As the world faces energy crisis, Malaysia’s energy industry still manageable, says minister

December 7, 2021

I’ve been out circulation, when did this energy crunch start?

Dateline 2021-11-17, NST:

The world is facing an energy crisis where the demand for energy commodities exceeds supply and this is causing volatility in short-term pricing with global spot prices for natural gas reaching the highest level this year.

However, the impact of the energy crisis on Malaysia has not been alarming.

On October 5, 2021, in the Dewan Rakyat, Minister in the Prime Minister’s Department (Economy) Datuk Seri Mustapa Mohamed assured that Malaysia has managed its energy security despite the price increase in energy commodities, namely coal and liquefied natural gas (LNG). 


PTTEP’s drilling offshore Malaysia stokes China’s ire

December 3, 2021

Dateline 2021-11-15, Energy Voice:

China has again been contesting Malaysian oil and gas activity in the South China Sea. This time Beijing has been targeting Thai state-backed upstream player PTT Exploration & Production’s (BKK:PTTEP) upstream drilling operations offshore Sabah.

A Chinese survey ship, the Da Yang Hao, was sent to waters within Malaysia’s continental shelf to carry out its own survey. “The apparent trigger for its deployment were the activities of the West Capella, a drillship no stranger to oil and gas standoffs, contracted since July by Thailand’s PTTEP for drilling in the Siakap North Petai oil field in Malaysia’s Block K,” the Asia Maritime Transparency Initiative (AMTI) said in its latest report.


Cover Story: What went wrong at Sapura Energy

December 1, 2021

Umm, does that mean I won’t get those million dollar contracts this year? Hey, and 3 quarters of profits is 3 quarters more than me. Could I get some POs from you, dear reader?

Dateline 2021-11-11, The Edge:

SAPURA Energy Bhd is arguably the biggest Malaysian casualty of the meltdown in oil prices more than five years ago.

Despite oil prices having gained more than 60% year to date and Brent Crude breaching the US$85 per barrel band in late October, the company has not been faring well. In the last 10 quarters, it managed to muster only three quarters of profits, and for its second quarter ended July (2QFY2022), it suffered a net loss of RM1.52 billion from RM747.11 million in revenue. In the corresponding period a year ago, it chalked up net profits of RM23.74 million from RM1.22 billion in revenue.


16 Malaysian O&G companies to join Abu Dhabi fair

November 30, 2021

Been there, done that. Starved at expo, prices and lines high and long.

Dateline 2021-11-11, The Malaysian Reserve:

Sixteen Malaysian oil and gas (O&G) organisations will be participating in the Abu Dhabi International Petroleum Exhibition & Conference (ADIPEC) 2021 trade fair in the United Arab Emirates from November 15 to 18, 2021.

They will be offering services such as the fabrication of oil and gas process equipment, engineering services, mechanical services, engineering solutions, explosion protection (Ex) compliance services, Health, Safety and Environment (HSE) solutions as well as pipeline inspection and cleaning services.

Since UAE is ranked in the Top 10 for global crude oil producers and contributes 30% of the gross domestic product (GDP), the Malaysian pavilion by the Malaysia External Trade Development Corporation (MATRADE) aims to attract visitors from the Middle East, North Africa (MENA) region.


The oil and gas industry is facing a talent crunch

November 26, 2021

Really? How about a pay crunch? Laissez-faire don’t seem to work

Dateline 2021-11-11, NST:

THE 2022 Budget strives to address a wide variety of issues as Malaysia rebuilds its economy and moves beyond Covid-19.

Employment and upskilling of the workforce continue to be one of the key priority areas from the previous budget, seeing as lockdown measures to curb the spread of Covid-19 have had a substantial impact on jobs and sources of income across all industries, in particular oil and gas services and equipment (OGSE).

The OGSE industry has been facing challenges since the global economy was hit by one of the largest oil price declines back in mid-2014.


‘Done right, carbon tax can bring benefits’

November 24, 2021

I… think there’s a market here. Look at TheSpiffingBrit, https://youtu.be/F3M9-MxyCaQ “How @The Spiffing Brit broke the Kyoto Protocol”

Dateline 2021-11-09, The Edge:

THERE is probably never an appropriate time for a country to introduce carbon pricing or carbon tax but, if done right, it can bring benefits, experts say ahead of a key climate change conference that kicked off on Oct 31.

At the 26th UN Climate Change Conference (COP26), which will be held in Glasgow, Scotland, until Nov 12, nations around the world will be counted on to commit to new or tougher targets to help limit the rise in global temperatures to 1.5°C.

“There is probably never an appropriate time to introduce a new tax … but carbon pricing is important, and carbon tax is one way of doing that,” said HSBC’s global head of environmental, social and governance (ESG) research Wai-Shin Chan.


EXXONMOBIL TO STUDY CCS WITH MALAYSIA’S PETRONAS

November 23, 2021

How about paying people to STOP emitting greenhouse gasesd, among other SDGs. Follow the process safety mantra, remove, reduce, recycle, buy positive research.

dateline 2021-11-09, Natural Gas World:

ExxonMobil has signed a memorandum of understanding (MoU) with Malaysia’s state-owned Petronas on exploring the potential for carbon capture and storage (CCS) in the southeast Asian country, the US major reported on November 8.

The pair will consider potential CCS sites offshore Peninsula Malaysia, sharing technical and infrastructure data for pipelines, facilities and wells.

The MoU comes a week after ExxonMobil signed a similar preliminary agreement to identify CCS opportunities in Indonesia with state-owned Pertamina.


Shell platform for Timi gas field to be powered by green energy

November 22, 2021

Umm, haven’t we had quite a few platforms running by green energy? I hear about them, usually accompanied by swearing as to how big solar panels are.

Dateline 2021-11-08, The Star:

Sarawak Shell Bhd has awarded the engineering, procurement and construction (EPC) contract for a wellhead platform for Timi gas field, offshore Miri, to Brooke Dockyard & Engineering Works Corp. The unmanned platform will be Shell’s first wellhead platform in Malaysia powered by solar and wind hybrid power system. Timi is a sweet gas field discovered in 2018 under the SK318 PSC 200km offshore Miri, in which Sarawak Shell as the operator holding 75% equity.


Questions swirl around Petronas’ Kasawari CCS

November 15, 2021

Yea, baby. How about apply recycling’s mantra or reduce, reuse, recycle, bury deep?

Dateline 2021-11-03, Energy Voice:

The Malaysian government and state-backed Petronas have made commitments to cut greenhouse gas emissions. However, these goals become particularly challenging when many undeveloped fields with high levels of carbon dioxide (CO2) and hydrogen sulfide need to be tapped to backfill Malaysia’s LNG export complex in the coming years.

If emissions from these high CO2 fields are to be managed, then carbon capture and storage (CCS) will be a key enabler, according to IHS Markit. But it remains to be seen if the economics stack up and whether Malaysia can remain attractive in the context of a global upstream portfolio.


Posco International wins offshore gas project in Malaysia

November 12, 2021

Interesting.

Dateline 2021-11-02, Pulse:

Posco International Corp., a trading arm of South Korean steel giant Posco, has secured offshore natural gas exploration and production rights in Malaysia, accelerating its energy exploration push in natural resource-rich Southeast Asia.

Posco International said Monday that it signed a production sharing contract for Block PM524 natural gas field with Malaysia`s state-owned oil and gas company Petroliam Nasional Berhad (Petronas). Under the contract, Posco International will explore and operate Block PM524, a 4,738 square-meter natural gas field located in the sea about 50 to 80 meters deep off the east coast of Malaysia.