PETRONAS grants Seascape Energy a 547 sq km acreage extension to its Temaris gas block in offshore Malaysia
Seascape Energy has received a Letter of Agreement from PETRONAS — through Malaysia Petroleum Management — approving a 547 sq km expansion of its Temaris Cluster Small Field Asset PSC in shallow-water offshore Peninsular Malaysia. The approval follows an extensive subsurface review and 3D seismic reprocessing project Seascape completed over the past year.
The extension pushes the total PSC area to approximately 1,770 sq km, a 45% increase from the original ~1,200 sq km. Seascape operates the block at 100%.
PETRONAS approves Temaris block expansion
The Letter of Agreement, issued through Malaysia Petroleum Management (MPM), adds 547 sq km to the north and east of the existing Temaris Cluster SFA PSC. The expansion is subject to final documentation, but approval in principle is a meaningful step forward for Seascape’s position in the region.
The Miocene channelized sandstone play already proven by the Tembakau and Mengkuang gas discoveries didn’t stop at the original block boundary — it kept going.
Seascape holds a 100% working interest in the block — unchanged under the extension. The company keeps full exposure to both the upside and the work commitments that come with the enlarged acreage.
Subsurface work identified the extension opportunity
This didn’t happen by accident. After PETRONAS awarded Seascape the original Temaris PSC in June 2025, the company launched a detailed subsurface review of the block and surrounding area. That included a 3D seismic reprocessing project using Full Waveform Inversion techniques — a high-end method that sharpens the resolution of subsurface imagery.
The results were significant. The Miocene channelized sandstone play already proven by the Tembakau and Mengkuang gas discoveries didn’t stop at the original block boundary — it kept going. These channel features produce a strong seismic amplitude response when gas-charged, and Seascape identified them across multiple horizons in the newly extended area. PETRONAS concluded that pursuing those resources under a single, unified PSC made more sense than splitting them across separate agreements.
Prospective resources could double; new seismic data expected
The original Temaris PSC was already carrying real exploration upside. An independent Competent Person’s Report (CPR) had identified approximately 1 Tcf (1,000 bcf) of net mean Prospective Resources across multiple trapping styles and horizons on the block.
With the extension agreed, Seascape has commissioned Sproule ERCE to update that CPR, with the revised report expected in Q4 2026. The updated assessment could approximately double net mean Prospective Resources to around 2 Tcf — though that figure stays preliminary until the new analysis is complete.
PETRONAS has also indicated it plans to provide Seascape with new 3D seismic data over the extension area, expected to be acquired in late 2026 as part of a broader regional program. Seascape says the data could help de-risk a possible extension of the Mengkuang discovery, which currently carries 2C resources of 29 bcf and has so far only been identified on older 2D seismic.
Work commitments and farm-out process restarted
The extension comes with additional work commitments: Seascape will need to process the incoming 3D seismic data and drill a contingent exploration well in the extension area. The firm financial commitment tied to those obligations, the company says, can be covered by existing cash resources. No new funding required.
The farm-out process — paused while the extension was being negotiated — has now restarted. Seascape had previously held off on bringing in a strategic partner until the enlarged acreage picture was clearer, reasoning that waiting would better protect stakeholder value. With the extension agreed in principle, the company reports strong interest in the process.
Seascape’s goal is to bring a partner into the Temaris PSC before submitting its Field Development Approval Plan (FDAP), targeted for late Q4 2026. That timeline lines up with the expected delivery of both the updated CPR and the new 3D seismic data.
Background: Temaris PSC and the Malay basin context
The Temaris PSC was originally awarded to Seascape in June 2025 under the Discovered Resource Opportunity element of Malaysia’s MBR 2025 licensing round. The block sits in shallow water — on the western flank of the Malay basin, offshore Peninsular Malaysia. It’s a mature, well-understood producing region, which takes some of the geological uncertainty off the table compared to frontier exploration.
The extension falls under the same enhanced Small Field Asset PSC fiscal terms as the original block. That matters because it means Seascape can pursue the full extent of the play under a single, consistent fiscal framework, with no need to negotiate separate terms for the additional acreage.
Pierre Eliet, Seascape’s Malaysia Country Chair and Executive Director, pointed to the broader market context when commenting on the deal. He noted that the value of Asian gas into Asian markets is becoming increasingly clear, and that stable jurisdictions with strong demand growth are drawing renewed industry attention. He described the extension as evidence of PETRONAS’s confidence in Seascape as an operator in the Malay basin.
What the Temaris expansion means in practice
Put it all together and the Temaris extension adds real scale to what was already a notable asset for Seascape. The block has grown by 45%, prospective resources could approach 1 TCF once the updated CPR lands, and new 3D seismic data — funded by PETRONAS as part of a regional program — is on the way. The farm-out process is back on track, with a partner targeted before the FDAP submission deadline. Final documentation still needs to be executed, but the direction is clear.
Kelly is an experienced writer with 15 years of experience exploring the big stories that shape our world, from tech breakthroughs and space exploration to climate, energy, and the fascinating quirks of science. She has a talent for turning complex ideas into sharp, memorable insights that stay with readers long after they’ve finished reading.
