MISC has secured a lease, operate, and maintain contract from Petronas Carigali Brunei for a floating production unit destined for a natural gas development project in Brunei. The charter term is 12 years from the unit's acceptance, with options to extend for up to three additional one-year periods.

Project Details: The Kelidang Development

The contract is for the Kelidang floating production unit (FPU), a cluster development of the Kelidang North East, Keratau, and Keratau South West discoveries. These fields hold combined reserves of several trillion cubic feet of gas, plus small amounts of associated liquids. The overall development concept consists of a leased floating production vessel, a subsea production system, and a gas export pipeline.

Technical Scope and Timeline

The floating production vessel is expected to have a gas handling capacity of up to 450 million cubic feet per day and is scheduled to commence operations in the first half of 2029. The integrated subsea workscope includes multiple pipeline segments connecting to the floater, at least six subsea production trees, and infield umbilical cables.

Contract and Risk Factors

The award follows an international competitive bidding process and a final investment decision by Petronas earlier in the year. The project does not require further approval from MISC's shareholders or government authorities. MISC acknowledges inherent project risks such as commercial, execution, operational, maintenance, and compliance with safety and environmental regulations, stating it will use its experience to mitigate them.