Jadestone secures small field asset PSC offshore Malaysia

Southeast Asia-focused Jadestone Energy has been awarded a small field asset production sharing contract (PSC) offshore Malaysia, the company announced on July 26. The PSC was awarded under the Malaysia Bid Round Plus by state-owned energy company Petronas, through Malaysia Petroleum Management (MPM).

The cluster PSC is located in shallow waters offshore Peninsular Malaysia, surrounded by the PM428 PSC, in which Jadestone was awarded a 60% operated interest earlier in 2024. The PSC includes the Penara, Puteri, Padang, and North Lukut fields. Jadestone previously held a 50% non-operated interest in these assets following the company’s entry into Malaysia in August 2021. The cluster PSC fields were producing at a gross rate of 5,000 boe/d in early 2022 before production was shut in.

Jadestone believes there is potential for upside from future infill drilling across the existing cluster fields, as well as prospects and leads on the surrounding PM428 PSC. The company intends to continue its technical assessment of the cluster before submitting a field development and abandonment plan to Petronas.

The cluster PSC is governed by small field asset terms, specifically designed to incentivize investment in smaller hydrocarbon accumulations in Malaysia. MPM acts on behalf of Petronas in the overall management of Malaysia’s petroleum resources throughout the lifecycle of upstream oil and gas assets.