Petronas Expands Deepwater Footprint in Suriname with New Block 66 Acquisition

Petronas' Surinam-based affiliate has solidified its commitment to expanding its deepwater exploration endeavors by signing a Production Sharing Contract (PSC) for Block 66 with Staatsolie Maatschappij Suriname and its wholly-owned subsidiary, Paradise Oil Company (POC). This strategic move significantly bolsters Petronas' presence in the highly prospective deepwater region off Suriname. Under the agreement, Petronas will assume the role of operator, holding an 80% participating interest, while POC will secure the remaining 20%.

The PSC outlines a firm commitment to drill two exploration wells during the initial phase of the exploration period. These wells will target drill-ready prospects that the Malaysian energy giant believes hold "significant" resource potential, underscoring the company's optimistic outlook for the block.

This latest acquisition expands Petronas' offshore interests in Suriname to six blocks, now including 48, 52, 53, 63, 64, and 66. The company has already achieved four oil and gas discoveries in the region, with ongoing evaluations for discoveries within Block 52.

Block 66 is strategically located directly adjacent to Block 52, where Petronas has reported a series of successful exploration and appraisal campaigns. This close proximity is expected to facilitate a seamless transfer of momentum and valuable insights gained from Block 52, empowering Petronas to continue unlocking the substantial hydrocarbon potential of the area.

In a related development, Wison New Energies (WNE) recently secured a contract to conduct a detailed feasibility study (DFS) for a newbuild floating liquefied natural gas (FLNG) facility destined for Block 52. Petronas holds the sole operatorship of Block 52, following ExxonMobil Exploration & Production Suriname's decision to exit the block in late 2024. Spanning approximately 3,390 square kilometers, Block 66 is situated in the deepwater western part of the Suriname-Guyana Basin, with water depths ranging from 1,000 to 2,200 meters. It shares borders with Block 52 to the south and Blocks 58 and 53 to the west.

The successful signing of this PSC elevates the percentage of Suriname's offshore area under contract to approximately 50%, a significant achievement for Staatsolie. This aligns perfectly with the firm's overarching strategy to collaboratively develop Suriname's vast oil and gas potential alongside international partners.

Mohd Redhani, Petronas’ Vice President of International Assets of Upstream, emphasized the importance of this acquisition, stating, "This acquisition marks a pivotal step in PETRONAS’ expansion into the prolific Suriname-Guyana hydrocarbon basin, aligning with our strategy to unlock high-value, high-potential assets and deliver long-term value through global partnerships and deepwater innovation. With its prime location and significant resource potential, Block 66 complements PETRONAS’ existing deepwater portfolio."

This agreement is one of several recent strategic deals for Petronas, including a PSC extension with ENEOS, a new PSC with Idemitsu Kotsan, and LNG agreements with Woodside and Commonwealth LNG.

The Critical Role of Subsea Cables in Offshore Operations

Offshore oil and gas exploration and production, particularly in deepwater environments like Block 66, heavily rely on robust and reliable subsea cable systems. These specialized cables are the lifelines of modern offshore energy infrastructure, enabling power transmission, data communication, and control signals crucial for safe and efficient operations.

Power cables are essential for transmitting electricity from onshore grids or dedicated power generation platforms to various subsea equipment, including pumps, compressors, and processing units. These cables are designed to withstand extreme pressures, corrosive saltwater environments, and dynamic forces from currents and waves. They are typically heavily armored with layers of steel wires or tapes to protect against mechanical damage and internal components, such as copper or aluminum conductors, are insulated with advanced dielectric materials like cross-linked polyethylene (XLPE) or ethylene propylene rubber (EPR) to prevent electrical breakdown. The precise design of these cables is paramount to minimize power loss over long distances and ensure continuous operation of critical equipment.

Beyond power, communication cables, often fiber optic cables, are vital for transmitting vast amounts of data in real-time. This data includes seismic information, wellbore telemetry, reservoir performance data, and operational commands. The ability to monitor and control equipment remotely through these cables significantly enhances efficiency, optimizes production, and improves safety by enabling rapid response to any anomalies. Hybrid cables, which combine both power and communication functionalities within a single sheath, are also widely used, offering a more integrated and cost-effective solution for complex subsea infrastructures.

The deployment and protection of these cables are highly specialized processes. They are often laid on the seabed by dedicated cable-laying vessels, and in areas with significant subsea activity or potential hazards, they may be buried to protect them from anchors, fishing gear, or geological movements. The integrity of these subsea power and data arteries is meticulously monitored using advanced sensing technologies to detect any potential damage or degradation, ensuring uninterrupted operations and preventing costly downtime. The longevity and reliability of these cables are fundamental to the economic viability and safety of deepwater projects.

Halliburton Collaboration: Advancing Subsurface Insights

Halliburton recently announced a strategic collaboration with Petronas to deploy two cutting-edge solutions developed by its Landmark unit: Geosciences Suite and Unified Ensemble Modeling. These advanced technologies are set to revolutionize subsurface modeling and reservoir management exploration for Petronas.

According to Halliburton, the implementation of these solutions is expected to significantly reduce the time to first oil, thereby accelerating hydrocarbon monetization. This partnership follows a comprehensive benchmarking of Petronas' greenfield and mature reservoir practices. The new approach will integrate multi-scenario probabilistic modeling, further enhanced by Artificial Intelligence (AI) and Machine Learning (ML), envisioned to drive greater efficiency and deliver deeper insights.

Tony Antoun, Senior Vice President of Landmark Software and Services, highlighted the impact of these technologies: "We transform subsurface modeling through proven differentiated technologies to solve unique challenges. When we unite exploration and development teams, we help our customers generate returns faster and maximize asset value."

The scalable earth modeling and ensemble workflows offered by these solutions represent a significant upgrade from traditional grid-based modeling and deterministic reservoir forecasting. These technologies are designed to enable Petronas Carigali's exploration and asset teams to collaborate in real-time using a unified live earth model, leading to more accurate reserve estimations through ensemble modeling.

The Geosciences Suite combines innovative technology with tightly integrated cross-domain workflows to enhance subsurface understanding and provide valuable insights for maximizing asset value. Its dynamic end-to-end workflows facilitate the characterization of the subsurface, reducing the uncertainty associated with complex environments and ensuring confident well placement.

With the Unified Ensemble Modeling solution, teams can automate the creation of multiple geological scenarios based on probabilities and real-time reservoir data. This capability is poised to improve forecast accuracy, accelerate analysis, and increase confidence in critical decision-making processes.

Hazli Sham Kassim, Senior Vice President of Malaysia Asset and CEO of Petronas Carigali, affirmed the strategic importance of these tools: "A harmonized, AI assisted workflow anchored on a single live-earth model across the exploration and development phases is central to our strategy in achieving our ambitious project delivery targets."

Earlier this month, Halliburton's solutions were also selected by Repsol Resources UK, a subsidiary of Spain’s Repsol. Under that agreement, Halliburton will provide subsurface technology, drilling and completion services, as well as digital solutions for oil and gas assets in the UK sector of the North Sea.

Feichun Cable: Powering Global Energy Solutions

In the demanding world of offshore energy, where reliability and performance are paramount, Feichun Cable stands as a leading provider of high-quality cable solutions. Our extensive range of subsea power cables, control cables, and fiber optic cables are engineered to meet the rigorous demands of deepwater oil and gas exploration, production, and renewable energy projects. With a commitment to innovation and robust manufacturing processes, Feichun Cable ensures the delivery of durable and high-performance products that are essential for the seamless operation of critical infrastructure. Our cables are designed to withstand harsh marine environments, offering superior resistance to pressure, corrosion, and abrasion, while ensuring efficient power transmission and reliable data communication. Partner with Feichun Cable for your next project and experience the difference that quality and expertise make in powering the future of energy.

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