15 - 20 billion CAPEX cut. Damn. That is brutal.

That's OPEX and CAPEX cuts, in one year. Brutal is definitely the right word.

It's hard to find optimistic news right now about the industry. Bloomberg seems to be particularly bearish on oil these days:
http://www.bloomberg.com/features/2016-ev-oil-crisis/

puaka prophecy is true?

puaka prophecy is true?

dont mention anything about puaka please. This thread was peaceful w/o puaka.
In fact, some of us also predict the same thing. But not in the negative way show off like I know everthing. 

Overall the industry is doing bad and will need to significantly reduce operations cost to survive.

But there are sectors within the oil industry which are actually booming.....believe it or not.

I'm curious, which sectors of the industry are actually booming ?

New technologies related to cost savings - seismic or drilling related ?

KUALA LUMPUR: Total approved investments in Malaysia fell 21% to RM186.7bil in 2015 from RM235.9bil a year ago, hit by depressed oil and commodity prices as well as the stronger US dollar.

Investments in the primary sector including oil and gas (O&G) industry were worst hit, falling 96.2% to RM3.8bil from RM14.4bil.

“This is largely due to lower investments in O&G exploration activities, which resulted from the fall in oil prices that began in mid-2014.

“The rest of the investments in the primary sector, comprising plantation and commodities sub-sector and agriculture sub-sector, registered sustainable investments of RM712.2mil and RM261.2mil respectively,” said the Malaysian Investment Development Authority (Mida).

Of the total approved investments, 80.7% or RM150.6bil was contributed by domestic investments while the rest was from foreign sources.

Throughout the year, a total of 4,887 projects were approved and are expected to create 180,240 jobs.

Foreign direct investment (FDI) inflows were up 11.8% from the previous year to RM39.5bil, with the bulk of it coming from the manufacturing sector.

The manufacturing sector saw FDI inflows increase to RM17.7bil from RM4.7bil the previous year, with the investments coming mostly from the US, Japan and Hong Kong.

The sector saw 680 new projects approved, with investments amounting to RM74.7bil, a slight increase from RM71.9bil registered in the previous year.

The largest contributor to approved investments in 2015 was the services sector, although the value contracted by 29.5% year-on-year, mainly due to “a sharp decline” in the value of real estate projects.

International Trade and Industry Minister II Datuk Seri Ong Ka Chuan said at a briefing yesterday that the country’s performance was positive despite the global economic situation.

“Johor brought in the most investments this year, followed by Sarawak, Selangor, Malacca and Penang. These states contributed over 86% of the investments,” he said.

Despite the lower investment figures, he said the country’s performance remained above the average annual investment target of RM148bil set under the 10th Malaysia Plan.

Moving forward, he said, the Government hoped to exceed this target again in 2016.

Mida expects to secure RM53bil of investments in the manufacturing sector and RM68.5bil in the services sector, excluding real estate.

Mida CEO Datuk Azman Mahmud said it had taken into the account the current economic climate in setting the targets for the year ahead.

To date, he said Mida was in the final stages of securing RM33.8bil in investments in the manufacturing and services sectors, primarily from the Netherlands, the UK, China and Japan.

“These numbers give us some indication. For now, we cannot predict our performance for the year but we aspire to achieve the targets,” he said.

Malaysian crude oil OSP set at $37.08 for February

SINGAPORE: The official selling price of a basket of Malaysian crude oil for February-loading has been set at $37.08 a barrel, state-owned Petronas said on Tuesday.

    The February price for flagship Labuan rose $1.79 per barrel.
    Petronas introduced a new benchmark starting January, 2014, based on the spot differentials to dated Brent for three grades - Labuan, Miri and Kikeh.
    As a result of the change, Tapis Blend was dropped as the key pricing reference to dated Brent due to low liquidity and falling output.
    Kimanis, a new grade that started production in the fourth quarter of 2014, could be included in the price reference basket in 2016.
    Here are the OSPs for the Malaysian grades:
   
    PETRONAS 2015-2016 TERM PRICES (INCLUDES "P" ADJUSTMENT)
                    FEB        JAN        DEC        NOV   
LABUAN    $37.08      $35.29      $42.26      $47.49
MIRI          $37.08      $35.29      $42.26      $47.49
KIKEH        $37.08      $35.29      $42.26      $47.49
TAPIS        $34.88      $33.09      $39.76      $44.99
DULANG      $36.68      $34.89      $41.86      $47.09
BINTULU    $34.58      $32.79      $39.46      $44.69
- Reuters

Petronas demands RM46.7mil from MClean for pipeline damage

KUALA LUMPUR: Petroliam Nasional Bhd (Petronas) and its subsidiary Petronas Gas Bhd have sent a letter of demand for RM46.75mil to MClean Technologies Bhd’s subsidiaries for damage caused by effluent discharge and unlawful entry.

The precision cleaning and washing solutions provider told Bursa Malaysia that its subsidiaries DWZ Industries Sdn Bhd and DWZ Industries (Johor) Sdn Bhd had received the letter from Petronas’ lawyers alleging the group had unlawfully constructed and/or installed a 50-metre piping structure under the lands which was connected to DWZ Industries Sdn Bhd’s premises in Ulu Tiram.

The discharge of “certain noxious and toxic effluents” from DWZ’s piping structure and its premises onto the lands is said to have substantially damaged Petronas Gas’ pipeline.

“Due to the above, Petronas has demanded for a sum of RM46.75mil from the company and/or its subsidiaries, failing which Petronas will commence legal proceedings against the company and/or its subsidiaries to recover all sums due and additionally liable for interest and costs,” MClean said.

The ACE Market-listed MClean noted that DWZ Industries Sdn Bhd is a major subsidiary of the company.

“MClean Group does not foresee any material impact to its operations as a result of this letter of demand. The company has engaged a solicitor to look into the matter and shall make such further announcement on the development on the above matter as and when necessary,” it said.

MClean reported earnings of RM3.58mil for the financial year ended Dec 31, 2015.

puaka prophecy is true?