401. Kikeh Development: Project Execution Model
- Author
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Michael Keith McFadyen and Steve Dechant
- Subjects
Development (topology) ,business.industry ,Computer science ,Project execution ,Software engineering ,business - Abstract
Abstract The Kikeh Development is the first deepwater project in Malaysia and is located offshore Eastern Malaysia in the South China Sea in water depth of 1320 meters. Kikeh is produced via a Spar and a subsea production system back to a Floating Production Storage and Offloading (FPSO) unit. Water injection to wells at both the Spar and subsea are used for reservoir pressure maintenance. Kikeh is planned to be developed with 34 wells. Production from the Kikeh Field commenced in August 2007. Highlights of the Kikeh Development include:Discovery to First Oil in only five yearsFirst deepwater development offshore MalaysiaFirst Spar constructed in Malaysia and the first installed outside the Gulf of MexicoFirst topsides floatover onto a SparFirst turret-moored FPSO in conjunction with a SparFirst use of a tender assisted drilling rig on a SparFirst mid-water high pressure flowline This paper will provide a summary of the overall Project Execution Strategy and Contracting Plan and will highlight the small team approach adopted by Murphy Oil. It will also initially discuss the challenges of the parallel appraisal / development approach required to accomplish first-oil from the Kikeh Field in five years. Lessons Learned will also be provided. Introduction The Kikeh Field was discovered on July 30, 2002 by Murphy Sabah Oil Ltd. It was Murphy's third deepwater well offshore Malaysia and it was immediately believed to be a major discovery. Two additional wells were drilled in the second half of 2002 to confirm the discovery and by the end of 2002 the Kikeh Field had been confirmed. Initial estimates placed the recoverable reserves in excess of 400 million barrels of high quality crude oil. The Kikeh Field is located 120 km northwest of the island of Labuan, offshore Sabah, East Malaysia and lies in water depths of approximately 1,320 meters (Figure 1). The reservoir consists of multiple sand horizons that are relatively shallow at 2500 - 3050 m. Murphy Oil is the operator of the Block and is responsible for managing the appraisal, execution and operation of the Kikeh Field.
- Published
- 2008