Rosmari-Marjoram

Location

The project is situated in Block SK318, approximately 220 kilometers off the coast of Bintulu, Sarawak, Malaysia. The water depth in this region is around 2,624 feet.

Discovery and Ownership

The Rosmari and Marjoram fields were discovered in 2014 by Shell. The 'Rosmari-1' well encountered more than 450 meters of gas column in April 2014, and the 'Marjoram-1' well made another gas discovery in August 2014. The project is operated by Sarawak Shell Berhad (SSB), a subsidiary of Shell, which holds an 80% interest. The remaining 20% is held by Carigali Sdn Berhad, a subsidiary of Petronas.

Project Details

• Final Investment Decision (FID): The FID for the project was approved in September 2022.
• Production Start: Commercial production is expected to begin in 2026 and is forecast to peak in 2029. Production is anticipated to continue until the field reaches its economic limit in 2048.
• Production Capacity: The project is designed to produce 800 million standard cubic feet of gas per day (MMscf/d).

Infrastructure

• Offshore Platform: The development includes a remotely operated offshore platform with a topside, a four-legged jacket, and piles. The platform will be installed at a water depth of 140 meters within Block SK318. It will be powered by 240 solar panels, with diesel generators and batteries as backup.
• Onshore Gas Plant: The onshore gas plant, located in Bintulu, Sarawak, will process the natural gas produced from the offshore fields. The plant will have a nameplate processing capacity of 800 MMcfd and will be connected to the Sarawak Grid System, which is fed by hydroelectric power.
• Pipeline: The gas will be supplied to the onshore plant via one of the longest sour wet gas pipelines in the world, extending nearly 207 kilometers.

Contractors Involved

• Design/FEED Engineering: Perunding Ranhill Worley Sdn (PRW), a Malaysian subsidiary of Worley, secured the Front-End Engineering Design (FEED) contract for the offshore scope of work.
• EPC for Offshore Platform: Malaysia Marine and Heavy Engineering (MMHE) was awarded the engineering, procurement, and construction (EPC) contract for the solar-powered offshore platform.
• EPCC for Onshore Gas Plant: Samsung Engineering won the engineering, procurement, construction, and commissioning (EPCC) contract worth $680 million for the onshore gas plant.

Environmental and Power Considerations

The project will source power primarily from renewable sources. The offshore platform will be powered by solar panels, and the onshore gas plant will be connected to the Sarawak Grid System, which is fed by hydroelectric power.

Economic and Strategic Significance

• Development Cost: The project's development cost is expected to be around $4.586 billion.
• Reserves: The project has significant reserves, with estimated remaining recoverable reserves of approximately 64.9 trillion cubic meters of gas and 61.38 million barrels of crude oil and condensate.
• Impact on LNG Production: The project will support the Petronas LNG Complex in Bintulu, Sarawak, and is expected to contribute to more than 5 million tons of LNG per year, helping to revive gas production in Sarawak.

Project Timeline

• Discovery: 2014
• FID: September 2022
• Production Start: Expected in 2026
• Peak Production: Forecast in 2029
• Economic Limit: Expected to be reached in 2048