PETRONAS company announced that it has signed two new small field asset (SFA) production sharing contracts (PSCs) with Rex International Holding Limited (Rex) and Duta Marine Sdn Bhd (Duta Marine) for the Rhu-Ara and Diwangsa clusters offshore Peninsular Malaysia, a press release issued by PETRONAS stated.

According to the terms of the contracts, Rex will hold a share of 95% while Duta Marine holds the remining 5%. These fields were offered during the Malaysia Bid Round 2020 (MBR 2020) based on the SFA fiscal terms introduced in the same year.

The Rhu-Ara Cluster, consisting of Rhu and Ara fields while the Diwangsa Cluster comprises Diwangsa, Bubu, Korbu and Lerek fields. These previously discovered fields have total estimated recoverable of 12.7 million stock tank barrels (MMstb) for the Rhu-Ara Cluster and 10.7 MMstb for the Diwangsa Cluster.

PETRONAS’ Senior Vice President of Malaysia Petroleum Management (MPM), Mohamed Firouz, said: « We believe that Rex’s proven capability in developing small fields abroad could be deployed in the Rhu Ara fields to unlock the potential in the Penyu Basin followed by the development of Diwangsa Cluster.

“We welcome new players who can deliver innovative solutions to ensure the lowest total life cycle cost in developing the discovered resources opportunities available in Malaysia waters. We are pleased to see that the SFA terms have become more attractive to the investors, thus validating the efforts taken to turn Malaysia into a growth hub for the investors,” Firouz added.