Sapura Energy unit, partners sign pact with Mexico for Block 30

KUALA LUMPUR: Sapura Energy Bhd’s unit Sapura Exploration and Production and consortium partners DEA Deutsche Erdoel Mexico and Premier Oil have signed a production sharing contract (PSC) with Mexico’s National Hydrocarbons Commission (CNH) for Block 30 in the Gulf of Mexico.

Sapura Energy described Block 30, within the Sureste Basin, as a proven and prolific hydrocarbon province in the Gulf of Mexico.

The consortium had outbid six other bidders at the recently concluded bid round.

The signing ceremony took place in Mexico City on Wednesday where Sapura Energy was represented by president and group chief executive officer Tan Sri Shahril Shamsuddin.

Also present was Mexico secretary of energy Pedro Joaquín Coldwell and CNH commissioner president Juan Carlos Zepeda Molina.

“We are proud to be the only Malaysian company to be awarded during this bidding round, together with our partners.

“This is a significant milestone for the Sapura Energy group in reinforcing our position in the industry, establishing our presence in Mexico and growing our E&P portfolio,” Shahril said in a statement yesterday.

Block 30 is located in shallow waters of about 70 metres deep, directly to the south west of Premier’s world-class Zama discovery and to the north of the Amoca oil field.

The shallow waters operating conditions within Block 30 are similar to Malaysia where Sapura E&P is well recognised.

Sapura Energy has been operating in Mexico since late 2012 and has worked closely with Mexico state-owned petroleum company, Petróleos Mexicanos, on a number of offshore projects.

Under the bidding agreement for the block, Sapura E&P will own a 30 per cent equity, DEA 40 per cent and Premier 30 per cent.