Shell, through its subsidiary Sabah Shell Petroleum Company (SSPC), has commenced first oil production from Phase 4 of the Gumusut-Kakap-Geronggong-Jagus East (GKGJE) deepwater development offshore Malaysia. This marks a significant milestone in Shell’s ongoing upstream expansion, further reinforcing its footprint in Malaysia’s deepwater oil and gas sector.
Phase 4 of the GKGJE development involves a subsea tie-back that spans the Malaysia-Brunei maritime border, comprising three producer wells and one water injection well. Located in waters approximately 1,200 meters deep, the Gumusut-Kakap field began production in 2014 and was Shell’s first deepwater venture in Malaysia. With earlier phases brought online in 2019 and 2022, this latest development is projected to deliver approximately 21,000 barrels of oil equivalent per day (boe/d). Oil from Phase 4 is processed via the Gumusut-Kakap Semi-submersible Floating Production System (GK-Semi FPS) off the coast of Sabah.
The project aligns with Shell’s broader upstream objective to bring online new developments capable of contributing a combined 500,000 boe/d at peak output between 2023 and 2025. The GKGJE area was unified under a 2021 agreement between Malaysia and Brunei, facilitating coordinated development of cross-border hydrocarbon resources. SSPC leads operations, with the project jointly developed alongside partners such as Petronas, ConocoPhillips, PTTEP Sabah Oil Limited, and others.
(Sources: The Edge Malaysia; Offshore Engineer)
