Malaysia's Barakah Offshore Petroleum said it has lodged an adjudication claim against UK-based operator EnQuest Petroleum's Malaysian subsidiary relating to offshore works.
Barakah said the claim by its wholly-owned subsidiary PBJV Group amounts to 73.6 million ringgit (US$17.7 million).
It relates to work done by PBJV pursuant to a letter of award dated 13 July 2018 and signed on 16 July 2018 whereby PBJV was engaged by EnQuest for the provision of the Pan Malaysia Maintenance, Construction and Modification (PM-MCM) contract bearing contract no: EN17051.
Barakah said it will make appropriate updates to the Malaysia Stock Exchange as and when there are material developments in the case.
EnQuest's Malaysian operations include its PM8 extension production sharing contract, which consists of the PM8 and Seligi fields and the Block PM 409 PSC.
EnQuest said in its latest financial results for the six months ending 30 June 2021 that its average production in Malaysia was 4809 barrels of oil equivalent per day, 42.1% lower than in 2020.
The operator anticipates replacing a pipeline and riser in October 2021.