ExxonMobil reported Monday that its Malaysian subsidiary has begun gas production from the Telok field, located offshore Malaysia in the South China Sea.
The Telok A platform marks the first phase of the Telok gas development project. It was developed under a gas production sharing contract between Exxon (the operator), Petronas Carigali (PCSB) and Petronas. ExxonMobil and PCSB each hold a 50-percent interest in the project.
The development of the Telok field has been advanced by these companies in order to meet increasing demand for natural gas in Peninsular Malaysia. It is one of several upstream investments announced under Malaysia's Economic Transformation Programme of 2011 – which will see ExxonMobil and PCSB invest more than $3.2 billion in new oil and gas assets to help ensure reliable and sustainable energy supplies for the country.
ExxonMobil Exploration and Production Malaysia President J. Hunter Farris commented in a company statement:
"The Telok project is another successful example of collaboration between ExxonMobil and PCSB in meeting Malaysia’s growing energy needs for the power and industrial sector.
"ExxonMobil is committed to ensuring reliable gas supplies to the nation and to using international best practices to enhance our operations in Malaysia."