Madura Offshore Production Sharing Contract, offshore East Java, Indonesia, in 57 metres of water.
Santos - 67.5% (operator)
PC Madura Ltd - 22.5%
PT Pantai Madura* - 10.0%
* subject to finalisation of documentation
The Maleo field was discovered in June 2002 by the Maleo 1 exploration well. This was followed up by the Maleo 2 appraisal well drilled in November 2002 which flowed 30mmcfd through a 2" choke and appraised the north westerly portion of the field. In January 2004 a Heads of Agreement was executed with PT Perusahaan Gas Negara for the sale of the entire gas reserves of the field and a formal sales contract was signed in May 2005.
Production commenced from the Maleo gas project during September 2006, Santos’ first operated offshore gas project outside of Australia.
First production was achieved on schedule, only four years from first discovery, and within the original budget estimate.
Production commenced on 29 September 2006.
Cost to Develop
Approximately US$75 million (gross) capital development cost.
Gas from the Maleo field is being produced from a Mobile Offshore Production Unit (MOPU) supported by a new six well wellhead platform which is connected to a 7.4 kilometre spur-line to the East Java Gas Pipeline for distribution to the Surabaya and Gresik gas grid.
The MOPU is a converted jack-up drilling rig which was modernised and upgraded in Dubai into a standalone, relocatable gas production facility. It is being leased under a multi-year service agreement with Radiant Utama Interinsco (Indonesia) working with Global Process Systems Inc (Dubai).
Using a modified jack-up rig enabled Santos to achieve first gas only 16 months after final investment approval.
Gas will be supplied at a plateau rate of up to 110 million standard cubic feet per day (mmscfd) and is expected to operate at plateau production for approximately 5 years.