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Shell Contributes To FADs To Compensate Deepwater Drilling Activity ff

22 July 2013 Malaysia

Shell Malaysia will contribute RM 450,000 (USD 141,500) for the Fish Aggregation Device (FAD) project, giving a major boost to fisherman in Sabah.

In announcing this, Shell Chairman Iain Lo said the company initiated the FAD project to promote and create new fishing grounds, away from the restricted area of its deepwater platform.

This. he added, is to provide the community with an alternative, safe and sustainable fishing grounds.

In this respect, a memorandum of understanding (MoU) for the FAD project in Gumusut-Kakap, was signed today between Shell Malaysia and the Sabah Department of Fisheries.

Sabah Deputy Minister Datuk Seri Yahya Hussin who is also State Agriculture and Food Industry Minister, witnessed the signing of the MoU by Sabah Department of Fisheries Director, Rayner Stuel Galid and Lo here.

Under the MoU, alternative and sustainable fish catch areas will be created by the Fisheries Department with funding from Shell.

The state agency will be responsible for the management of the FAD project, including the participation of the fishermen.

The FAD project will be implemented a safe distance away from the Gumusut-Kakap deepwater development, which is Shell’s first deepwater initiative in Malaysia, and located 120 km offshore Sabah.

It will also ensure the sustainable livelihood and continued safety of affected fishermen in the Gumusut-Kakap area.

The installation of the region’s first semi-submersible Floating Production System (FPS) at the Gumusut-Kakap field is currently ongoing.

The Sabah Shell Petroleum Company Ltd operates the field in partnership with Petronas Carigali Sdn Bhd, ConocoPhilips Sabah Ltd and Murphy Sabah Oil Co Ltd.

“Our priority is, and always will be safety. Our resolve is also that our activities, both onshore and offshore, do not interrupt the livelihood of the communities we operate in,” Lo said.

He added that the FAD project could bring long term benefits to the fishing operators in the affected area, whose catch involves mainly yellow fin tuna.

The community project showcases a strong working relationship between Shell and the Sabah government in areas of sustainable livelihood.

Besides the FAD project, Shell also works closely with other partners, including non-governmental organisations, in other sustainable livelihood and environmental programmes in Sabah.

On the Gumusut-Kakap deepwater development, Lo said Shell Malaysia had successfully completed the tow-out of the FPS from Pasir Gudang to Sabah waters last month.

“It is now in the process of being installed with the mooring successfully completed,” he added.