Malaysia: Oil tanker ‘MT Wan Da’ sinks off the coast of Johor; oil spill reported

May 16, 2020

Dateline 2020-04-16, Manifold Times:

The Johor-Bahru division of Malaysia Maritime Rescue Sub Centre (MRSC) on Wednesday (15 April) reported the sinking of oil tanker MT Wan Da near Tanjung Penyusop in its initial investigations.

According to MRSC, the head office in Johor Bahru was first made aware of the incident from the Head of Tanjung Pengelih Maritime Zone who received a request from a shipping and forwarding company to carry out salvaging works on the vessel.

Rescue vessel Petir 11 of Tanjung Sedili Maritime Zone was on patrol at about 2.20 pm when it discovered an overturned vessel about 2.7 nautical miles off Tanjung Penyusop.


Malaysia’s Petronas warns of project delays, aims to keep local capex

May 15, 2020

Dateline 2020-04-14, Yahoo:

Malaysian state energy giant Petronas said the risks of delays to some of its projects were rising due to prolonged coronavirus-related lockdowns around the world.

Petronas, which operates in more than 20 countries including Brazil and the United States, said in an email that it would try to maintain its domestic spending for this year.

The company forecast 2020 domestic capital expenditure of 26 billion ringgit ($6 billion) to 28 billion ringgit, higher than last year.

“The ongoing global spread of the COVID-19 outbreak and collapse in oil prices continue to impact financial markets as well as many economies and industries around the world,” Petronas said in an emailed statement on Monday.


After Sarawak, Sabah starts imposing petroleum sales tax

May 13, 2020

Dateline  2020-04-07, Malay Mail:

Sabah has implemented a 5 per cent sales tax on petroleum products sold in its territory, said Chief Minister Datuk Seri Mohd Shafie Apdal.

He said he informed petroleum companies of the state’s decision to collect the tax last month and it should come into effect immediately.

“We’ve done it already, last month,” he said when asked what was Sabah’s plan to impose the tax.

This comes after the High Court ruled last month that Sabah and Sarawak have the right under the Federal Constitution to impose a sales tax on petroleum products.


Petronas contractor off Malaysia confirmed with Covid-19

May 12, 2020

Dateline 2020-04-06, Upstream:

A worker off Malaysia has tested positive for Covid-19, the second such confirmed case in Southeast Asia’s second-largest oil producer.

“Petronas, through its subsidiary, Petronas Carigali, confirms that one of its contractors at an offshore platform in Miri, Sarawak has tested positive for Covid-19. The contractor is currently receiving treatment at a government hospital,” Petronas told Upstream on Monday.

A contractor source claimed that the worker in question was a rig crew member on Velesto Drilling’s jack-up Naga 6.

As a result of his diagnosis, work has been temporarily stopped at Petronas Carigali’s Tukau Timur (East Tukau) and Baronia fields’ infill drilling programmes.

“As a precautionary measure to manage the risk of exposure, we have temporarily locked down the rig and suspended all crew change. All identified close contacts have immediately been placed under quarantine for 14 days,” said Petronas.


Oil, gas plant explodes, leaves 5 killed in S. Malaysia

May 11, 2020

Catchier title.

Dateline 2020-03016, Menafn:

Based on local media reports, the Pengerang Integrated Complex near Kota Tinggi in Malaysia’s southern state of Johor reported five of its personnel killed as fire flared up in the complex on Sunday.

Few hours before Sunday midnight, the state operations center had received an emergency call reporting the blast, Johor state Fire and Rescue Department operations commander Pauzan Ahmad declared.

Bernama state news agency cited Ahmad as saying “Upon arriving at the location, the team found that an explosion and fire occurred at the plant diesel hydrotreater unit which uses hydrogen to remove sulphur waste from raw diesel.”


Dip in fuel prices, MCO may see petrol stations close, says group

May 10, 2020

Out of curiosity, did any stations shutdown the last time PDAM made a statement?

Dateline 2020-03-26, FMT:

 The country’s main association for petrol dealers says it fears the bulk of some 3,800 stations nationwide will have to suspend operations due to financial issues related to the “double whammy” of consecutive drops in fuel prices and the loss of traffic due to the government’s movement control order (MCO).

Petrol Dealers Association Malaysia president Khairul Annuar Abdul Aziz told FMT the sale of fuel products is down by 70%.

On average, he said, a station needs a working capital of RM150,000 to RM200,00 a month to buy fuel.

Operating costs, including utilities and staff wages, are around RM30,000 to RM70,000 depending on the size of the station.


Petronas mulling appeal on right to sales tax

May 9, 2020

Lawyer are essential services.

Dateline 2020-03-18, FMT:

Petronas is still considering whether to appeal against last week’s High Court ruling that Sabah and Sarawak have the right under the Federal Constitution to impose sales tax on petroleum products.

“We have 30 days from March 13 to file a notice of appeal to the Court of Appeal,” said lawyer Malik Imtiaz Sarwar who represents the national oil and gas company.

Last week, judge Azahari Kamal Ramli, who is based in Kuching, dismissed Petronas’ judicial review application to declare the Sarawak state sales tax null and void.

Petronas had claimed that some parts of the state’s Sales Tax Ordinance 1998, which require the national oil company to pay the 5% sales tax on petroleum products to Sarawak, were unconstitutional.


Five Petroleum debuts in Malaysia

May 7, 2020

One for the history books.

Dateline 2020-03-17, Petrol Plaza:

Five Petroleum Malaysia has launched its brand in Malaysia with the opening of its first fuel station in Kalumpang, Selangor. The official opening also marks the debut of its Ultimaxx range of fuels and integrated Woo! Mart convenience store, according to a press release.

Operated by Pahang-based Seng Group, a company with nearly five decades operating in the fuel business, the new brand marks Seng Group’s first independent foray into the fuel retail segment. Seng Group already represents the petrol stations brand BHPetrol.

Five Petroleum will be managed by the same team from Seng Group, while its Ultimaxx fuels will be sourced from Petronas.


IEM Shout Out – 2020-05 Talk on “HAZOP”

May 6, 2020

My technical division will be hosting a talk on the 9th May 2020. No official CPD points, as it is a webinar. The talk will be presented by yours truly, so come and fill seats, especially since I am giving it during the fasting month.

A Hazard and Operability (HAZOP) study is a formal, systematic and detailed examination of new or existing facilities. It focusses on the process, rather than risks from ‘outside the pipe’, which are better analyzed using other studies such as HIREC/ HAZID/ HER. A HAZOP assesses the hazard potential, causes and consequences on a facility when there are deviations to the operating conditions, or the manner of operations. Existing safeguards need are reviewed to determine whether they can eliminate the cause or minimize the consequence.

Ir. Razmahwata has 26 years of experience in the oil and gas industry, in both design and operations. He joined ExxonMobil Exploration and Production Malaysia Inc shortly after graduation in 1995. In 1998, he was reassigned to EMEPMI’s operations department. His responsibility was to provide technical support to an offshore production facility. His tasks were varied, included troubleshooting day to day challenges, managing retrofit projects, and leading safety cases. He was made the Company’s custody metering engineer in 2001, charged with leading the exercise to ensure the Company compliance with industry and company specifications was enhanced. Whilst in Poyry, Ir. Razmahwata has been a Senior Process Engineer for SembCorp’s Betara project. He has HAZOP, HAZID and SIL workshop leadership experience on offshore facilities. He has recently worked on a secondment providing detailed design services to a tanker to FPSO conversion project in Singapore. He supported ExxonMobil in developing measurement manuals, and leading an exercise to validate 59,000 line items. He is currently the Lead Engineer of IGL Services Sdn Bhd.

Register here, or download the form here.


Five dead in fire at Petronas-Aramco petrochemicals complex in Johor

May 5, 2020

You know, I think setup up public 24/7 internet HD cams facing the site would be a thing by now.

Dateline 2020-03-16, CNA:

A fire and explosion on Sunday night (Mar 15) killed five people at a refining and petrochemicals complex in Malaysia’s southern state of Johor.

Another person sustained 70 per cent burns, Pauzan Ahmad, an official with the Johor state fire and rescue department, said on Monday.

The incident occurred at the diesel hydro treater unit in the Pengerang complex owned by Petronas and Saudi Aramco, Pauzan said, adding that the cause of the fire was under investigation.

Pauzan said the Johor state operations centre received an emergency call about the fire at about 11.20pm.