KUCHING: Petroleum Sarawak Bhd (Petros), which recently launched the Sarawak Bid Round 2024, is calling for multinational corporations (MNCs) to bid for the development of carbon capture, utilisation and storage (CCUS) industry in the state.
According to Petros senior vice-president for Sarawak Resource Management Nazrin Banu Shaikh Sajjad, three carbon storage sites had been identified for this bid round, each with distinct advantages and opportunities for successful CCUS studies.
“This bid round is a prime opportunity for stakeholders to explore and implement top-notch solutions that will drive the state’s growth goals and economic prosperity as we head towards net-zero goal,” she said at the Advancing CCUS for Sarawak and Beyond event held here last week.
It was aimed to showcase Sarawak’s carbon storage capabilities, creating a transparent and competitive platform for potential investors keen on conducting techno-commercial storage studies to build the CCUS value chain in Sarawak.
The event also attracted about 200 representatives from MNCs, including the upstream players, carbon emitters, infrastructure developers, service providers, shipping companies, financial institutions and consultancy firms.
Nazrin said: “The three carbon storage sites boast an estimated total storage capacity of some 1,000 million tonnes of carbon dioxide equivalent.”
Site one offers a saline aquifer in the Southwest and Western Luconia region, set to be a focal point for energy growth and supporting the setup of the Kuching Economic Hub. This site will help develop sour gas fields and decarbonised industries in Kuching, both new and existing ones.
Site two includes several depleted fields near the end of their life in the Balingian area, Mukah Division in central Sarawak with its proximity to the shore aligning well with the potential for a new onshore gas plant.
Site three presents saline aquifers and depleted fields in the Central Luconia region, featuring high-quality reservoirs and existing oil and gas infrastructure. The nearby sour gas field development offers integrated development opportunities here.Nazrin also welcomed forward-thinking companies to team up with Petros in developing Sarawak, tapping into its vast CCUS geological potential.
“By working together, Sarawak could become a top low-carbon solution provider in the region and establish itself as the CCUS hub for the Asia-Pacific,” she noted.
In addition to the CCUS, Nazrin said Petros as a resource manager for CCUS, is committed to rejuvenating onshore oil and gas potential in Sarawak and advancing early commercialisation of onshore oil and gas discoveries.
“Today, Adong Kechil West in Block SK433, some 24km from Miri, is progressing well towards first production and commercialisation in 2025.
“Replicating this success is crucial for onshore upstream rejuvenation, and Petros is investing heavily to de-risk the petroleum system and enhance productivity in all onshore blocks, especially in Blocks SK334, SK431 and SK441.
The Block SK433 is the outcome of the inaugural onshore petroleum contract awarded in July 2021 to Petros under the Sarawak Oil Mining Ordinary 1958, alongside Block SK334 located near Limbang and Lawas in northern region.
Last year, Petros and Petra Energy Bhd
commenced their inaugural onshore drilling at Block SK433.
Apart from drilling two appraisal-cum development wells at Adong Kechil West, it was reported that Petros and Petra Energy would also be acquiring 100 line km of new 2D seismic and reprocessing 500 line km of existing 2D seismic as well as completing the regional geological and geophysical studies to further improve the prospective of Block SK433.
As for Block SK334,the potential drilling of an exploration well is expected in 2025.
According to Sarawak Premier Tan Sri Abang Johari Tun Openg, natural gas produced from the Adong Kechi West field would be supplied to Miri Hub as part of Sarawak Gas Roadmap, catering to the 400MW combined-cycle gas turbine power plant being built in Lutong.
The plant is scheduled to begin operations in 2027.
