Shell, Petronas take FID on new gas project to supply Bintulu LNG plant

LNG giant Shell and its partner Petronas have taken a final investment decision to develop the Rosmari-Marjoram gas project, which will feed the Bintulu LNG export plant in Sarawak, Malaysia.

Sarawak Shell Berhad (SSB), a subsidiary of Shell, is the operator of the project with an 80 percent stake while Petronas Carigali holds the remaining 20 percent share.

Rosmari-Marjoram fields are situated 220 kilometers off the coast of Bintulu, Sarawak, Malaysia and would be powered by renewable energy, using solar power for the offshore platform, according to a Shell statement.

The firm did not provide the price tag of the development.

Shell said the Rosmari-Marjoram development is one of the strategic projects to ensure a sustained gas supply to the giant Petronas-operated 30 mtpa Bintulu LNG complex.

During the first half of this year, Petronas delivered 201 LNG cargoes from the Bintulu LNG facility in Sarawak.

The plant, which has shipped more than 12,000 LNG cargoes since it started operations back in 1983, consists of nine trains and supplies key demand centers such as Japan, South Korea, China, and Taiwan.

Shell said the Rosmari-Marjoram project comprises a remotely operated offshore platform and onshore gas plant, with infrastructure that includes one of the longest sour wet gas offshore pipelines in the world stretching more than 200 km, it said.

Moreover, the project is designed to produce 800 million standard cubic feet of gas per day (MMscf/d).

Shell expects gas production to start in 2026.

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