Shell Begins Production At Jerun

Jerun
ASIA | SapuraOMV Upstream Sdn Bhd, the operator of the Jerun field in Malaysia, has announced that the first gas has been produced.

The Jerun gas field was discovered in 2015 under the SK408 production-sharing contract.

On Shell’s Capital Market Day in 2023, it committed to delivering upstream and integrated gas projects coming on stream between 2023 and 2025, with a peak production of more than 500,000 barrels of oil equivalent per day. Jerun is expected to contribute to this commitment.

Shell plc has a 30 percent equity stake in the field through its Malaysian subsidiary, Sarawak Shell Berhad, and made a final investment decision on the development in 2021.

The field is located around 160 kilometres (km) northwest of Bintulu in Sarawak and 190 km northwest of Miri, Sarawak, Malaysia.

Comprising an integrated central processing platform, Jerun will export gas through a new 80-km pipeline into the E11RB production hub for onward delivery to Bintulu-based customers, including Malaysia LNG.

The Jerun platform has been designed to produce up to 550 million cubic feet of gas daily, with condensate production of 15,000 barrels during peak production.

“Jerun was a highly attractive investment for Shell, building on our interests in this important region off the coast of Sarawak, offshore Malaysia, where Shell operates the Timi platform and has the Rosmari-Marjoram project under construction,” said Zoë Yujnovich, Shell’s Integrated Gas and Upstream Director.

“Gas is an important fuel for Malaysia and the world, providing a secure form of energy for heating, cooling and power generation. We are delighted the venture has reached this milestone.”

Shell’s long and successful history in Malaysia has been under the stewardship of Malaysia Petroleum Management, PETRONAS. Shell remains committed to supporting the country’s economic progress and energy transition efforts with competitive and resilient investments.

Jerun is operated by SapuraOMV Upstream (40 percent) in partnership with Sarawak Shell Berhad (30 percent) and PETRONAS Carigali Sdn Bhd (30 percent).

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