National energy company Petronas on Tuesday formally awarded production sharing contracts for discovered resources opportunities (DROs) offshore Malaysia, with four local companies picking up stakes in these asset clusters that contain known fields and prospects, and which were offered in the Malaysia Bid Round 2022.
The terms of all three PSCs call for commercial production within four years of their award, which should be a welcome boost to Malaysia’s oil and gas output.
Petronas’ senior vice president of Malaysia Petroleum Management [MPM], Mohamed Firouz Asnan, said: “As MPM is entrusted to maximise the long-term value of Malaysia’s oil and gas resources, we are pleased to see DROs, which are perceived to be challenging, taken up by investors following the introduction of the SFA [Small Field Asset] PSC terms.”
