$8.5bn worth of Southeast Asia oil and gas projects eye FID in 2022, but delays likely, says Rystad

$8.5bn worth of Southeast Asia oil and gas projects eye FID in 2022, but delays likely, says Rystad

Upstream oil and gas projects with over 1.4 billion barrels of resources and $8.5 billion worth of greenfield investments are targeted for final investment decisions (FIDs) in Southeast Asia this year, based on operators’ plans, reported Rystad Energy. However, delays are likely with more activity expected to happen next year, noted the energy consultancy.

Malaysia has been at the forefront of new projects in the region in recent years, followed by Indonesia and Myanmar. This year, Vietnam is set to sail up as a major driver with 40% of the FIDs targeted in 2022. Malaysia and Indonesia account for 30% each.

There is, however, doubt over whether some of these projects will reach FID this year. Over 70% of the resources can potentially face delays in their currently targeted FID timeline, cautioned Rystad.