Page 11 - AsianOil Week 16 2022

AsianOil SOUTHEAST ASIA AsianOil

NPCC-Technip partners secure CCS

contract with Malaysia’s Petronas

ENERGY PETRONAS Carigali, a subsidiary of Malay- work scope includes laying an 85-km-long pipe-
TRANSITION sia’s state-owned Petronas, has awarded a line from the central processing platform to the
major FEED contract for a carbon capture and existing E11R-A platform. That contract will be
storage (CCS) project at the Kasawari gas field executed by a MMHE and TechnipFMC joint
in Sarawak to the NPCC-Technip Energies venture.
consortium. Honeywell UOP has been contracted to pro-
The Kasawari CCS project is so far one of vide technology to remove contaminants such as
the world’s largest. It will be designed to capture carbon dioxide, hydrogen sulphide and mercury
and store 3.7mn tonnes per year (tpy) of carbon from the natural gas.
dioxide (CO2). Start-up for the CCS scheme is This is the first foray by the NPCC, the Abu
Gas output from the scheduled for 2025. Dhabi-based National Petroleum Construc-
Kasawari field has high Located in the South China Sea in 108 metres tion Co., and Technip Energies consortium into
carbon dioxide content. of water, the Kasawari gas field was discovered in Southeast Asia. NPCC is a subsidiary the UAE’s
late 2011 and is estimated to hold 3 trillion cubic National Marine Dredging Company (NMDC).
feet (85bn cubic metres) of recoverable reserves, In a joint press release, the two companies
but contains large volumes of CO2. Develop- expressed their determination to participate in
ment is underway, with production set to begin energy transition projects.
in 2023. Targeted output should reach 900mn NPCC CEO Ahmed Al Dhaheri said both
cubic feet (25.5mn cubic metres) per day. The gas companies “have aligned plans and strategies for
will be transported by subsea pipeline to the Bin- the renewable and decarbonisation sector, which
tulu LNG complex located 200 km to the south. enabled us to win the contract for one of the larg-
Malaysia Marine and Heavy Engineering est CCS projects in the world.”
(MMHE) was awarded the engineering, pro- The consortium also plans to co-operate in
curement, construction, installation, and com- blue and green hydrogen and related decarbon-
missioning (EPCIC) contract for Kasawari isation projects, Technip Energies CEO Amaud
development in July 2019. That includes the Pieton said in the statement. This includes waste-
construction of a central processing platform, to-energy, biorefining, biochemistry, ammonia
a wellhead platform and a flare structure. The and other energy transition projects, he said.™

EAST ASIA

CNOOC Ltd shares soar in Shanghai debut

PERFORMANCE SHARES in China’s CNOOC Ltd jumped 44% a strict lockdown and China battles to adapt its
in their debut on the Shanghai Stock Exchange coronavirus (COVID-19) strategy to the much
on April 21. The initial public offering (IPO) was more transmissible Omicron variant. However,
China’s largest this year and comes after the com- financial services in the city have continued to
pany was forced to delist in the US over concerns operate through a mix of staff working from home
related to national security. and staying in their offices throughout the lock-
CNOOC’s shares were priced at CNY10.80 down, which has been in place since late March.
($1.66) and reached a high of CNY15.55 ($2.39) CNOOC is also listed in Hong Kong, where
during the first day of trading. This triggered a its shares fell 4% at the same time. It is the only
brief halt in trading as a price ceiling was hit. The one of China’s state-owned oil companies to be
stock closed up 27.7%. subject to US sanctions, but is not alone among
“CNOOC is being chased by investors who Chinese players across multiple sectors in delis-
are seeking shelter in big caps with relatively low ting in the US to pursue “homecoming” listings
valuation and high dividends,” First Shanghai in Hong Kong or Shanghai instead.
Group’s chief strategist, Linus Yip, was quoted by CNOOC’s delisting from the New York Stock
Reuters as saying. “The stock also whets market Exchange (NYSE) came in October 2021, with
appetite at a time when oil prices are climbing the company having to comply with an execu-
and inflation accelerating.” tive order issued by US President Donald Trump
The company raised CNY28bn ($4.3bn) in its prior to his exit from office. Under that executive
IPO. It intends to use the proceeds to fund seven order, US investment in companies deemed to
oilfield projects in China and overseas, as well as be part of China’s “military-industrial complex”
one gas project, and to replenish capital. were banned. CNOOC unsuccessfully appealed
The listing comes as Shanghai remains under against the delisting.™

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