UPDATE 1-ExxonMobil starts gas production from Malaysia field http://www.reuters.com/article/companyNewsAndPR/idUSKLR24792420070412
Thu Apr 12, 2007
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KUALA LUMPUR, April 12 (Reuters) - U.S. oil major ExxonMobil Corp (XOM.N: Quote, Profile, Research) has started up gas production from the Tabu deepwater gas field off northeastern Malaysia, the firm's Malaysian unit said on Thursday.
Production from the non-associated gas project, 200 kilometres (124 miles) off the coast of the Malaysian state of Terengganu, is expected to peak at 180 million cubic feet per day, the firm said in a statement.
The project, with a total development cost of $182 million under a production sharing contract between field operator ExxonMobil and Petronas Carigali, a unit of state oil firm Petronas [PETR.UL], aims to help meet rising gas demand in Malaysia.
"We are pleased with the start-up, which will contribute further towards Malaysia's energy security," the statement quoted Liam Mallon, ExxonMobil's Malaysia chief, as saying.
ExxonMobil's unit, ExxonMobil Exploration and Production Malaysia Inc., is one of the largest crude oil producers and suppliers of natural gas to Malaysia, and operates as a contractor to Petronas under production sharing contracts.
The firm, which says it produces about 200,000 barrels per day (bpd) of crude oil and about 1 billion cubic feet of natural gas, now operates more than 40 platforms and has interests in 17 fields offshore Terengganu.
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