KUALA LUMPUR, December 3 — PETRONAS, Malaysia’s state-owned oil and gas company, has signed a Late Life Asset (LLA) Production Sharing Contract (PSC) with Ping Petroleum Sdn. Bhd. for the Abu Cluster off the coast of Peninsular Malaysia. This collaboration aims to maximize oil recovery from the Abu Cluster, which comprises three established fields—Abu, Abu Kecil, and Abu SW Upthrown—with around five million stock tank barrels of remaining reserves.
PETRONAS, represented by Senior Vice President Mohamed Firouz Asnan, anticipates that Ping Petroleum will leverage its capabilities to extract more value from the Abu Field, which had a peak production of 15,000 barrels per day in 2008. The agreement includes enhanced commercial terms for LLA and streamlined operational procedures, empowering the operator to unlock the potential of Abu Kecil and Abu SW Upthrown. This partnership represents PETRONAS’ commitment to optimizing Malaysia’s hydrocarbon resources and delivering value to its partners. PETRONAS is guided by its ‘Right Asset, Right Player’ strategy and supported by a progressive fiscal framework.
The company strives to balance its efforts in ensuring energy security both domestically and globally while actively addressing the ongoing energy transition. Through its subsidiary, Malaysia Petroleum Management (MPM), PETRONAS manages petroleum arrangements in the country and provides stewardship for upstream petroleum activities. This partnership underscores PETRONAS’ commitment to enhancing the recovery of Malaysia’s oil reserves and reaffirms its role as a global leader in sustainable energy development.
