Shell And TMJV Complete Major Milestone For Malikai Deep-Water Project

PASIR GUDANG, 11 SEPTEMBER 2015: PETRONAS, Shell and Technip-MMHE Joint Venture (“TMJV”) have safely integrated the topsides of its Malikai deepwater platform onto the hull, at Pasir Gudang, Johor, Malaysia. This achievement, completed safely and on time, is the world’s first jacking and skidding at this scale. This is also considered a major milestone for the company’s first Tension Leg Platform (“TLP”) designed and fabricated in Malaysia.

PETRONAS is pleased with this achievement as this marks a significant milestone in realizing its aspiration to be one of the main hubs for deepwater development in this region. This also allows transfer of knowledge, technology and capability to Malaysian yards.

In July, a platform piece weighing as much as 14,000 average family cars was manoeuvred at a record-breaking height. Specially-built structures lifted the 13,800-tonne “topside” – which include production equipment and living quarters – to a height of 40 metres before moving 90 metres across and lowering down onto the hull. The operation was completed in just 11 days, followed by weeks of integrating systems and testing. In total, the integrated platform – the first of its kind in Malaysia – weighs 27,500 tonnes.

Simon Ong, Managing Director, Shell Global Solutions Malaysia, Projects & Technology said, “This record-breaking feat was achieved thanks to the excellent collaboration among PETRONAS, Shell, TMJV, ALE Heavylift Sdn. Bhd. (“ALE”) and our other subcontractors. Unlocking energy in deep water below the ocean’s surface poses major technical and project management challenges. It also requires advanced technologies, high safety standards and a responsible approach. Our projects in Malaysia have allowed Shell to share deep-water expertise with the Malaysian oil and gas industry, assisting in the government’s goal to create an offshore industry hub."

Tuan Haji Abu Fitri Abdul Jalil, Malaysia Marine and Heavy Engineering Holdings Berhad (MHB)Managing Director and CEO, concurred, “Malikai will be Malaysia’s third deepwater project to be safely completed by MMHE. This project has helped develop local deepwater resources, infrastructure and expertise, towards securing Malaysia’s position as a regional deepwater hub and centre of excellence.”

“We are very proud to see the results of our mutual cooperation coming to fruition. The ‘superlift’ brings us a step closer to completing the first Tension Leg Platform for Malaysia. The Shell Malikai TLP adds to our technological leadership in executing and delivering Malaysia’s deepwater field development projects and the world’s first two floating LNG facilities - PETRONAS FNLG 1 and Shell Prelude - which will be based in the Asia Pacific,” said KK Lim, President, Technip in Asia Pacific.

Leading up to the “superlift”, over 100 pieces of major equipment were successfully installed. Around 9,000 pipe spools were fabricated and installed on the topsides, and approximately 640km (equivalent to a roundtrip from Kuala Lumpur to Johor Bahru) of electric cables were pulled.

Located 100km offshore in Sabah, Malaysia, Malikai is Shell’s second deep-water project in Malaysia, following the successful start-up of Gumusut-Kakap last year. Malikai is expected to have a production capacity of 60,000 barrels per day. The Malikai project is a joint venture between Shell (35%, operator), ConocoPhillips Sabah (35%), and PETRONAS Carigali (30%). 

Globally, Shell has produced around 370,000 barrel of oil equivalent (BOE) every day from deep-water projects in 2014, comprising nearly 12% of the group’s total global production. According to the International Energy Agency (IEA), around 270 billion barrels of recoverable oil lie beneath deep water. Deep-water oil already accounts for 7% of all conventional oil produced. The IEA predicts an expansion to 11% in 2040, reaching a level of almost 11 million barrels a day.

For more information on Shell’s deep-water projects around the world visit: www.shell.com/deepwater

• Infographic on the Malikai Deep Water Project

About Shell

Shell is a global leader in power, energy, and gas technology and is working to meet increasing energy demand and supply challenges by delivering smarter products and cleaner energy, infrastructure, and by developing new energy sources while addressing the impact on the environment. Malaysia is one of Shell’s heartlands. The history of Royal Dutch Shell in Malaysia started more than 120 years in Miri, Sarawak. Shell currently has a strong market presence in the upstream and downstream sector in Malaysia.

About MHB

Malaysia Marine and Heavy Engineering Holdings Berhad (MHB) is a leading marine and heavy engineering services provider in the Southeast Asia region, focused primarily on the energy sector. MHB’s fully-owned subsidiary MMHE Sdn Bhd is the largest fabrication and marine repair yard in the region with a talent pool of 3,700 workers.

MMHE offers the full spectrum of offshore solutions which include EPCIC services as well as marine conversion and repair services at its two yards in Pasir Gudang, Johor, Malaysia. The yards can accommodate the fabrication of large, complex marine structures with a total tonnage of 129,700 MT; and are also equipped with two dry docks accommodating vessels up to 450,000 deadweight tonnes (dwt).

For further Media Enquiries about MHB, please contact:

Lina Yap-Abdullah, MHB Corporate Communications

Tel: +603-2275 3786, Cell: +6012-603 5279, Email: lina.yap-abdullah@mmhe.com.my

About Technip

Technip is a world leader in project management, engineering and construction for the energy industry. From the deepest Subsea oil & gas developments to the largest and most complex Offshore and Onshore infrastructures, our 38,000 people are constantly offering the best solutions and most innovative technologies to meet the world’s energy challenges.

Present in 48 countries, Technip has state-of-the-art industrial assets on all continents and operates a fleet of specialized vessels for pipeline installation and subsea construction. Technip shares are listed on the Euronext Paris exchange and traded in the USA on the OTCQX marketplace (OTCQX: TKPPY).

For further Media Enquiries about Technip, please contact:

Jamie Yung Pui Leng, Communications

Tel: +603-2116 7931, Cell: +6012-335 6289, Email: plyung@technip.com