UMW Offshore Drilling has won a contract for the provision of a high-pressure high-temperature (HPHT) jack-up drilling rig from Hess Exploration and Production Malaysia.
The contract involves the provision of drilling rig services for Hess Exploration’s drilling programme in the North Malay basin, the company explained in a statement.
“The contract is for a duration of eighteen (18) months with option to extend for further twelve (12) months,” UMW informed.
Hess Grabs Jack-Up Rig for Malaysia Ops
Under the agreement, UMW will assign its UMW Naga 8 jack-up drilling rig for this contract.
The rig is an independent leg cantilever jack-up with a drilling depth capability of 30,000 feet and with a rated operating water depth of 400 feet.
UMW Offshore Drilling Naga 6 and Naga 8 jack-up rigs
As well as, the facility is of a Keppel FELS B Class Design and was constructed by Keppel in Singapore and delivered in September 2015.
With this new contract, UMWOG will have two rigs (Naga 6 and Naga 8) operating during this fourth quarter.
North Malay Basin Starts Production in 2017
Hess Exploration and Production holds a 50% working interest and is the operator of the North Malay Basin.
Petronas Carigali holds the remaining 50% interest in the North Malay Basin and is Hess Exploration’s partner in the JDA.
Overall, the development is comprised of nine discovered natural gas fields adjacent to the company’s existing operations in the Joint Development Area (JDA), located between Malaysia and Thailand.
According to the company, full field development at the basin is underway and on track to be completed in 2017, while net production is expected to reach 165 million cubic feet per day.
According to Hess Exploration’s latest quarterly report, the firm completed the installation of the topsides at three remote wellhead platforms at the North Malay Basin and development drilling operations continued.
Meanwhile, at the JDA, the operator shut down the field in the third quarter to commission the booster compressor project, with net production averaging 24,000 barrels of oil equivalent in the third quarter of 2016, down from 36,000 boepd in the prior quarter.