Shell, and its partner Petroliam Nasional Berhad (Petronas), are set to start the development of the Rosmari-Marjoram gas fields offshore Malaysia.
Sarawak Shell Berhad (SSB), a Shell subsidiary with an 80% operating stake, together with Petronas’ upstream unit Carigali, has taken the final investment decision (FID) for the project.
Discovered in 2014, the Rosmari and Marjoram are deepwater sour gas fields located 220kms off the coast of Bintulu, Sarawak, Malaysia.
According to Shell, the development of the Rosmari-Marjoram project is important to ensure a sustained gas supply to feed the Petronas LNG complex in Bintulu.
The project is estimated to produce 800 million standard cubic feet of gas per day, with gas production expected to start in 2026, said the company.
Shell upstream director Zoe Yujnovich said: “Rosmari-Marjoram will help to deliver a secure and reliable supply of energy, responsibly and efficiently.
“This demonstrates our Powering Progress strategy – powering lives, generating value, and reducing emissions by using renewable energy to power Rosmari-Marjoram.”
Shell said that the Rosmari-Marjoram development will include a subsea tie-back, a remotely operated offshore wellhead platform, and an onshore gas plant at Bintulu.
Its infrastructure will also include a 207km pipeline, said to be one of the world’s longest sour wet gas offshore pipelines, which will carry the gas to shore.
The project will be primarily powered by renewable energy, where the offshore platform will be powered by a solar farm with 240 panels.
Also, its onshore plant will be powered by hydroelectric plants, with diesel generators and batteries used as a backup, and will be connected to the Sarawak grid system.
The onshore gas plant marks SSB’s largest onshore project in Sarawak, following the Bintulu Crude Oil Terminal (BCOT) and Bintulu Integrated Facility (BIF), built in the 1970s.
Shell Malaysia country upstream chair and senior vice president Ivan Tan said: “The support and partnership from PETRONAS and the Government of Sarawak are critical to achieving this milestone with Rosmari-Marjoram.
“Shell has a long and proud history in Sarawak, and we look forward to contribute further to Sarawak and Malaysia’s economic growth through investments in competitive and resilient projects.”
