Joint Development Area Blocks B-17 & C-19 and B-17-01 Integrated Development Project, Thailand

Joint Development Area (JDA) Blocks B-17 & C-19 and B-17-01 Integrated Development Project involves the phased development of gas and condensate fields in blocks covering a 4,700km² area south of the Gulf of Thailand, off the coast of Thailand and Malaysia. The water depths range between 55m and 65m.

These blocks contain a total of 18 gas fields, namely Muda, Muda South, Tapi, Jengka, Amarit, Mali, Jengka West, Jengka East, and Jengka South fields, which are located at Block B-17, whereas Tanjung, Jinda, Andalas, Muda South East, Andalas East, Thanthong, Melati Muda Extension and Jengka Extension gas fields are located in B-17-01.

"First gas from Block A-18 was achieved in early 2005 and gas is delivered at a rate of approximately 790 million standard cubic feet per day."

Phases I and II involved the development of the Muda and Jengka fields. First production from Phase I started in December 2009, whereas that from Phase II started in 2012. Phase III of the project is currently in progress and scheduled for completion in 2017.

The interests in these blocks are held by PTTEP International (PTTEPI - 50%) and Petronas Carigali (JDA - 50%). Carigali-PTTEPI Operating Company (CPOC) operates the project on their behalf.

Discovery and seismic surveys

Muda was the first gas field to be discovered in the Block B-17. It was discovered in November 1995 by drilling the Muda-1 well. By 1998, up to 15 gas fields were discovered within the JDA. Cakerawala field, the first discovery at the JDA within Block A-18, was developed as a separate project.

A total of 6,100km of 2D seismic data and 1,938km² of 3D seismic data had been acquired on Blocks B-17 & C-19, while a total of 1,154km² of 3D seismic data was acquired at Block B-17-01 in 2006 and 2007. 3D seismic surveys covering 491km² in the eastern area and 448km² in the south-western area of B-17-01 were conducted in 2010.

Project background

In 1979, the Malaysian and Thai Governments agreed to form the Malaysia-Thailand Joint Authority (MTJA) to exploit gas resources within the Joint Development Area (JDA) in May 1990. The production sharing contracts (PSCs) for Block A-18 and Blocks B-17 & C-19 were finalised with the contractors in April 1994, whereas the PSC for Block B-17-01 was signed in September 2004.

The JDA covers an area of approximately 7,250km². First gas from Block A-18 was achieved in early 2005 and gas is delivered at a rate of approximately 790 million standard cubic feet per day (Mmscfd). Operated by Carigali Hess Operating Company, Block A-18 accommodates nine gas discoveries.

Joint Development Area (JDA) Blocks B-17 & C-19 and B-17-01 development details

Phase I primarily involved the installation of the Muda Processing Platform (MDPP) and living quarters platform (MDLQ), five wellhead platforms namely Muda-A (MDA), (MDB), (MDC), (MDD) and Jengka-A (JKA), the leased FSO Ratu Songkhla with a storage capacity of 550,000 barrels, a flare tripod, and interconnected subsea pipelines.

Phase II primarily involved the installation of three satellite wellhead platforms namely MDE, MDF and JKB, and interconnecting pipelines, to enhance the production capacity and maintain an overall daily contract quantity (DCQ) of 335 million standard cubic feet per day (Mmscfd).

Phase III involves the installation of four wellhead platforms and associated subsea pipelines. Three platforms will be located at Block B1-7 and one platform will be located at Block B-17-01.

As of December 2014, 35 appraisal wells were drilled at Block B-17 and Block B-17-01 and 102 development wells were drilled at the former block.

Export facilities and gas sales

PTT Group and Petronas are the gas buyers from the project. The gas from the JDA is exported via the Malaysia-Thailand Gas Pipeline, which connects with the Peninsular Gas Utilization pipeline at Changlun in Kedah, Malaysia.

Contractors involved

The engineering, procurement, construction, installation and commissioning (EPCIC) contract for the phase III has been awarded to SapuraKencana Petroleum Berhad (SapuraKencana).

Wassana Oilfield Development, Gulf of Thailand

The Wassana oil field is located in the Gulf of Thailand G10/48 licence, south of the Pattani Basin.

SMOE was the engineering, procurement, construction and commissioning (EPCC) contractor for the MDPP, whereas the jacket was supplied by Malaysia Marine and Heavy Engineering (MMHE).

The EPCC contractor for the MDLQ, flare tripod and three bridges was Sapura-Kenkana, the detailed engineering works for the MDLQ were performed by BHIC Petroleum and the construction engineering, fabrication, loadout and sea-fastening of the MDLQ jacket and flare tripod were performed by CUEL. The wellhead platforms under phase I were fabricated by Oilfab.

Natco Group supplied the pre-treatment equipment, its proprietary Cynara(R) membrane systems and valve skids, as well as control systems for the MDDP.

Transport and float-over installation of the MDPP platform were performed by Dockwise. The heavy-lift installation of the MDDP's jacket was performed by Sapura Acergy. The heavy lift KimFlex slings for the transportation and installation of the MDC wellhead platform were supplied by KTL Group.

Ezra subsidiary EOC, in collaboration with EMAS Offshore Construction & Production, supplied the heavy-lift, accommodation and pipe-lay vessel, the Lewek Champion, as well as other support vessels for Phase I.

The front end engineering design (FEED) studies for Phase II were performed by MMC Oil & Gas Engineering. Keppel Shipyard was subcontracted to perform the conversion of FSO Ratu Songkhla by M3nergy, the owner of the facility.

The pipeline spool tie-ins, installation of risers and riser guard, and dive support during pipelay and pre-commissioning were performed by Kreuz Subsea in 2010. SapuraCrest Petroleum's T-3 rig performed the development drilling activities at the project site from 2005 to 2010.

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