Murphy Oil's Kikeh a Project of Many "Firsts"

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Malaysians took an active role in the development of the first deepwater project in their country.

In the Malaysian language, "Kikeh" is the name of a small fish. But in the oil industry, Kikeh meant a landmark project for Murphy Sabah Oil Co. with many industry firsts accomplished.

Located in Southeast Asia offshore the Malaysian state of Sabah in 1,320 meters of water, Kikeh'slist of honors include: first deepwater development in Malaysia, first SPAR construction in Malaysia, first floatover topside for a SPAR facility, first SPAR installed outside of the Gulf of Mexico, first application of a Fluid Transfer Line (FTL) using a Gravity Actuated Pipe (GAP) and first application of a Tender Assist Drilling Rig in conjunction with the SPAR.

Additionally, Kikeh FPSO was the largest ever FPSO conversion in Malaysia with the largest ever external turret design on an FPSO. Kikeh also was the fastest ever stand-along international deepwater development property from discovery to production and produced best in class well completion in 11 days for the subsea well and 13 days from the SPAR.

In cooperation with local partner Petronas Carigali, Murphy achieved first oil in August 2007, five years after the first well was drilled in 2002. "Kikeh's legacy is that it has made Malaysia a deepwater hub for Southeast Asia," said Tengku Saifuzzaman, commercial manager for Murphy Sabah. "Kikeh was a base to build success for Malaysians through technology and knowledge transfer. Many new Malaysian companies have built on their involvement with Kikeh to expand their presence in the industry."

Currently, Kikeh is producing 9.8 million barrels of oil/day with peak production predicted at 120,000 bopd by early next year. 

"Kikeh sets the standard for deepwater development in Southeast Asia," said Mike McFadyen, general manager of Murphy Sabah Oil. "It was an on-time, on-budget project delivered without any major accidents."

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