Petrol dealers don’t expect sales to return to pre-Covid-19 levels

June 11, 2020

So, did any member of the Petrol Dealers Association of Malaysia close shop?

Dateline 2020-05-18, The Sun:

If there is one business that is likely to suffer permanent setback as a result of the Covid-19 pandemic, it has to be the oil and gas sector.

The need for long-term social distancing will serve to accelerate acceptance of the work-from-home concept.

With more people working from home, there will be a drop in the daily commute to the office and, by extension, fewer cars on the road.

This means the demand for petrol, diesel and gas will drop.

Petrol dealers are beginning to accept the new reality.

…

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

Shout Out – HAZOP Webinar 2020-06

June 10, 2020

Change of pace. I’m presenting a free webinar at 10.30am on the 17th June, under the auspices of IESB. Brochure is more sparse than a typical IEM brochure, but hey? And they don’t have the presentation on their website. And they got my name wrong first try. Sigh, can you attend my courses, so that I can get all this under my iron fist?

Link here.

Webinar HAZOP 2020-06

 

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

CM: Sabah will continue to pursue 20pc from Petronas

June 9, 2020

Dateline 2020-05-14, Malay Mail:

Petronas’ new agreement with Sarawak does not have any bearing on Sabah, who just imposed a 5 per cent sales tax on petroleum products beginning last month.

Sabah Chief Minister Datuk Seri Shafie Apdal said that the state was sticking to its 5 per cent sales tax while it continued to pursue a 20 per cent oil royalty deal with the federal government that it has been eyeing for decades.

“That’s their negotiations with Petronas. We’ve already imposed the sales tax. We have an understanding with them and other petroleum companies,” said Shafie when asked to comment on Sarawak’s new agreement with Petronas and the federal government.

…

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

Analyst tells Sarawak, Petronas to go for progressive tax

June 8, 2020

Dateline 2020-05-13, FMT:

An oil and gas analyst has proposed that Sarawak levy a form of progressive sales tax on Petronas instead of fixing the rate at a flat 5%.

Renato Lima de Olivera, an assistant professor at the Asia School of Business, said this would ensure that the state remain attractive for new investments in exploration and production of petroleum.

“If taxes are deemed too high and regressive, then there is no incentive to invest in finding and developing new oil and gas fields,” he said. “A progressive tax structure will mitigate this.

“Otherwise, what you will see is higher taxes from current fields, but these fields will eventually deplete by the natural extraction process.”

…

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

Anniversary – Flixborough

June 1, 2020

Process Safety engineers never forget.

Leave a Comment » | Chemical | Permalink
Posted by Wata

Rastam Hadi, ‘visionary’ first MD of Petronas, dies

May 24, 2020

Dateline 2020-05-09, FMT:

Rastam Hadi, the first employee of Petronas and also its first managing director, died today two weeks short of his 89th birthday.

He was described as a visionary and a nationalist.

His daughter, lawyer and composer Saidah Rastam, said he died at 3.20am at her home in Bukit Tunku, Kuala Lumpur. He was buried at Bukit Kiara cemetery this afternoon.

Rastam was managing director of the national oil and gas company from 1974 to 1987, and also served as the company’s senior vice-president (upstream sector) from 1987 to 1989.

…

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

Malaysia’s Petronas drops legal action against Sarawak, to pay $462 million sales tax

May 23, 2020

Dateline 2020-05-08, Reuters:

Malaysian national oil firm Petronas has agreed to withdraw legal proceedings against Sarawak state and make full payment of a sales tax imposed by the state government on petroleum products for 2019 of 2 billion ringgit ($462 million), at 5% of the value of products, Petronas said in a statement on Friday.

Petronas agreed to withdraw an appeal of the Sarawak High Court’s decision on the application for a judicial review in March, while Sarawak will also drop all civil litigation against Petronas for payment of sales tax on petroleum products, the statement added.

…

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

Beijing harasses Petronas and Shell off Malaysia

May 22, 2020

Dateline 2020-04-24, Energy Voice:

A four-month long standoff over oil and gas operations in the South China Sea is intensifying between Malaysian, Chinese, and Vietnamese ships, though all three governments have managed to keep it out of the public eye, until very recently.

At issue are two oil and gas fields that Malaysia’s state-owned Petronas is exploring on the extended continental shelf claimed by both Kuala Lumpur and Hanoi. In mid-April, the face off drew in US and Australian war ships, heightening tensions in the area, where IOCs, such as Shell, also have stakes in oil and gas projects.

…

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

Oil royalties for Sabah and Sarawak: Dead on arrival

May 21, 2020

Dateline 2020-04-25, FMT:

Brent crude oil prices dipping below US$30 and US oil prices turning negative for the first time in history is bad news for Sabah and Sarawak, which are dependent on oil royalties as a major source of revenue.

Analysts predict the depressed oil price will continue in the short and middle term as demand continues to fall. Oil producers like Petronas facing a glut market are riding in uncharted deep waters as Covid-19 batters the world oil markets.

For Sabah, petroleum royalty remains the highest contributor to the state coffers. For 2020, the total projected revenue from oil is RM1.7 billion. Oil royalty accounts for 40.55% of the state revenue. This estimate is based on royalty payment received from Petronas in 2019 amounting to RM1,703.5 million, the highest amount received since the Petroleum Development Act 1974 was passed.

…

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

Petrol dealers fear dry pumps when MCO ends

May 20, 2020

Dateline 2020-04-18, FMT:

The country’s largest organisation of petrol station owners has warned of the likelihood of pumps running dry after the movement control order (MCO) expires unless the government temporarily stops the practice of setting weekly prices.

Many of the station owners would not have the funds to buy enough petrol and diesel to cater to the expected increase in demand, Petrol Dealers Association Malaysia (PDAM) president Khairul Annuar Abdul Aziz told FMT.

He said the drop in fuel prices and a 70% reduction in sales since the MCO had badly affected petrol dealers.

…

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

« Previous Entries
Next Entries »