The first phase of the project is expected to target first gas production in 2018, with output forecast to reach as much as 250 million cubic feet per day.

Sources said Petronas plans to issue a front-end engineering and design tender for the project in February.

The development solution, on which French contractor Technip is close to finalising conceptual engineering design, is likely to centre on a mobile offshore production unit (MOPU) that will operate in tandem with a floating storage and offloading vessel to export associated condensate, sources said.

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