Mubadala Energy announces new gas discovery in Malaysia

Mubadala Energy has confirmed the discovery of a good quality gas reservoir penetrated by the Cengkih-1 exploration well in Block SK320, off the coast of Sarawak province, offshore Malaysia. Preliminary analysis shows a significant gas column of more than 110 metres within the pinnacle carbonate reef reservoir.

Mansoor Mohamed Al Hamed, CEO of Mubadala Energy, said, “This discovery further cements our position in Malaysia as a reliable and trusted operator with deep technical capabilities. Gas demand in Southeast Asia continues to grow and we look forward to helping meet those energy needs, in line with our strategy to play an active role in the energy transition.” The Cengkih-1 exploration well is located nearby the Pegaga field, one of the fields within the SK320 Block, which recently marked the successful production of commercial gas. The Pegaga field recorded the discovery of 1 Trillion Cubic Feet of additional gas initial in place, following the post-drill results, confirming a larger and better quality reservoir.

Building on Mubadala Energy’s strong position in Malaysia, these results also bolster the company’s strategy to expand its position in natural gas as a key bridge fuel in the energy transition.

Mubadala Energy is the Operator of Block SK320, with 55 per cent participating interest in the Production Sharing Contract. The remaining 45 per cent is held by PETRONAS Carigali Sdn Bhd and Sarawak Shell Berhad.

Since entering Malaysia in 2010, Mubadala Energy has made six gas discoveries displaying a success ratio of 75 per cent, a significantly higher number than the industry average.

Last week Mubadala Petroleum, the Abu Dhabi-headquartered international energy company, has unveiled its new brand name: Mubadala Energy.

The new brand reflects a fresh strategic direction that will see Mubadala Energy build on its contribution to the energy transition by expanding its gas-weighted portfolio in areas such as LNG while exploring new energy sectors including blue hydrogen and carbon capture. The strategy also sees a strategic focus on decarbonizing the business while driving innovation and technology across all operations.

Musabbeh Al Kaabi, Chief Executive Officer of UAE Investments at Mubadala Investment Company and Chairman of Mubadala Energy, commented, “Mubadala Energy has earned its place as a major player on the international energy stage. This new brand identity accurately reflects the business’s next phase of growth aligned with the energy transition through a gas-weighted portfolio and an increased focus on more sustainable energy sectors.”

Mansoor Mohamed Al Hamed, CEO of Mubadala Energy, said, “We are tremendously proud of what we have achieved since we were founded ten years ago. But today is the right time to signal our focus on energy transition through a bold new brand. We are building on a track record which has seen significant growth through an expanding gas portfolio, and with our deep capabilities and strong partnerships around the world, we are well positioned to embark on a new chapter in our story as Mubadala Energy.”

Making the change in its tenth year of operations, the company has continued to grow and now spans eleven markets, employing over 500 people. This year Mubadala Energy also reached the significant production milestone of 500,000 barrels of oil equivalent a day (boed) for the first time in its history, marking a 22 per cent increase in production from 2021.

In 2017, Mubadala Energy shifted its strategy to natural gas as a key bridge fuel in the energy transition. This strategic pivot saw the company realise key projects such as the acquisition of a 10 per cent participating interest in Egypt’s Zohr gas field within the Shorouk Concession, and the more recent investment to acquire a 22 per cent stake in the Tamar Gas field, offshore Israel.

Other major gas projects include Mubadala Energy’s operated Pegaga gas field in Malaysia, which recently achieved its first commercial gas, hitting the production milestone of 500 MMscf (million standard cubic feet) and 16,000 barrels of condensate per day.

The company will continue its commitment to making a positive impact on the communities it operates in as a long-term and responsible partner, including; managing its shareholder’s interest in Dolphin Energy, a foundational asset for the Mubadala Investment Company portfolio (Mubadala); and its operated business in Southeast Asia including the Ruby gas field in Indonesia which recently achieved cumulative gas production over 250 billion cubic feet, the Jasmine field in Thailand which has recorded over 85 million barrels of cumulative production, and Nong Yao and Manora which have both achieved over 20 million barrels of cumulative production.

WAM