PTT cancels Malaysia venture Projects in China and Indonesia to go ahead

April 1, 2014

Investment interruptus? Not a good sign for Pengerang.

Dateline 2014-02-22, Bangkok Post:

The SET-listed PTT Global Chemical Plc (PTTGC), Thailand’s largest petrochemical producer, has decided to cancel its US$200-million petrochemical project in Malaysia due to lower-than-expected returns.

Through a joint venture with the Malaysian national oil and gas company Petronas and Japan’s Itochu Corporation, the downstream petrochemical project in Pengerang, Johor state, is set to produce polyol and poly carbonate for the automotive parts industry.

The three investment partners signed a “head of agreement” in Malaysia in May 2012.

Bowon Vongsinudom, PTTGC’s chief executive and president, yesterday said the feasibility study showed that the project has Internal Rate of Return (IRR) of less than 15%.

”That IRR is not justified under our benchmarked investment return,” he said.

…

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

Once ‘open’ Petronas now ‘closed’ to Borneo

March 8, 2014

Really? I thought that there was a pretty good clampdown in Sabah and Sarawak, with other Malaysians requiring a work permit to work there. I guess they should increase the cost of coffee to give these permits out to applicants from the Western Eleven?

Dateline 2014-01-28, FMT:

National oil and gas company, Petronas, which was once transparent and receptive to Sabah and Sarawakian employees underwent somekind of a  change in the 1990s, so much so that it reclused itself from Borneo, said opposition PKR.

Party vice-chairman See Chee How  said that in the past Petronas had been transparent about the number of Sarawakian workers it employed.

“But this openess diminished. There has been no disclosures in the last decade.

“Petronas was once conscientious and open with its employment of Sarawakians in the corporation’s operations in the state.

…

 

 

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

Robust O&G Malaysian sector seen in 2014

February 21, 2014

Really? Can I get an insider from PETRONAS to say the same things?

Dateline 2014-01-09:

Local oil and gas (O&G) service providers continue to be in focus after Petroliam Nasional Bhd (Petronas) started the year with a five-year umbrella contract awarded to four engineering services contractors.

Fabricators like SapuraKencana Petroleum Bhd, TH Heavy Engineering Bhd,Malaysia Marine & Heavy Engineering Holdings Bhd (MMHE) and Boustead Heavy Industries Corp Bhd were among the much-talked-about indirect beneficiaries of the contracts awarded to Technip Consultant (M) Sdn Bhd, Perunding Ranhill Worley Sdn Bhd, RNZ Integrated (M) Sdn Bhd and MMC Oil & Gas Engineering Sdn Bhd.

Petronas is expected to conduct a closed competitive bidding among the four parties to select the technically capable and commercially attractive bidder, with the work scope covering domestic upstream O&G engineering services, including front-end engineering design and detailed design works, of which generally run into multi-billion-dollar contracts.

This is part of the national oil company’s RM300bil capital expenditure budget till 2017 in a bid to reverse declining production.

…

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

CUE FOR MORE HIKES? Era of cheap energy has ended – Petronas

February 13, 2014

Dateline 2013-12-21, Malaysia Chronicle:

THE era of cheap energy has ended and Malaysia has to face the fact that it has to move on to an open market regime, targeted to be implemented by 2019, said Petroliam Nasional Bhd (Petronas).

The national oil company, by way of its wholly-owned subsidiary Petronas Gas Bhd (PGB), has recorded revenue foregone due to regulated gas pricing at a cumulative RM199.9 billion since 1997, with 2013’s first three quarters making up RM20.29 billion alone.

“What we want to do is to move our regulated gas market towards an open market so that we can enjoy competitive pricing. In order to achieve this we need to gradually phase out our regulated market module now,” said Petronas general manager for Malaysia gas management Ezhar Yazid Jaafar during a media briefing, here, recently.

He explained that in preparation for an open market module, the government is increasingly decreasing the amount of gas consumption subsidy, which has a significant impact on the increment of the electric tariff from 33.54 sen/kWj to 38.53 sen/kWj.

…

2 Comments | Malaysia, Malaysian election, oil and gas | Tagged: , | Permalink
Posted by Wata

‘Add’ call maintained for Gas Malaysia stock

February 5, 2014

Dateline 2013-12-13, The Star:

CIMB Investment Bank is maintaining its “add” call on the stock following the Government’s move to raise the price for subsidised gas used by the power sector by 10.9% or RM1.50 to RM15.20 per million metric British thermal unit (mmbtu),

At the same time, the Government has introduced the liquefied natural gas price of RM41.68/mmbtu for gas volumes above 1,000 million standard cu ft per day (mmscfd) consumed by Tenaga Nasional Bhd. This led to an increase in the average electricity tariff in Peninsular Malaysia.

…

 

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

Legal and moral duty of Sabah MPs to act: Jeffrey

November 23, 2013

Dateline 2013-10-13,Daily Express:

It is the legal duty and moral obligation of the Sabah Government and every Sabah MP to take immediate steps and by all available means to regain Sabah’s oil ownership, said Sabah Star Chief Datuk Dr Jeffrey Kitingan.

Commenting on the public debate between Tan Sri Harris Salleh and Datuk Yong Teck Lee at the Sabah Golf and Country Club on Friday night, he said the “explanation” of Harris was that he had no choice but to sign the 1976 Oil Agreement with Petronas and receive five per cent cash payment for Sabah’s oil as the Federal Government had stated that Sabah’s oil found offshore belonged to the Federal Government and signing and getting five per cent was better than getting nothing at all.

…

 

 

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

Jeffrey claims Majid’s revelations helped to confirm suspicions

November 12, 2013

Daily Express, dateline 2013-09-19:

Sabah State Reform Party (Star) said the revelations by former United National Kadazan Organisation (Unko) Deputy Secretary-General Tan Sri Majid Khan recently regarding Federal Government policy on oil proved that Federal leaders were prepared to concoct lies “to steal Sabah’s oil and gas.”

Its Chief, Datuk Dr Jeffrey Kitingan, said the explanation by Federal leaders in the 1970s that oil found on-shore belongs to Sabah while offshore belonged to the Federal Government showed that it wants Sabah’s oil and gas at all costs.

He was commenting on a talk presented by Tan Sri Majid Khan at the recent forum “The Formation of Malaysia – The Untold Story” organised by the Sabah Society.

Majid, according to Jeffrey, had said that whether it is true or lawful was another matter and it was up to the present Sabahans to take the matter to court to determine its legitimacy.

…

 

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

Rising cost a challenge for O&G industry, says Shell

October 27, 2013

I would like to be an acceptable part of the rising cost.

Dateline 2013-09-06:

Shell Malaysia, the Malaysian arm of Royal Dutch Shell plc, said costs are escalating to an extent that the profitability of some of its projects could be threatened.

“The projects will be threatened by very high cost. We need help from the Malaysian services industry to be more competitive in terms of their cost,” said Shell Malaysia chairman Ian Loh in Miri yesterday.

Loh was speaking to reporters at the official opening of the company’s Asia Pacific Wells Learning Hub in Miri, Sarawak.

He said the oil and gas (O&G) industry in Malaysia is facing a challenge on costs which requires them to find innovative ways to reduce these costs.

…

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

Jabu lauds Shell for setting up learning hub in the state

October 26, 2013

Now give training to local engineering firms at a nominal cost (say, one Big Mac meal), and then I really start jumping for joy.

From the Borneo Post onlne, dateline 2013-09-06:

Mri: Shell Malaysia opened its Asia Pacific Wells Learning Hub, the first in the Asia Pacific region and third globally after its Houston Centre in the United States and Rijswijk Centre in the Netherlands, here yesterday Officiating at the official

opening, Deputy Chief Minister, Datuk Patinggi Tan Sri Alfred Jabu Numpang said the state strongly supported Shell and other oil and gas companies in continue developing their operations in the state.

Praising Shell for setting up the learning hub in the state, he added that the state government had always been appreciative of positive initiatives in technological advancement.

“The applications of technological knowledge are important tools to provide cutting edge amidst global competition for productivity, efficiency, scientific interest, environmental compliance and profitability.

“I am very happy today to witness Shell Malaysia bringing advance training facilities for petrol chemical, oil and gas onshore, located here,” said Jabu.

…

 

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

PETRONAS disproves notion Malaysia can produce cheaper petroleum

October 24, 2013

Really? Heck, they why do they complain when us Malaysian first class engineering companies don’t charge third-world prices? or when we want to pay our slaves … er, shining technical staff, the same pay grade as them?

The Malay Mail, dateline 2013-09-04:

Petronas today clarified there is a common misconception that Malaysia will be able to produce cheaper petroleum products such as gasoline and diesel if it were to produce and consume its own crude oil.

However, the national oil corporation said that the Tapis blend of crude oil found in Malaysian waters was the most expensive crude feedstock.

As such, by exporting its Tapis blend and importing the lesser quality sour crude for its own domestic consumption, Malaysia has benefitted further by reaping higher for its crude oil natural resource while ensuring energy security for its own domestic consumption.

…

 

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

« Previous Entries
Next Entries »