Mubadala hits gas pay off Malaysia

Discovery development: Mubadala boss Maurizio La Noce, centre, eyes SK320 options

Abu Dhabi’s Mubadala Petroleum has struck a fourth gas discovery on its block SK320 off Sarawak, east Malaysia while also firming up an earlier find on the acreage with appraisal drilling.

Mubadala Petroleum chief executive Maurizio La Noce said the company was working with partners Petronas and Shell to evaluate development options for the gas finds.

“Together these discoveries represent a very significant hydrocarbon resource, with the potential for a commercially attractive, integrated development,” he said.

Mubadala Petroleum has been targeting a series of carbonate pinnacles within the permit over the past year, following on from its M5 discovery appraised in 2012.

The explorer said its most recent exploration probe, the Sirih 1, hit a 293-metre gas column after drilling to a total depth of 3000 metres.

The well was drilled close to the Sintok 1 probe that also found a 290-metre gas column.

The company also said the Pegaga discovery on the same block was now a “substantial gas find with significant commercial potential”, confirming a report by Upstream last month.

The explorer said the Pegaga-2 appraisal well, which was drilled to a total depth of 2685 metres, confirmed an 850-metre gas column.

Testing of the main gas-bearing zones at the well, which lies in 109 metres of water, produced flow rates of 30 million to 50 million cubic feet per day of “good quality gas with condensate,” Mubadala said.

Mubadala Petroleum operates block SK320 on a 55% interest with Petronas on 25% and Shell on 20%.

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