Has Sarawak been shortchanged?

July 13, 2018

You mean, has Sarawak been hoodwinked by a fly by night, quick fingered, sleight of hand working man?

Dateline 2018-06-06, Borneo Post:

HAS the PH government broken its promises to the people of Sarawak and Sabah vis-à-vis its Pakatan Harapan Book (Buku Harapan), outlining the four-party coalition’s election manifesto?

As events unfolded with the first bombshell dropped on Sarawak on Monday by Petronas in a suit, seeking legal redress to its oil and gas rights in the state, let us take a look specifically on petroleum rights.

First, let it be known that Petroleum Development Act 1974 (PDA 1974) empowers the Prime Minister to make regulations for the purpose of putting into effect the provisions of PDA 1974 in the conduct or the carrying on of any business or services relating to the explorations, exploitations, winning or obtaining of petroleum.


Sarawak hails move to clarify rights over oil

July 10, 2018

Dateline 2018-06-05, FMT:

A Sarawak minister has welcomed Petronas’ move to let the Federal Court settle the issue of ownership of petroleum resources in the country.

 “It’s good that Petronas is finally taking the matter to court for clarification so that Sarawak and Malaya can revisit what they negotiated and agreed to when they formed Malaysia,” said Abdul Karim Rahman Hamzah, the state minister for tourism, arts, culture, youth and sports.

“As far as Sarawak is concerned, resources within the state’s territory, which includes its continental shelf, belong to the state and require the state’s permission to extract.”


Malaysia’s national oil company files for declaration it owns all oil, including in Sarawak

July 9, 2018

Dateline 2018-06-04, Straits Times:

Malaysia’s national oil company Petroliam Nasional (Petronas) has gone to court for a declaration that it is the exclusive owner of the petroleum resources in the country, including in Sarawak state.

Petronas said on Monday (June 4) it had filed an application before the Federal Court seeking the declaration under the Petroleum Development Act 1974 (PDA), which governs the petroleum industry in Malaysia.

The application also seeks a declaration that Petronas is the regulator for the upstream oil industry throughout Malaysia, including in Sarawak.


O&G players see impact from new industry updates

July 1, 2018

Dateline 2018-05-17, Borneo Post Online:

With just two more months before Sarawak state-owned Sarawak Petroleum Bhd (Petros) assumes full regulatory authority over the upstream and downstream aspects of the state’s oil and gas (O&G) industry, existing industry players are wondering if their business activities will be impacted.

During an industry engagement session on the implementation of the Oil Mining Ordinance (OMO) and Distribution of Gas Ordinance (DGO) in Sarawak held yesterday, Petros’ chief executive office Saau Kakok explained that most, if not all, entities undertaking activities in the O&G industry will need to apply or reapply for their respective licenses and leases.

Under the amended OMO which will come into effect on July 1, players will be required to apply for their licenses and leases to the State Minerals and Management Authority (SMMA) through Petros.

Similarly, under the newly passed GDO in 2016 which will be gazette on July 1, players will be required to reapply for their licenses as licenses granted under the gas supply act 1993 is not applicable in the state. This includes any licenses issued by the Secretary General of Ministry of Domestic Trade, Co-operatives and Consumerism under the Petroleum Regulations 1974 or the Control of Supplies Act 1961.

 


Oil and gas firms must follow state laws from July 1, says Abang Jo

June 29, 2018

Dateline 2018-05-16, FMT:

 Sarawak Chief Minister Abang Johari Openg says with effect from July 1, 2018, oil and gas (O&G) industry players must abide by state laws such as the Oil Mining Ordinance (OMO) 1958 and Gas Distribution Ordinance (GDO) 2016.

He said the state will continue to cooperate with the federal government and Petronas to ensure the local O&G industry continues to flourish and contributes to the country’s economic growth.

“We will update the federal government and its agencies on the steps taken to regulate the O&G industry in accordance with state laws.

 


Gas Production Commences at B15 Field Offshore Sarawak

May 26, 2018

Dateline 2018-03-22, Rigzone:

Sapura Exploration and Production (Sarawak) Inc. (Sapura E&P) announced Thursday that it has commenced gas production at the B15 field, located within the SK310 production sharing contract (PSC) area offshore Sarawak in East Malaysia. Output figures for the field were not revealed.

Discovered in December 2010, the B15 gas field achieved the milestone within two years of the sanction of its field development plan.

The B15 development comprises a processing platform with a 21-mile pipeline tied into existing infrastructure for onwards transmission into the Malaysia Liquefied Natural Gas (MLNG) complex at Bintulu, Sarawak.

“This milestone achievement at B15 was achieved on schedule and within budget,” Tan Sri Dato’ Seri Shahril Shamsuddin, president and group CEO of Sapura Energy Berhad, which owns Sapura E&P, said in a company statement.


Mubadala advances $1 billion Malaysia Pegaga gas field project

May 20, 2018

Dateline 2018-03-21, Reuters:

Mubadala Petroleum, Petronas and Royal Dutch Shell will spend more than $1 billion to develop Malaysia’s Pegaga gas field, aiming to produce gas by the third quarter of 2021, Abu Dhabi-based Mubadala said on Wednesday.

The project in Block SK320, located in the Central Luconia province, offshore the East Malaysian state of Sarawak, will now proceed to the construction and installation stage, the company said in a statement.

Mubadala is the operator of the block with a 55 percent share while Petronas Carigali holds a 25 percent interest and Sarawak Shell holds 20 percent.