The Siakap North-Petai (SNP) field, operated by Murphy Oil, is located approximately 125 km offshore the northwest coast of Sabah, East Malaysia, and in approximately 1,400 m water depth. The development presented several challenges including the selection and implementation of the appropriate technical solutions, as well as ensuring cost efficiency in the complex deepwater arena.
– With first production from the field coming on line in February 2014, Murphy is extremely pleased with what we were able to deliver, and look forward to applying similar strategies and lessons learned on future projects, says Mads Hjelmeland, Murphy’s Subsea Manager.
Subsea Design Based on Existing and Proven Technologies
The SNP field is located in deep water and approximately 15 km away from existing infrastructure. The elongated structure comprising four separate oil culminations, the identified shallow hazards, seabed sloping and varying soil conditions presented a number of challenges that had to be comprehensively evaluated to arrive at the optimum development concept. The final design of the SNP subsea production system was centered a round existing and proven technologies to mitigate execution risk and preserve schedule robustness.
Production Pipeline Installed with First Reel-Laid Pipe-in-Pipe in SE Asia
Oil and gas activities in the deepwater environment inevitably introduce significant development costs, inclusive of well expenses through to equipment construction and installation. To ensure optimum economic returns, Murphy was required to optimize the development concept and installation strategies. One of the many achievements of this project was the first reel-laid pipe-in-pipe flowline system in SE Asia, which included manufacturing, testing and reeling, locally in the region.
Fast-Track Development: Sanction to First Oil in 2.5 Years
The overall execution period for the SNP development was 2.5 years from project sanction to first oil, and underlines Murphy Oil’s commitment to development excellence and accelerated oil production. The execution strategy was based on utilization of a relatively small sized project management team, relying on contractors to perform and provide fit-for-purpose facilities in accordance with established industry codes, regulations and guidelines. – The utilization of functional specifications coupled with the ability to make rapid decisions were instrumental to Murphy protecting the project’s schedule and mitigating installation risks, says Hjelmeland.
Lesson Learned & Future Developments
The development of the Siakap North-Petai-field will be important when the company moves in to new developments. The field development has once again proven Murphy’s ability to execute a fast-track project in the deep waters offshore Malaysia, leveraging the position the company has with its comprehensive Malaysian presence and operations in the region. – The experiences gained, the successes, the lessons learned, as well as the various technologies applied, will all form part of Murphy’s projects’ foundation when moving into the next development, says Hjelmeland.
FACTS:
Location: Block K, deepwater offshore Sabah, Malaysia
Water Depth: 1,400 meters
Sanction Date: October 2011
First Production: February 2014
Product: Oil
Facility: Tie-back to Kikeh
Mads Hjelmeland will be presenting Managing Risks in a Deepwater Marginal Field Development at UTC 18 June