Oil and gas industry likely to consolidate amid low oil prices, says Deloitte

February 2, 2016

Dateline 2015-12-21, The Malay Mail:

The oil and gas industry is expected to consolidate amid the pervasive low oil prices which have led to reduced investments and slower production rates, said Deloitte Malaysia.

“The effect has been highlighted by mature oil fields, marginal oil fields and high cost of exploration that runs long term for potential deep water assets, which have a high break-even point.

“Falling oil prices are forcing oil and gas companies to seriously review the economics or defer these capital-intensive projects,” its Energy & Resources Leader Nizar Najib said in a statement.

Nizar said although new refining projects in Sabah and Johor will significantly increase Malaysia’s refining capabilities as part of the government’s agenda to become a regional oil and gas hub by 2020, falling oil prices, consolidation in the industry and subdued domestic consumption may have a negative impact on the sector, at least in the medium term.

…

Leave a Comment » | business opportunity, Malaysia | Permalink
Posted by Wata

Govt focusing on TPA framework to liberalise gas market

February 2, 2016

Add more meters, please, so I can do an uncertainty calculation.

Dateline 2016-04-27, The Star:

The Government is focusing on getting the necessary framework in place for third party access (TPA) to pave the way for the liberalisation of the gas market in Peninsular Malaysia.

It will also push for rationalisation and subsequent deregulation of gas price in a move towards a market-based pricing of energy, the Performance Management and Delivery Unit (Pemandu) said in the National Transformation Programme Annual Report 2015 released on Tuesday.

“The advent of market liberalisation will facilitate the entry of new industry players, encourage more efficient utilisation, and benefit customers by enabling competitive gas pricing,” the report said.

…

 

Leave a Comment » | Malaysia, oil and gas | Permalink
Posted by Wata

Saturday Star 2016-01-30– Job Opportunities

February 1, 2016

Happy Umrah Week. Donate to your favourite charity (me), buy my recommendations, or through my Amazon store. Or get the Young Turks series (all 4 books). Where are those corporate sponsors? Or throw donations at me, my camera dive case flooded, and I need a new replacement. Heck, if you want to send me a Canon 5D Mk III plus dive case, I will not say no.

  • I’m looking for jobs for 2Q2016. Send me your POs.
  • An associate of mine is looking for a technical safety part-time adviser. 2 Associates, actually. Needs to be needle sharp with respect to QRAs, and HSE safety cases. A calm demeanor to handle nonsensical questions from young engineers helps as well. Either that, or a drinking problem.
  • Nothing in the papers this week. See Happy note above.

Support your local bookshop!  Bookalicious at The Summit Subang is a good choice. I think they focus on trilogies, quadrilogies, and other ologies. Tell them I sent you, and enjoy the look of perplexity on their faces. Those of you who have dropped my name, thanks!

Food choice of the week? Any weight loss diet.

During these trying times, perhaps you should focus on self improvement. The following are a good set of books to start automating your uncertainty budget tables.

The Cartoon Guide to Statistics, Hands-On Start to Wolfram Mathematica, Doubt-Free Uncertainty In Measurement: An Introduction for Engineers and Students

Leave a Comment » | Malaysia, oil and gas | Permalink
Posted by Wata

PETRONAS Carves Role as a Pioneer in Southeast Asia’s Offshore EOR

January 31, 2016

Nice to see PETRONAS in the news, in a positive light. Kipidap! (that’s to annoy my children). Though on second reading… 2014?

Dateline 2015-01-29, Rigzone:

Southeast Asia’s largest offshore Enhanced Oil Recovery (EOR) project, costing $2.5 billion, became operational at Malaysia’s Tapis field in September 2014, marking the culmination of a three decade-long journey for the country’s national oil company (NOC) Petroliam Nasional Berhad (PETRONAS).

The firm became interested in EOR in 1986 when a study was made for Malaysian oilfields. But another decade passed before the first EOR evaluation took place at the Dulang field offshore Terengganu. In 2002, PETRONAS designated EOR as a strategic project, a move enabling the initiative to secure the necessary direction and funding, paving the way to realize the Tapis project.

The Tapis project, undertaken by PETRONAS Carigali Sdn Bhd and ExxonMobil Exploration and Production Malaysia Inc. in a 50:50 joint venture, is also one of the world’s largest water alternating gas (WAG) offshore EOR developments.

…

 

Leave a Comment » | Malaysia | Tagged: , , , , | Permalink
Posted by Wata

Jeffrey: Borneo states may turn against Najib if ignored

January 30, 2016

And the shrinking income cake is asked to be recut:

Dateline 2015-12-29, FMT:

…

Briefly, Jeffrey wants Umno to halt its politics of race and religion fueling its divide-and-rule tactics to cover up the plundering of the economy, defer the GST or at least reduce it to 2 per cent from the current 6 per cent, and exempt Sabah and Sarawak from the consumption tax. “Sabah is also entitled to 40 per cent net revenue entitlement under the Federal Constitution and other financial rights like 10 per cent export duty and 10 per cent import and excise duty on petroleum products.”

“The measly 5 per cent oil royalty should also be reconsidered in the wake of the emergency laws being done away with and the Petroleum Development Act and the oil agreement being considered redundant as a result.”

…

Leave a Comment » | Malaysia, oil and gas | Permalink
Posted by Wata

Office space blues from oil and gas companies

January 29, 2016

Hey, I was part of the expat (pick your country) nightshift that helped move people into the building.

Dateline 2015-12-29, The Star:

The bleak long-term outlook of oil prices has gotten companies with operations in the Kuala Lumpur city centre readjusting their priorities in line with the situation.

ExxonMobil Exploration and Production Malaysia Inc is likely to join the list of companies that have embarked on cost cutting measures particularly in terms of office space.

Sources said the company may return several floors of a building it currently occupied in the city centre to KLCC Property Holdings Bhd (KLCCP) once its tenancy agreement expires in January 2017.

The 29-storey Menara ExxonMobil, which is next to the Petronas Twin Tower, has been leased to the company since 1997 and the oil and gas (O&G) giant is looking at occupying up to only half of the building.

…

Leave a Comment » | investment, Malaysia, oil and gas | Tagged: | Permalink
Posted by Wata

OPEC: Four more years of cheap oil

January 28, 2016

It takes that long to kill Western producers, eh? And PETRONAS, while you’re at it.

Dateline 2015-12-24, FMT:

The OPEC oil cartel sees only a gradual improvement in the global crude market, with prices recovering to above $70 per barrel after four years, according to a report released Wednesday.

With the global benchmark oil price touching an 11-year low of $36.04 on Monday, the cartel which produces a third of the world’s crude said that it foresees a “gradual improvement in market conditions as growing demand and slower than previously expected non-OPEC supply growth eliminate the existing oversupply and lead to a more balanced market”.

The Organization of the Petroleum Exporting Countries, in its annual World Oil Outlook report, bases its reference scenario on $70.70 for a barrel of crude in 2020 and $95 in 2040.

Those projections represent a sharp drop in market value compared to last year’s report, which predicted a nominal price of $110 for the rest of this decade.

The oil market has been rife with drama over the past year and a half as OPEC abandoned its policy of cutting production to support prices, with the price of a barrel of crude plunging more than 60 percent.

…

Leave a Comment » | Malaysia, oil and gas | Tagged: | Permalink
Posted by Wata

Marketing Rounds – Where are the Floaters?

January 27, 2016

If you were wondering where the oil & gas industry stores floaters in the off season, wonder no more.

These were the entries to the UTP OGCE competition, and they were from secondary schools. Us jaded old timers could do well to learn from the young ‘uns. Give some love to your local school, whether monetary, time or engaging the minds of that generation.

Leave a Comment » | Chemical, Malaysia, oil and gas | Tagged: , | Permalink
Posted by Wata

Saturday Star 2016-01-23– Job Opportunities

January 25, 2016

Happy 30 dollars a barrel week (we really, really hope). Donate to your favourite charity (me), buy my recommendations, or through my Amazon store. Or get the Young Turks series (all 4 books). Where are those corporate sponsors? Or throw donations at me, my camera dive case flooded, and I need a new replacement. Heck, if you want to send me a Canon 5D Mk III plus dive case, I will not say no.

  • I’m looking for jobs for 2Q2016. Send me your POs.
  • An associate of mine is looking for a technical safety part-time adviser. 2 Associates, actually. Needs to be needle sharp with respect to QRAs, and HSE safety cases. A calm demeanor to handle nonsensical questions from young engineers helps as well. Either that, or a drinking problem.
  • Nothing in the papers this week. See Happy note above.

Support your local bookshop!  Bookalicious at The Summit Subang is a good choice. I think they focus on trilogies, quadrilogies, and other ologies. Tell them I sent you, and enjoy the look of perplexity on their faces. Those of you who have dropped my name, thanks!

Food choice of the week? Any weight loss diet.

During these trying times, perhaps you should focus on self improvement. The following are a good set of books to start automating your uncertainty budget tables.

The Cartoon Guide to Statistics, Hands-On Start to Wolfram Mathematica, Doubt-Free Uncertainty In Measurement: An Introduction for Engineers and Students

Leave a Comment » | Malaysia, oil and gas | Permalink
Posted by Wata

‘Investors should focus on downstream O&G’

January 24, 2016

I’ve been saying this since mid-Nov 2015. Maybe not in Malaysia, though.

Dateline 2015-12-22, Borneo Post:

Although the upstream sub-segment of the oil and gas (O&G) value chain remains depressed as exploration and production (E&P) capex are being reduced by many major oil producers, Malaysia’s downstream sub-segment industry is expected to remain robust.

MIDF Amanah Investment Bank Bhd (MIDF Research) said moving into 2016 and into 2017, works and activity levels at the RM90 billion Refinery and Petrochemical Integrated Development (RAPID) Project within the Pengerang Integrated Petroleum Complex (PIPC) are expected to be at its peak.

“As such, key beneficiaries are oil and gas companies which have downstream specialties such as KNM Group Berhad and Muhibbah Engineering Berhad,” it detailled in a report yesterday.

“Channel checks indicate that there could be a possibility of reallocation of staff by Petronas towards its downstream segments to prepare for the commencement of RAPID in Pengerang by 2019.

…

Leave a Comment » | investment, Malaysia | Tagged: | Permalink
Posted by Wata

« Previous Entries
Next Entries »