Asia (including Middle East and Russia)
Shell and the Brunei government are 50:50 shareholders in Brunei Shell Petroleum Company Sendirian Berhad (BSP). BSP has long-term oil and gas concession rights onshore and offshore Brunei, and sells most of its gas production to Brunei LNG Sendirian Berhad (BLNG, Shell interest 25%).
In addition to our interest in BSP, we are the operator for the Block A concession (Shell interest 53.9%), which is under exploration and development, and also the operator for exploration Block Q (Shell interest 50%). We have a 35% non-operating interest in the Block B concession, where gas and condensate are produced from the Maharaja Lela field.
We also have non-operating interests in deep-water exploration Block CA-2 (Shell interest 12.5%) and in exploration Block N (Shell interest 50%), both under production-sharing contracts (PSCs).
Shell transactions with Iran are disclosed separately. See RDS Form 20-F for the year ended December 31, 2015.
We have a 45% interest in the Majnoon oil field that we operate under a technical service contract that expires in 2030. The other shareholders in Majnoon are PETRONAS (30%) and the Iraqi government (25%), which is represented by the Missan Oil Company. Majnoon is located in southern Iraq and is one of the world’s largest oil fields. Production at Majnoon averaged 211 thousand boe/d in 2014 and 06 thousand boe/d in 2015.
We also have a 20% interest in the West Qurna 1 field, which is operated by ExxonMobil.
According to the provisions of both contracts, our equity entitlement volumes will be lower than our interest implies.
We also have a 44% interest in the Basrah Gas Company, which gathers, treats and processes associated gas produced from the Rumaila, West Qurna 1 and Zubair fields, that was previously being flared. The processed gas and associated products, such as condensate and liquefied petroleum gas (LPG), are sold primarily to the domestic market with the potential to export any surplus.
We are the joint operator of the onshore Karachaganak oil and gas condensate field (Shell interest 29.25%), where we have a licence through to the end of 2037. Karachaganak is one of the largest condensate fields in the world and currently produces around 390 thousand boe/d.
We have a 16.8% interest in the North Caspian Production Sharing Agreement which covers the offshore Kashagan field, where the North Caspian Operating Company is the operator. This shallow-water field covers an area of approximately 3,400 square kilometres. Phase 1 development of the field is expected to lead to plateau production of about 370 kboe/d, on a 100% basis, with the possibility of increasing further with additional phases of development.
Following the completion of pipeline replacement and other preparation activities, the operator expects production to start around the end of 2016.
We also have an interest of 55% in the Pearls PSC, covering an area of approximately 900 square kilometres in the Kazakh sector of the Caspian Sea. It includes two oil discoveries, Auezov and Khazar.
We also have a 7.43% interest in Caspian Pipeline Consortium, which owns an oil pipeline running from the Caspian Sea to the Black Sea across parts of Kazakhstan and Russia.
We explore for and produce oil and gas offshore Sabah and Sarawak under 18 PSCs, in which our interests range from 20% to 85%.
Offshore Sabah, we operate five producing oil fields (Shell interests ranging from 29% to 50%). These include the Gumusut-Kakap deep-water field (Shell interest 29%) where production via a dedicated floating production system commenced in 2014. We have additional interests ranging from 30% to 50% in PSCs for the exploration and development of four blocks. These include the Malikai deep-water field (Shell interest 35%), which we are developing as the operator. We also have a 21% interest in the Siakap North-Petai deep-water field and a 30% interest in the Kebabangan field, neither of which we operate.
Offshore Sarawak, we are the operator of 12 producing gas fields (Shell interests ranging from 37.5% to 70%). Nearly all of the gas produced is supplied to Malaysia LNG in Bintulu, where we have a 15% interest in the Tiga LNG joint venture, and to our Shell Middle Distillate Synthesis GTL plant in Bintulu.
We also have a 40% interest in the 2011 Baram Delta EOR PSC and a 50% interest in Block SK-307. Additionally, we have interests in five exploration PSCs: deep-water block 2B, SK318, SK319, SK320 and SK408.
We have a 34% interest in Petroleum Development Oman (PDO); the Omani government has a 60% interest. PDO is the operator of more than 160 oil fields, mainly located in central and southern Oman over an area of 114,000 square kilometres. The concession expires in 2044.
We are also participating in the Mukhaizna oil field (Shell interest 17%).
United Arab Emirates
In Abu Dhabi, we have a 15% interest in the licence of Abu Dhabi Gas Industries Limited (GASCO), which expires in 2028. GASCO exports propane, butane and heavier-liquid hydrocarbons, which it extracts from the wet gas associated with the oil produced by the Abu Dhabi Company for Onshore Oil Operations (ADCO).
We were working with ADNOC on the development of the Bab sour gas reservoirs in Abu Dhabi (Shell interest 40%). However, following a careful and thorough evaluation of technical challenges and costs, we have decided to exit the joint development of the Bab sour gas reservoirs with ADNOC and to stop further work on the project.
Rest of Asia
We also have interests in areas of Palestinian Authority, Jordan, Kuwait, Mongolia, Myanmar, the Philippines and Turkey.