Oil in Brunei

The first well was drilled in Brunei in 1899, but unfortunately no oil was discovered.

In 1910, oil was discovered in the neighbouring district of Sarawak, Miri. That renewed the interest, and in 1911, a number of companies were given oil prospecting and mining rights to find oil in Brunei Darussalam.

Up to 1923, in 12 years all oil wells in all the districts were dry. As a result all companies abandoned their operations with the exception of Shell.

Then in 1926 some Shell workers were visiting Seria region and smelled oil. The area was unknown and was described as a swamp and the conditions was terrible. The analyst at Shell Headquarters in Holland indicated that it was methane and ethane gas indicating the possibility of oil and gas.

The first proper oil well named S-1 was drilled on land July 1928 near the beach and struck oil and gas at 974 feet when it began flowing. And the rest is history. ...