NewVision upstream

News Digest (www.upstreamonline.com)

The operator of the suspended Lang Lebah offshore gas project is developing a forward strategy, with a current focus on advancing a nearby cluster of smaller greenfield discoveries. The Lang Lebah project, containing an estimated 6 to 7 trillion cubic feet of in-place gas resources, is a critical future growth asset. However, it was sent back for re-engineering in early 2025 after received engineering, procurement, and construction contract bids significantly exceeded budget. The re-engineering process aims to reduce capital costs and will determine the field's future operational plan.

Lang Lebah Re-engineering and Revised Plans

Early re-engineering work has already led to a scaled-down offshore scope, eliminating the living quarters platform and reducing the number of wellhead platforms from three to two. The original plan involved a central processing platform designed to handle 1.65 billion cubic feet of gas per day, with output intended for the Petronas LNG Complex. A new tender for offshore front-end engineering and design is scheduled for the first quarter of 2026, which will be an open invitation to multiple engineering firms. Additionally, a tender for the onshore gas processing facility is expected soon. The block is operated by PTTEP (42.5%), in partnership with Kufpec (42.5%) and Petronas Carigali (15%).

Priority Greenfield Cluster Developments

Concurrently, the company is prioritizing the development of the Sirung and Chenda fields, part of its Malaysia Greenfields scheme. A final investment decision for these projects is expected by the end of the year, targeting first gas in 2028. The development will be anchored by a new offshore processing platform weighing approximately 6,500 tonnes, to be located on the Sirung field. Subsea connections will link other discoveries to this platform, and production will be tied into existing Petronas Carigali facilities. An engineering, procurement, and construction contract for the platform is currently being bid on by several top Malaysian fabricators. This block is operated by PTTEP (49.5%), with partners Petronas Carigali (25%) and Mitsui Energy Development (25.5%).

Additional Planned Investments

Two other discoveries, Paprika in Block SK410B and Babadon in Block SK438, also have planned final investment decisions this year, though their specific development plans are not yet certain. Block SK 438 is operated by PTTEP with an 80% interest, alongside Petronas Carigali (20%).

12 December 2025



This material is an AI-assisted summary based on publicly available sources and may contain inaccuracies. For the original and full details, please refer to the source link. Based on materials by Russell Searancke. All rights to the original text and images remain with their respective rights holders.

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