KUALA LUMPUR, March 30 ― Petroleum Nasional Bhd (Petronas) has announced a new oil and gas discovery in the Sirung-1 wildcat exploration well of Block SK405B Production Sharing Contract (PSC), located in the shallow waters of the Balingian Province, 237 kilometres off the coast of Miri, Sarawak.

The Sirung-1 exploration well was successfully drilled to a total depth of 2,538 metres in February 2021.

The discovery of significant oil and gas column ― exceeding 100 metres within the Oligocene to Middle Miocene sandstone reservoirs ― further validates the potential of the Balingian Province, with remaining prospects yet to be explored.

"The Sirung-1 discovery further proves the presence of oil, especially in the under-explored deeper play within the Balingian Province. This came after similar success in an infill well at D18 Field.

"We are well-positioned to pursue a similar play in the other two neighbouring blocks in the same province, namely Blocks SK411 and SK306. As such, developing this block and other surrounding areas remains an integral part of Petronas and our partners’ long-term growth plans,” Petronas vice-president of exploration, upstream, Emeliana Rice-Oxley said in a statement here, today.

PTTEP Sarawak Oil Ltd as the operator holds 59.5 per cent, MOECO Oil (Sarawak) Sdn Bhd holds 25.5 per cent and Petronas Carigali Sdn Bhd, a subsidiary of Petronas, holds the remaining 15 per cent participating interest in Block SK405B.

The PSC was signed in November 2017 as a result of the Malaysia Bid Round (MBR) 2015.

"We are very encouraged by the continued success with our partners on the consecutive discoveries this year in Malaysia and remain optimistic in our exploration activities for 2021,” she added.

For MBR 2021, Petronas is offering 13 new opportunities in the prolific basins of Malaysia which are also accompanied by enhanced fiscal and non-fiscal terms. This initiative is part of Petronas’ continuous efforts to grow with its partners in Malaysia. ― Bernama