing gas fields
586 kboed liquid production
6,006 mmscfd natural gas production
22 discoveries
320 platforms
27 rigs
Representation of upstream facilities in Sarawak. This schematic map is
for illustration purposes only and is not drawn to scale.
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INVESTMENT &
PARTNERSHIP OPPORTUNITIES
Growth Opportunities For The Future, Together
Since our inception, we have attracted
large foreign investments into Malaysia,
and built strategic partnerships with
leading oil and gas contractors,
domestically and internationally.
In Malaysia, we have been successfully
developing the nation’s oil and gas
resources for over three decades. Despite
maturing basins and fields, we have
enhanced production, whilst increasing
the prospectivity of Malaysia acreages
through various de-risking efforts.
Indicative of abundant upstream
opportunities, the number of oil and gas
fields under exploration, development,
and in production in the country has also
risen over the years.
In an effort to continuously attract
investments, we form various partnerships
through innovative Production Sharing
Contracts (PSCs) and Risk Service
Contracts (RSCs).
100%
growth in number of
PSCs in the last 8 years
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RSCs
Through PSCs, our partners bear
all exploration, development, and
production costs in return for an agreed
share of production. A variety of PSC
terms are designed to encourage an
optimal level of investment based on the
complexity of petroleum resources.
RSCs were introduced in 2011 as a new
solution to attract niche partners with
the desired capability and technology to
grow our resources. In RSCs, PETRONAS
assumes the role of project owner whilst
contractors are service providers with
equity share in the RSC. Upfront capital
investment by the contractors will be
recovered upon production, together
with a fixed fee for services rendered,
based on their performance, relevant
to the development execution and
subsequent production.
Malaysia presents a host of investment
opportunities as it offers a strategic
location, modern infrastructure, reliable
transport networks, political and fiscal
stabilities, among others.
95
PSCs
320
platforms
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EXPLORATION
Maximising Resources For Growth
We are exploring 35 basins in over 18 countries worldwide, across various operating
environments including shallow water, deepwater, deserts, swamps and lightly
inhabited areas.
On the domestic front, the deep basin knowledge gathered over the years, coupled
with innovative technology applications have made Malaysia a top country in the
region in terms of exploration success.
These include opportunities in new basins and countries which provide materiality,
through the application of new technologies.
• World’s first 3D Broadband Circular Shooting Survey
• World’s first 3D Constant Gradient Slant Streamer Survey
• Joint development of the first High Power Shallow Water surface towed CSEM
source
• First Airborne Full Tensor Gradiometry Survey
• 3D Full Wave Seismic for imaging through gas cloud
In the international arena, we continue to high grade the quality of our exploration
assets. In countries that we are already producing, we focus on organic and value
growth through both near fields and new plays exploration.
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Standout
performer
Malaysia contributed 72% of total
upstream exploration discoveries
with 1.4 billion boe in Southeast Asia
in 2012
24
discoveries in 2012:
22 in Malaysia, 2 in International
• HPHT vertical wells in Malaysia - 4,830 metres depth with
12 gas bearing reservoirs
• Basement oil play – Vietnam, Malaysia
• Deepwater exploration – Mozambique, Egypt, Cuba,
Mauritania, Brunei, Malaysia
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•
•
•
•
6
tscf
of hydrocarbon resource in Kasawari
field, largest non-associated gas
discovery in Malaysia
HPHT exploration – Egypt, Malaysia, Turkmenistan
Tight gas – Oman
Carbonates exploration – Malaysia, Indonesia
Precarbonates – Malaysia
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DEVELOPMENT
Delivering Excellence
Superior Project Management
PETRONAS EP’s Project Management System is a structured approach to; ensuring
project delivery is safe, cost effective and competitive. Regardless of project complexities,
we comply with stringent Health, Safety and Environment (HSE) standards, PETRONAS
technical standards and global best practices.
Innovative Project Delivery
PETRONAS EP employs innovative workflow and processes for effective development
design and planning. These efforts have earned us significant cost savings, enabled
projects to be delivered ahead of time, while providing a greater return on investment.
World
record
Sepat oil Phase 1 achieved
1st hydrocarbon within 12
months. Substantially faster
than industry average of 28
months. IPA Benchmark
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World’s
first
Pilot implementation of
a refurbished wellhead
platform concept at D21, a
marginal field in Malaysia
World’s heaviest
External turret – Floating
Production Storage
Offloading (FPSO) First
Deepwater field employing
the first Truss Spar Floating
Production Unit outside the
Gulf of Mexico
Platform construction at
Gumusut Kakap, Sabah,
Malaysia
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First
91%
quartile performance for project
development schedule, IPA
Benchmark in 2012
Projects delivered within
budget in 2012
• World’s first use of composite bridge plug system for
production testing purposes in Kuang North field, Malaysia
• Borneo’s longest: Sabah-Sarawak Gas Pipeline (SSGP) of
more than 500 km to transport offshore natural gas to
processing terminals
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• Kanowit: Malaysia’s first subsea well with a potential of
producing 100 mmscfd from each well
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PRODUCTION
Optimising Growth
Converting Maturing Brownfields
PETRONAS EP has implemented various brownfield rejuvenation efforts, effectively
extending the production life of oil and gas fields with Improved Oil Recovery (IOR),
Improved Gas Recovery (IGR) and Infill Drilling technologies.
Through innovative strategic alliances with international contractors, we have repeatedly
improved a reservoir’s recovery factor and asset integrity, whilst arresting declining
production in domestic and international fields.
EOR
83 mmstb of oil
identified as additional
reserves in Malaysia
through EOR activities
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IOR/EOR/
IGR production
enhancement projects
underway
32
first oil and gas
production in 2012
from Malaysia
and international
operations
Overall
Equipment Excellence
(OEE) of platform
performance in Malaysia
for oil 92.6% and Gas
96.1% in 2012
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Enhancing Yields with Innovative Technologies
New developments in deepwater exploration and production, Carbon Dioxide (CO2)
management technologies and High Pressure High Temperature (HPHT) technologies
have opened up new opportunities for growth and monetisation.
E&P Total Production
in ‘000 boe per day
Baram Delta Production Levels: Enhancing Yields
3.5%
A matured oil field considered
commercially non-viable was revived
in 1971 through vigorous production
enhancement activities. Today, after
40 years, the oil field is still producing
at its optimum rate.
1971
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
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The outlook for PETRONAS’ production
and resource addition is a healthy 3.5%
Compound Annual Growth Rate (CAGR)
over a period of ten years
2011
• Turkmenistan - fully operational to support future gas
production increase at the capacity of 500 mmscfd
• Mauritania Chinguetti field - one of the producing assets
in Mauritania with a reserve volume of 11,652 kbbl
22
2017
• Higher yields: 440 mmscfd of raw high CO2 gas at
Tangga Barat cluster fields, first application of membrane
type CO2 removal technology
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UNCONVENTIONAL
Venturing Into New Frontiers
PETRONAS accelerates upstream growth
by venturing into new frontiers with
unconventional gas through strategic
acquisitions and partnerships with leading
oil and gas operators.
A joint venture between PETRONAS and
Santos in Australia allows us to develop
one of the world’s first Coal Bed Methane
(CBM) into an LNG processing facility
with a 450 km pipeline.
In 2012, Progress Energy Canada Ltd
(PECL) was acquired by PETRONAS,
bringing in over 1,100,000 acres of
Montney rights in Alberta and British
Columbia, with over 200 tcf of gas
in place.
With this, our Overall Resource
Replenishment (ORRR) increased to 3.5x
with an improved resource addition of
5,621 mmboe.
Coal bed methane GLNG
PETRONAS embarks on one of the world’s first CBM to LNG projects with 7.8
MTPA (onstream target 2015) at Queensland, Australia
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Shale gas
200 tcf gas in place at
Montney Shale, Canada
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PETRONAS’
facilities &
hydrocarbon plays
Shallow water
Coalbed
methane
Conventional
non-associated
gas
Tight
sand gas
Sandstone
Deepwater
Ultra-Deepwater
Conventional
associated
gas
Oil
Gas-rich shale
MAKING IT POSSIBLE
PETRONAS EP’s Strength And Capabilities
We have explored some of the world’s most challenging terrains to secure new reserves.
Additionally, we conduct deepwater exploration, entering also into highly complex HPHT
reservoirs and wells with high CO2 content to enhance our yields.
Our growth portfolio includes unconventional oil and gas - which include shale gas and
coal bed methane.
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Today, we are amongst the world’s first in maximising recovery of discovered fields with
Enhanced Oil Recovery (EOR) efforts.
Cutting-edge technologies are applied alongside new strategies to rejuvenate
brownfields, extracting maximum value from existing reservoirs.
In consistently delivering some of the world’s first - pipelines, platforms and projects,
we have brought oil and gas onstream ahead of schedule - providing rapid return on
investment for our partners, stakeholders and investors.
Our Experience in Resource Playtypes
•
•
•
•
Heavy oil
Deepwater
Basement oil
Tight gas
• Onshore
• HPHT
• EOR
• High CO2 Gas
• Coal bed methane
• Shale gas
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To provide new picture
ADVANCING TECHNOLOGY
& ENGINEERING
Development And Deployment Of Technologies
PETRONAS E&P Technology Division
Within the PETRONAS E&P Technology Division is the E&P Technology Centre which
seamlessly integrates Research and Development (R&D), Field Development Plan (FDP)
and technology deployment to accelerate the development and production of EOR and
high CO2 gas fields.
Patented Technologies
PETRONAS has commercialised some of its patented technologies to improve
production yields, enhance operational efficiency and deliver exacting results. From
CO2 removal membranes to solids removal and Water Alternate Gas (WAG) oil recovery
methods, we continue to make breakthroughs in technology and engineering.
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PETRONAS’ Patented Technologies
SolidClenz™
A custom-formulation to remove organic and inorganic
solid deposits in production well tubings and well bores
for improved Return On Investment (ROI) on chemical
treatment.
iCON®
A steady-state and dynamic process simulaton software
for the enhancement of operational performance, design
and process optimisation.
PN-1™ Multi-Layer Membrane
PN1 membrane improves
separation efficiency by using
properties of multiple membrane
fiber.
PIPEASSURE™
A pre-impregnated composite resin system for
onshore and offshore pipeline repairs. A cost-effective
corrosion protection technology that requires little or
no operation shutdown. A JEC Asia Innovation 2012
award winner.
SmartCen™
An online real-time metering supervisory system
designed for all metering operations which support
centralised data for remote monitoring, diagnostics and
analysis.
273
patents filed
by PETRONAS
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40%
reduction in
CAPEX for
development
of high CO2
content gas
fields
CO2
removal technology Reduced CO2 blend to
8 mol% compared to
initial blend of 37 mol%
440
mmscfd
of raw high CO2
gas at Tangga Barat
cluster fields, Malaysia,
first application of
membrane type CO2
removal technology
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PEOPLE DEVELOPMENT
Ensuring A Sustainable And Skilled Talent Stream
People are the driving force of our business. For every hour we put out in
the field, we spend hundreds more in training and development. We provide
structured capability development programmes to upskill our diverse talent
stream across geographical boundaries.
Advancing Technical Capabilities
We have developed strong partnerships with our learning partners which
include Institut Teknologi Petroleum PETRONAS (INSTEP), PETRONAS
Leadership Centre (PLC), Universiti Teknologi PETRONAS (UTP) and
Malaysian Maritime Academy (ALAM) to advance our technical capabilities.
The PETRONAS upstream live plant located at INSTEP offers our engineers
and technicians hands-on experience in a simulated EP environment.
Through our collaborations with service companies, contractors and joint
venture partners, we provide on-the-job training programmes to heighten
our employees’ skills and expertise for superior performance and delivery.
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EP CAPABILITY DEVELOPMENT FRAMEWORK
UN
C
CA ON
PA V
BI
L
N
ARBO
ROC ORK
D
HY MEW
AL FRA
N
.
O V
TI DE
EN ITY
Build EP capabilities
in unconventional
hydrocarbon field
development
L E A
TE
C
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HSE
T
EN
Develop and sustain
EP production
operations’ capability
in meeting operational
excellence targets
S
D
H I P
S
ICAL KILL G
HN
S’ COMPE
UP
TE
O
R
E R
V
Y DE ELOPM
NC
Provide broader
knowledge for drilling
engineers to
understand and better
appreciate other
disciplines and
divisions
Develop
competent and
capable geoscientists
contributing to
business targets
Develop wholesome
petroleum engineers
with better
appreciation of EP
value chain
Enhance project
management
capability to improve
project performance
and delivery
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HEALTH, SAFETY & ENVIRONMENT
Committed To HSE Excellence
Stringent HSE management practices, in line with international standards and best
practices, are applied at every level of our business activities to safeguard our people,
environment, assets and reputation. In doing so, we are focused on having the right
leadership, commitment, culture, mindset, systems and tools.
6.7
million
safe manhours without LTI:
Angsi platform, Malaysia
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6.5
million
safe manhours without LTI:
Miri Crude Oil Terminal, Malaysia
4.5
million
safe manhours without LTI:
Myanmar
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COMMUNITIES
Committed To HSE Excellence
Communities and Capability Building
We actively undertake community
projects in countries where we operate,
adding value to the local skills and
capabilities of the people towards long
term sustainable growth.
We work closely with local governments
to provide basic needs such as safe
drinking water, shelter and healthcare.
Additionally, we embark on social,
environment, education and community
projects.
• SUDAN: Debate and quiz competition for secondary
school and university students • Annual scholarship
programme for top 100 achievers
• SOUTH SUDAN: Refurbishment of Rejaf educational
centre for the blind: 15 Braille machines, 250 slates, stylus
and 200 folded cranes
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• MALAYSIA: Refurbishment and upgrade of existing
longhouses at Uma Akeh Miri • Supply of building
materials for 7 small settlements within Sg Adang Territory,
Limbang • Provided 24 water tanks to Ladang Paroh
Village, Bintulu to improve water supply
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For further information, please contact:
Corporate Affairs & Administration
PETRONAS Exploration & Production
Level 24, Tower 1, PETRONAS Twin Towers
Kuala Lumpur City Center, 50088 Kuala Lumpur, Malaysia
Tel: +603 2051 5000 Fax: +603 2026 5050
www.petronas.com
Please visit our Corporate Website for more information on our
other businesses and related subsidiaries.
Glossary of Terms
boe
– barrels of oil equivalent
CSEM – Control Source Electro-Magnetic
EOR – Enhanced Oil Recovery
FDP – Field Development Plan
FPSO – Floating Production Storage Offloading
FSO – Floating Storage Offloading
kbbl – thousand barrels of oil
kboed – thousand barrels of oil equivalent per day
km – kilometres
LTI – Loss Time Injury
mmboe – million barrels of oil equivalent
mmboed – million barrels of oil equivalent per day
mmscf – million standard cubic feet
mmscfd – million standard cubic feet per day
mmstb – million stock tank barrels
MTPA – Million Tonne Per Annum
OEE – Overall Equipment Excellence
ORRR – Overall Resource Replenishment Ratio
tscf – trillion standard cubic feet
©2013 PETROLIAM NASIONAL BERHAD (PETRONAS)
All rights reserved. PETRONAS makes no representation or warranty, whether expressed or implied, as to the accuracy or completeness of the facts presented.
PETRONAS disclaims responsibility from any liability arising out of reliance on the contents of this publication. All data represented are as at end December 2012.
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www.petronas.com
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