Sarawak to give its oil law more bite

September 19, 2018

Dateline 2018-07-04, Malay Mail:

he Sarawak Oil Mining Ordinance 1958 (SOMO) seeks to bar any company or person from building, erecting and decommissioning any mining structure within Sarawak’s territorial boundary, unless authorised in writing by the State Minerals Mining Authority.

A maximum penalty of RM250,000 or an imprisonment of three years or both upon conviction await any person or company who fails to comply with the provision.

This is one of the provisions to be included in the Sarawak Oil Mining Ordinance 1958, which will be tabled for amendments at next week’s sitting of the Sarawak State Assembly.


IEM Shout Out – 2018-10 Two Day Course on Understanding Process Control For Oil & Gas Production Operators, Technicians And Engineers

September 17, 2018

My technical division will be hosting a 2 day course on the 16th and 17th October 2018. It is worth 13 CPD points, and held at Wisma IEM. The course will be presented by Associate Professor Dr. Syamsul Rizal Abd. Shukor, Associate Professor Ir. Dr. Zainal Ahmad and Ir. Dr. John Eow.

The oil & gas production processes (such as sand separation, produced water treatment, seawater filtration, crude oil and gas treatment) require reliable monitoring and control strategy to maintain optimum operational performance. Moreover, process operations are always being affected by disturbances, which negatively affect product quality and cause unplanned process shutdown. Therefore, a good understanding and competency on the major oil & gas production process operations and control are vital for the production personnel. This 2-day course is designed to educate the participants on the engineering design and process control practices in the oil & gas production processes, such as sand separation, produced water treatment, and crude oil desalting.

The course will cover the following major topics:
• Introduction to Oil & Gas Production Processes (such as sand separation, produced water treatment, crude oil treatment, etc.)
• Basics of Process Control
• Process Characteristics: Static and Dynamic
• Final Control Elements
• Controller Algorithm and Controller Tuning
• Single & Multiple Control Loops

Upon completion, the participants will be able to understand the process control fundamentals related to oil & gas production processes.   Moreover, they will have the basic knowledge to apply the process control concepts in monitoring their production process performance, and for better controller tuning to optimize their production outputs.

Register here, or download the form here.


Petronas maintains it has exclusive ownership on petroleum resources

September 16, 2018

Dateline 2018-07-02, FMT:

Petronas maintains that it has exclusive ownership of the petroleum resources in Malaysia and is the sole regulator of the upstream sector in the country.

It said this in reference to a press statement by the Sarawak chief minister’s office yesterday on the state government’s intent to exercise its power under the relevant laws relating to oil and gas activities in the state.

Moving forward, Petronas said it would closely monitor the situation, including seeking views and guidance from the federal government, being the sole shareholder of Petronas, in carrying out its duties.

 


Sidek Hassan retires as chairman of Petronas

September 15, 2018

For the historical record:

Dateline 2018-07-02, Business Times:

PETRONAS, Malaysia’s national oil company (NOC) confirmed on Monday that Sidek Hassan has stepped down as chairman of its board.

Petronas  stopped short of identifying Mr Sidek’s successor though Malaysian media have earlier speculated that Hassan Marican – now chairman of Sembcorp Marine, Singapore Power and Pavilion Energy – may return to helm the NOC’s board.


Testing time for Petronas

September 12, 2018

Dateline 2018-06-30, NST:

THE Sarawak government is expected to enforce the Oil and Mining Ordinance 1958 (OMO 1958) tomorrow after Petroliam Nasional Bhd (Petronas) was denied leave to commence legal proceedings to seek a declaration on the Petroleum Development Act 1974 (PDA) being the law applicable for the petroleum industry in Malaysia.

Petronas is seeking a declaration that it is the exclusive owner of the petroleum resources and the sole regulator for the upstream industry in Malaysia while the state government is seeking to regulate the oil and gas (O&G) industry based on its laws — OMO 1958, the Land Code of Sarawak and the Gas Distribution Ordinance 2016.

The national oil company believes that the determination by the Federal Court would help provide clarity on its rights and position under the PDA.

Legal firm Azmi & Associates partner Zuhaidi Mohd Shahari said Petronas’ authority as the regulatory body in petroleum and gas in Malaysia as provided for under PDA1974 had never been really contested.

“What Petronas did was to seek declaration that the PDA supersedes the Sarawak state laws on mining. Unfortunately, the Federal Court did not grant (permission) for that suit to be heard by the Federal Court.

 


Kelantan thanks federal govt for oil royalties

September 11, 2018

Short and to the point.

Dateline 2018-06-25, The Malaysian Insight:

THE Kelantan government is grateful to the federal government for agreeing to give it oil royalties, as stated by Prime Minister Dr Mahathir Mohamad during a recent National Finance Council meeting.

Menteri Besar Ahmad Yakob said in a statement today that he had called on Dr Mahathir at the premier’s office at Perdana Putra, Putrajaya.


Not necessary to file case over O&G rights in High Court, says Abd Karim

September 10, 2018

And.. it’s a slow news cycle.

Dateline 2018-06-25, Borneo Post Online:

The Sarawak government does not have to file a case in the High Court to reclaim its rights over oil and gas in the state, said Tourism, Arts, Culture, Youth and Sports Minister Datuk Abdul Karim Rahman Hamzah.

He pointed out that this is because Sarawak has its own special law that’s applicable in the state, namely the Oil Mining Ordinance (OMO).

“We have always felt that the OMO can still be used. But on the other side, Petronas feels that the OMO has already been repealed when the Petroleum Development Act (PDA) 1974 was introduced.

“So, why should we be the one to bring the matter to court when the aggrieved party, those who feel that the OMO is not applicable is Petronas?” he questioned when asked to comment on whether the Sarawak government should file a case in the High Court if it is serious about reclaiming its rights over oil and gas in Sarawak.