Production slump in Malaysia after Shell platform leak: Reuters


Exports of Malaysia’s flagship crude oil, Kimanis, will fall next month and into November following a reported leak in a compressor at Shell’s Gumusut-Kakap project off Sabah, according to Reuters news agency.

He said a leak was discovered on a compressor unit in Gumusut-Kakap that was shut down in August for maintenance.

Citing sources with knowledge of the problem, Reuters added that one of the partners – PetroleumBrunei – canceled a tender to sell a shipment of Kimanis crude that was supposed to be loaded in early November because of the problem.

Kimanis crude production is now at a reduced rate of around 117,000 barrels per day and the volume of each cargo load in October has also been reduced.

The compressor unit, which was scheduled to resume operations this month, will now remain closed until repair work is carried out in November.

Upstream has contacted the operator of Gumusut-Kakap Shell and the Malaysian national oil company Petronas for comment.

Anglo-Dutch supermajor Shell operates the development of the Gumusut-Kakap and Malikai deepwater fields off Sabah, which have combined a peak production of 170,000 b / d of oil from Kimanis, Reuters added.

Kimanis’ sweet crude, which accounts for the majority of Malaysia’s oil exports, is also produced in fields with partners such as ConocoPhillips, PTTEP and Pertamina.


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