Sarawak O&G players set to gain under Petros

PETALING JAYA: Sarawak oil and gas players are set to benefit as the state transitions into the new administration of its oil resources under Petroleum Sarawak Bhd (Petros), with plans to increase local participation in the industry.

UOB Kay Hian Research singled out Serba Dinamik Holdings Bhd as among the major beneficiaries, aside from other Sarawak-listed companies like Dayang Enterprise Holdings Bhd , Petra Energy Bhd , KKB Engineering Bhd (via OceanMight) and Brooke Dockyard.

The research house recently attended the Sarawak oil & gas seminar and exhibition, said the issues covered during the conference included Petros’ plans, and matters relating to vendor development and reserves data.

By end-2019, it said, Petros would take firm action to implement the state’s mandate, particularly in relation to revenue sharing and local participation.

“We believe this is necessary to kick start delayed greenfield projects,” it said in a note.

The research house, which maintained its “market weight” stance on the sector, said Petros CEO Sauu Kakok clarified during the seminar that their key targets included driving more share of revenue from Sarawak O&G resources and boosting participation of Sarawakians.

Petros, it said, was actively working towards meeting the “hard target timeline” of Dec 31 for measures including setting up governance policies.

“This implies that the one-year grace period for Petronas, Putrajaya (and its key advisors), and Sarawak state will conclude.

“We understand further delays are unlikely as all stakeholders are working hard to reach firm agreements,” the research house said.

Petros, which was set up in August 2017, is in charge of regulating upstream production, governed under the oil mining ordinance 1958. It is also regulating the gas distribution governed under the distribution of gas ordinance.A technical session during the seminar revealed that the Sarawak basin has 23% of Malaysia’s oil and 51% of natural gas.

For the overall sector, UOB Kay Hian said many O&G stocks remained “too locally dependent”. It noted that Petroliam Nasional Bhd (Petronas) would focus on overseas upstream capex, while domestic upstream capex is set to improve from RM12bil in 2018 to RM15bil in 2019.

“We understand local activity levels have generally increased, especially for maintenance/brownfield works, with maintenance, construction and modification contractors like Dayang Enterprise and Petra Energy guiding high activity levels in 2019 although rates remain low,” it said.

The research house said it favoured internationally competitive companies, like engineering, procurement, construction and commissioning and storage operator Dialog Group Bhd and Yinson Holdings Bhd .


CM: Bold new moves a must

MIRI: Sarawak must take bold moves if it wants to achieve its development agenda, even if they are radically new in nature.

The state government’s decision to set up its own petroleum company – Petros – is among the bold moves that had to be taken, said Chief Minister Datuk Amar Abang Johari Openg.

Speaking at an oil and gas seminar in Miri organised by the Sarawak Bumiputra Chamber of Commerce, he said Petros was formed two years ago to manage the oil and gas resources of Sarawak.

“Sarawak has the right to administer our oil and gas resources.

“Petros was set up to utilise oil and gas resources to propel the social and economic growth of Sarawak.

“Petros is working closely with Petronas and Shell in this area.

“Petronas and Shell are the experienced players with the technology and knowledge in the oil and gas sectors.

“Even though the global demand for fossil fuel has declined due to the surge in green energy concept, fossil fuel still has its uses,” he said.

Johari said Sarawak still has plenty of oil and gas reserves.

There is thus a need to manage these natural resources well so that they are sustainable in the long run, he added.

Johari said the state government has set ambitious goals in the energy sector.

“We also want to develop green energy through hydro resources and from biomass.

“To achieve these ambitious goals, we are going big in the information technology sector, energy generation, transportation and services.

“These new initiatives require us to be bold in our investment strategies,” he said.

He urged locals to be equipped with the required technology in the energy sectors to benefit from the global demands.

Some 20 oil and gas companies took part in the two-day event held in a hotel in Miri.


Serba Dinamik secures RM330mil Petronas job

KUCHING: Serba Dinamik Holdings Bhd has been awarded a contract to provide maintenance, construction and modification services to Petroliam Nasional Bhd’s (Petronas) onshore facilities in Bintulu and Miri, Sarawak.

The contract involves Package D (Bintulu-Sarawak Gas) and Package E (Miri-Sarawak Oil) onshore facilities in Miri Crude Oil Terminal and Asam Paya onshore facility as well as Bintulu integrated facilities.


Petros is nothing like scandal-plagued 1MDB, says Abang Jo

KUCHING: Chief Minister Datuk Patinggi Abang Johari Tun Openg has refuted allegations by a website that the state-owned Petroleum Sarawak Bhd (Petros) is like the scandal-plagued 1Malaysia Development Bhd (1MDB).

“There’s been a malicious article written on Petros. We have a transparent organisation.


Sarawak’s Brooke Dockyard wants more Petronas jobs

KUCHING: The Sarawak state government wants Petroliam Nasional Bhd (Petronas) to award more offshore fabrication contracts to Brooke Dockyard and Engineering Works Corp as it has tripled its fabrication capacity.

The 107-year-old state-owned corporation has raised its fabrication capacity by 16,500 tonnes to 25,000 tonnes per year with the new Demak Yard in the Demak Industrial Estate near here.


Sarawak CM dismisses claim Petros will be another 1MDB

SARAWAK Chief Minister Abang Johari Openg has dismissed allegations published online that state oil company, Petroleum Sarawak Bhd (Petros), was created as a vehicle to siphon Sarawak oil money away.

“No such thing. That (claim by the) website – – is malicious with malicious intentions,” he said when opening Brooke Dockyard and Engineering Works Corporation’s second fabrication yard in Demak and the loadout of Petronas Carigali’s Bokor D substructure in Bako, 40km from Kuching.


Petroleum Sarawak is not 1MDB, says Chief Minister

KUCHING: The state-owned Petroleum Sarawak Bhd (Petros) is nothing like 1Malaysia Development Bhd (1MDB) as alleged by a website, says Chief Minister Datuk Patinggi Abang Johari Tun Openg.

“There’s been a malicious (article) written on Petros. We have a transparent organisation. That website and has malicious intentions,” he said when opening the Brooke Dockyard and Engineering Works Corporation’s new Demak Yard here on Monday (March 4).


Sarawak leaders divided over state’s actions to defend its rights

IN March last year, the Sarawak government established the state’s own oil and gas exploration company, Petroleum Sarawak Bhd (Petros), modelled after national oil company Petronas.

While many Sarawakians were trying to figure out what role the company would play alongside Petronas, which has absolute monopoly over the state’s carbon resources, alarm bells were reported to be ringing in the Twin Towers and Putrajaya on the Sarawak government’s intent.


PETRONAS kekal pendirian sebagai pemilik eksklusif petroleum Malaysia

KUALA LUMPUR: PETRONAS kekal dengan pendiriannya bahawa ia memiliki pemilikan eksklusif sumber petroleum di Malaysia dan pengawal selia tunggal sektor huluan di negara ini.

“Melangkah ke hadapan, PETRONAS akan memantau keadaan dengan teliti, termasuk mendapatkan pandangan dan panduan dari kerajaan Malaysia, sebagai pemegang saham tunggal, dalam menjalankan tugas kami,” kata syarikat minyak negara itu dalam satu kenyataan, hari ini.

PETRONAS memberi maklum balas terhadap kenyataan yang dibuat Pejabat Ketua Menteri Sarawak semalam mengenai niat kerajaan negeri untuk menjalankan kuasa di bawah undang-undang negeri berkaitan aktiviti minyak dan gas di Sarawak.

Dalam kenyataan itu, kerajaan negeri Sarawak berkuatkuasa 1 Julai menggunakan kuasanya di bawah undang-undang negeri yang berkaitan, termasuk Ordinan Pengagihan Gas 2016.

Mengakui bahawa proses itu mungkin mengambil sedikit masa, kerajaan negeri berkata peserta industri dibenarkan untuk menjalankan perniagaan dan operasi mereka seperti biasa sehingga akhir 2019 sementara pada masa yang sama mengambil langkah-langkah yang perlu untuk memastikan pihak terbabit mematuhi undang-undang negeri.


Minyak dan gas bertahan maksimum 17 tahun

PETRA JAYA: Pengeluaran minyak dan gas Sarawak dianggarkan mampu bertahan antara 15 hingga 17 tahun akan datang berdasarkan kadar pengeluaran 5,000 juta kaki padu gas standard sehari (MMSCFD).

Menteri Muda Hubungan Korporat, Abdullah Saidol, berkata anggaran tempoh pengeluaran minyak dan gas itu dilakukan berdasarkan piawaian nisbah rizab kepada pengeluaran.

“Justeru, adalah penting bagi kerajaan negeri kembali mengawal sumber terbabit melalui PETROS, termasuk menguatkuasakan pengawasan dan melindungi kepentingan minyak dan gasnya.

“Sehingga kini, pendapatan yang dijangka diperoleh Sarawak bagi sumber minyak dan gas adalah dalam lingkungan RM3 hingga RM4 bilion setahun.

“Kerajaan negeri konsisten mengekalkan permintaan menaikkan royalti minyak sebanyak 20 peratus,” katanya ketika menjawab soalan Aidel Lariwoo (GPS- Sadong Jaya), di Persidangan Dewan Undangan Negeri (DUN) Sarawak, di Kompleks DUN Sarawak, di sini hari ini.

Abdullah ketika mengulas lanjut, berkata Sarawak mempunyai 52.7 peratus rizab negara yang diketahui, selain berperanan menjadi pengeluar gas asli terbesar negara.

“Sarawak juga menjadi penyumbang terbesar melalui aliran pendapatan di loji Bintulu. Kerajaan negeri memberi mandat kepada PETROS untuk memainkansebagai pengawal selia utama dan menjadi pemain aktif dalam Kontrak Pengeluaran Bersama (PSC) gas di negeri ini,” katanya.

Beliau berkata, PETROS akan memperkukuhkan pengawasan sumber gas menerusi Strategi Jaringan Bersepadu bertujuan mengimbangi bekalan huluan dengan penggunaan hiliran.

“Ketika ini, tumpuan PETROS adalah mensasarkan penyertaan PSC untuk menjana pendapatan di Sarawak. Tindakan itu penting kerana PSC sekarang ini dikawal sepenuhnya oleh PETRONAS,” katanya.