ExxonMobil starts up $2.5 billion EOR project offshore Malaysia

ExxonMobil Exploration and Production Malaysia, an ExxonMobil subsidiary, announced the startup of the Tapis enhanced oil recovery (EOR) project offshore Terengganu, Malaysia. Operations began with water-alternating-gas injection from the recently installed Tapis R central processing platform into targeted wells on the existing Tapis A platform.

The project is Malaysia’s first large-scale enhanced oil recovery project and will utilize the immiscible water-alternating-gas process to recover remaining oil reserves from the Tapis field by gradually sweeping remaining oil to the producing wells, increasing the overall recovery of the field.

“This project exemplifies ExxonMobil’s leadership in technology application and global project execution excellence to maximize reserves recovery from producing fields in partnership with Petronas and Petronas Carigali Sdn Bhd,” said See Kok Yew, ExxonMobil Exploration and Production Malaysia Inc. president and chairman of the ExxonMobil Subsidiaries in Malaysia.

The Tapis EOR project and Telok gas development project, which was brought onstream in March 2013, were announced as the first entry point projects in the oil, gas and energy sector of the National Key Economic Areas set by the government under Malaysia’s Economic Transformation Program. The Tapis EOR project is one of the largest offshore EOR projects in Southeast Asia, representing a $2.5 billion investment by ExxonMobil and its joint-venture partner Petronas Carigali Sdn Bhd (PCSB) to help ensure reliable and sustainable energy supplies for Malaysia. ExxonMobil and PCSB each hold a 50 percent participating interest in the project.

Fully designed and constructed in Malaysia by local contractors, fabrication activities for the Tapis EOR project began in November 2011.