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Madura MDA-MBH-MDK plan now calls for MOPU

CNOOC-Husky Energy joint venture decides mobile offshore production unit is better suited to development off Indonesia

A joint venture between China National Offshore Oil Corporation (CNOOC) and Husky Energy has revised its development plan for the Madura MDA-MBH-MDK fields off Indonesia, scrapping a proposal to deploy a floating production unit.

Industry officials said a replacement scheme calls for deployment of a mobile offshore production unit with gas processing capacity of 175 million cubic feet per day, which will be linked to three wellhead platforms at MDA, MBH and MDK.

The joint operating company HCML has approached London-listed contractor TechnipFMC to provide engineering services for the MOPU, they added.

Sources said that at least four contractors have expressed interest in the provision of the MOPU including China Oilfield Services (COSL) and others from Malaysia. COSL is understood to be ready with a jack-up rig that can be revamped into the MOPU by adding processing topsides.

The previous development concept was a spread-moored floating production unit, which was to be supplied by a consortium of Anugrah Mulia Raya, Sandakan Offshore and Emas Offshore Construction & Production.

The job was subsequently sub-contracted to Malaysia’s Marine Technology Company, which hired Paxocean and VME to provide the hull and topsides, respectively.

However, the work on the FPU was unable to move ahead due to issues about project financing, said sources. The yards had not received the deposits needed to enable work to continue, they added.

Husky said last month that the project would be delayed by one year “due to regulatory constraints”, but did not allude to any project execution changes.

The deferment means first production will likely be achieved in 2021.

Two shallow-water wellhead platforms have already been installed at MDA and MBH, and drilling of the five MDA development wells and two MBH production wells is planned to start this year.

Sources said the MOPU would be equipped with facilities for separation, gas compression, gas dehydration and a custody transfer metering system.

The operating company expects the MOPU to have a minimum service life of 10 years, though the topsides should have a design life of 15 years. It is expected to accommodate 50 people.

An export pipeline will be linked to the existing East Java Gas Pipeline for gas transport to Java Island. MDA is designed to produce 100 MMcfd, MBH will be able to produce 50 MMcfd and MDK will be capable of 24 MMcfd.

The operating company also envisages more wellhead platforms to be tied in with the MOPU when production declines from MDA, MBH and MDK.

MDA-MBH and MDK are follow-on projects to the Madura BD gas and condensate development which has been on stream since July 2017.

Total gross volumes from the BD project, MDA-MBH and MDK fields are expected to be 250 MMcfd of gas and 6000 barrels per day of associated natural gas liquids once production has fully ramped up.

Husky and CNOOC each hold 40% stakes in the Madura block, with Samudra Energy holding a 20% interest.

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