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Petronas mulls decommissioning matured assets, including Sabah-Sarawak gas pipeline | Scoop
Petroliam Nasional Bhd (Petronas) is looking at decommissioning activities of matured assets in the country's upstream operations, including the Sabah-Sarawak Gas Pipeline (SSGP). - Bernama pic, January 29, 2025
News

Petronas mulls decommissioning matured assets, including Sabah-Sarawak gas pipeline

The national oil company said the process also involves assessing unused assets for potential repurposing 

Bernama
Updated
4:12 PM MYT

 

KUALA LUMPUR – Petroliam Nasional Bhd (Petronas) is looking at decommissioning activities of matured assets in the country’s upstream operations, including the Sabah-Sarawak Gas Pipeline (SSGP).

The 500-kilometre (km) natural gas pipeline, which has been operational since early 2014, connects Kimanis (Sabah) to Bintulu (Sarawak).

In its ‘Activity Outlook for 2025-2027’ report, the state national oil company said the process also involves assessing unused assets for potential repurposing. 

“For the next three years, decommissioning plans include the plugging and abandonment of about 153 wells and the abandonment of about 37 offshore facilities and one onshore facility, namely the SSGP,” it said.

Apart from that, Petronas said for the next two years, about 15 exploration wells are forecasted to be drilled each year, focusing on shallow water wells and deepwater wells. 

Additionally, it expects more than 400 wells to be drilled, and 39 upstream projects are to be implemented over the next three years. 

This includes the construction of three offshore Central Processing Platforms (CPPs), and three onshore facilities, as well as the fabrication and installation of about 900km of pipelines. 

To ensure optimal production of the producing fields and facilities, Petronas said about 367 facilities improvement plans (FIPs) are in the pipeline for the next three years. 

These include procurement, construction, installation and commissioning (EPCIC) and F6 Rejuvenation Project Gas Turbine Generator (GTG) Replacement.

Petronas added that the FIPs contribute to decarbonisation initiatives by helping to curb flaring at new onshore facilities.

At the same time, the company is also positioning carbon capture and storage (CCS) as a pivotal business, particularly the Kasawari project, while for downstream business, the company is actively pursuing growth in specialty chemicals. – January 29, 2025

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