Marginal Field Development: Evaluation of Offshore Developments

Offshore marginal fields historically have been discoveries that have not been pursued due to factors such as size of field, lack of infrastructures, product incompatibility with the nearest host or uneconomic assets. However, according to Energy Information Administration Report (2021), Malaysia’s total liquid field production have been declining since reaching peak of 762,000 b/d in 20161. To offset the decline, marginal fields are being considered. This trend is also being echoed in other Asian oil and gas producing nations. Through the advancement of technology, standardization and focus on cost control during the last oil downturn; marginal fields are now seen as economically viable and are being sanctioned to keep up with the falling production demand. These fields are typically developed via the use of minimum often unmanned wellhead platform or through Jack up Shallow water Subsea systems. It is a vital consideration for the operator to make in selecting either of the methodologies or a combination of the two. The offshore marginal fields being classified here are usually based in shallower water depth (<100m) and have 7-12 years production lifespan. The aim of this paper is to highlight key technical considerations that will assist the operator in making informed decision to develop the marginal fields using Integrated offshore solutions (IOS). Case study scenario is presented in which the operator was able to optimize their field layout, perform equipment selection by leveraging standardization and engineering and focus on minimizing installation and completion timelines.