Petronas cuts FY20 capex and opex as oil slump hits

June 13, 2020

Dateline 2020-05-22, The Edge:

Petroliam Nasional Bhd, which reported a 68% year-on-year fall in its first quarter profit after tax (PAT) today, is slashing its capital expenditure for the financial year ending Dec 31, 2020 by 21% from its initial estimate of around RM50 billion, as it faces challenges driven by the pandemic outbreak that has led to a supply-demand shock in the oil market this year.

The national oil giant said it will strive “as far as practically possible” to minimise the impact of the cuts to its Malaysian capex programme, previously planned at RM26 billion-RM28 billion this year.

…

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

Associations engage Petronas to safeguard industry’s future

June 12, 2020

And the didn’t invite MOGEC. Where art thou?

Dateline 2020-05-21, NST:

Three associations representing the interests of the Malaysian oil and gas industry recently revealed they had engaged with Petronas to mitigate and address the current dire situation and circumstances affecting the industry.

Brought about by an unprecedented downturn due to the geopolitics of big oil producing countries, which has been amplified by the threat and spread of the Covid-19 pandemic, the associations — The Malaysian Oil & Gas Services Council (MOGSC), Malaysia Offshore Support Vessels (OSV) Owners’ Association (MOSVA), and the Malaysian Offshore Contractors Association (MOCA) — had a video conference meeting with the top leadership of Petronas last month.

During the meeting, the three associations representing over 500 companies and a workforce of 60,000, shared with Petronas the state of the industry and the challenges the companies were facing.

…

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

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

« Previous Entries
Next Entries »