hence SKPB changed their name to Sapura Energy kot. hehehehehe

haha yep. now its sapura energy and exploration.

Petra energy started first lol

i thought SKPB started it first when they bought Newfiled and change the division to SapuraKencana Energy? now the whole EPCIC division is just Sapura Energy Berhad

Petronas just announces the cancellation of the LNG project in BC Canada due to 'market condition'

U name me one project overseas that our NOC has been successful

Why have they been unsuccessful all these while what are the common reason for failure?

Malaysian state-owned energy company Petronas will not proceed with a proposed US$29 billion (RM124 billion) liquefied natural gas (LNG) project in western Canada due to weak global prices, dealing a blow to Canada's ambitions to become a global LNG player.

While Petronas' decision is a blow to the regional economy, industry observers said the move was widely expected given years of delay to the huge project near Prince Rupert in the north of the province of British Columbia.

It is also the latest setback for the country's energy industry, already bruised by international oil firms selling off around US$23 billion in Canadian energy assets this year alone.

Pacific NorthWest LNG was meant to produce 12 megatonnes per year and spur further development of British Columbia's Montney natural gas play in the northeast of the province, Canada's largest shale play.

"We have a window of opportunity to develop B.C.'s LNG industry, but the next several years will be critical," said Gillian Robinson, spokeswoman for the BC LNG Alliance. "We risk losing thousands of jobs and billions of dollars in benefits if B.C. does not have diversified access to markets."

Pacific NorthWest LNG received approval from the Canadian government last year, but Petronas, which has been going through significant cost-cutting, delayed its final investment decision.

The project would have been Petronas' biggest foreign investment and was seen as a sign of Malaysia's global energy ambitions.

The US$29 billion price tag included around US$9 billion for the export terminal, US$5 billion in pipelines, the US$4.4 billion Petronas paid for Progress Energy and its natural gas assets and around US$1.6 billion a year expected to be spent on producing natural gas.

TransCanada Corp, which was contracted to build the pipeline connecting gas wells to the LNG terminal, said it will be reimbursed for costs associated with the project. It had spent US$400 million as of April, spokesman Shawn Howard said.

Petronas had planned to produce its own gas to supply Pacific NorthWest LNG, rather than buying it from other producers, but no LNG demand means firms like Painted Pony Petroleum and Seven Generations Energy will continue to see low gas prices, analysts said.

"The demise of the LNG industry in Western Canada means that Western Canadian gas will largely remain captive to the oversupplied North American market," BMO Capital Markets analyst Randy Ollenberger said in a note.

Of more than a dozen projects proposed for British Columbia, only the US$1.3 billion privately held Woodfibre project has so far been given the green light by its developers.

Last July Royal Dutch Shell and partners pushed back a final investment decision on their proposed LNG Canada project, citing global industry challenges.

Michelle Mungall, British Columbia's energy minister, said she will be calling other LNG companies to reassure them her government is ready to work with them, but B.C. Green Party leader Andrew Weaver released a statement saying the future does not lie in "chasing the fossil fuel economy."

The ruling New Democratic Party, which formally took power this month, is backed by the environmentalist Green Party. Its rise has fuelled uncertainty about energy development in the province.

A spokesman for Canada's Natural Resources Minister Jim Carr, said Petronas' move was a business decision.

Petronas and partners will continue to develop natural gas assets in Canada, Anuar Taib, chairperson of the board of Pacific NorthWest LNG, said in a statement.

"We are disappointed that the extremely challenging environment brought about by the prolonged depressed prices and shifts in the energy industry have led us to this decision," Anuar said.

not so good news....

how abt majnoon and halfaya fields in Iraq although petronas is a minority stakeholder...

anyone in PCASB TA? U cant miss me, I am with the purging team haha

wow it is time to say goodbye to the industry?

Not a good news. there will be more squeezing to contractor

we shall see how they are going to source the energy from.

KUALA LUMPUR: Petroliam Nasional Bhd (Petronas) has disposed of a 10% stake in Petronas LNG 9 Sdn Bhd (PL9SB) in Malaysia for US$500mil (RM2.14bil) to Thailand's national company and partner.

According to a statement by Thailand's PTT Exploration and Production Public Company Ltd (PTTEP) to the Thailand Stock Exchange on Thursday, it said that its subsidiary's JV had acquired the stake.

PL9SB owns the ninth LNG liquefaction train and other related associated facilities located in the Petronas LNG complex in Bintulu, Sarawak with a production capacity of 3.6 million tonnes per annum of LNG. The commercial operations started on Jan 1, 2017.

“The acquisition of equity interest in PL9SB is part of PTTEP’s strategy to synergise with PTT in the integrated LNG value chain to meet the country’s growing energy demand,” PTTEP said.

The stake was acquired by PTTGL Investment Ltd (PTTGLI) – a company set up PTTEP's subsidiary PTT Global LNG Company Limited (PTTGL). PTTGL is a subsidiary of PTTEP, which is a 50:50 joint venture between PTTEP and PTT plc.

PTTEP said on Thursday PTTGLI had signed the share sale and purchase agreement with Petronas to acquire the 10% equity stake in PL9SB.

“The total consideration of the acquisition is approximately US$500mil of which PTTEP’s portion is approximately US$250mil,” it said. Then expected closing date would be within September.

“With the entrance of PTTGLI, the share proportion in PL9SB shall stand at 80%, 10% and 10% owned respectively by Petronas, JXTG Nippon Oil & Energy Corporation (through its subsidiary, Nippon Oil Finance (Netherlands) B.V.) and PTTGLI.

PTTEP said the US$500mil acquisition cost will be funded by 40:60 debt and equity.

Shell's CEO predicts that the future is Gas since it's the cleanest form of fossil energy... that's why they producing more Gas than oil now.... Shell's CEO ditches his diesel powered S500 for a new S500e and the group CFO is driving a BMW I3e... so, when an O&G companies top executive also driving electrical cars; it already telling u something..

hibiscus is taking over shell's asset i heard.

Yes, if not mistaken I saw one presentation from the o&g operator mentioned the trend of world is changing now. there will be more gas to explore rather than oil.

However as our side, it still depends between supply and demand. where there is the demand, our business is going well. Otherwise it will be like now where no demand plus the shale oil replacement become more surplus to oil

Shell predicted that Oil consumption will peak in 5 to 15 yrs then the demand will going all the way down due to new technology and new transportation system since more and more country will ban fossil fuel vehicles..... oil supply getting more thanks to shale O&G yet more countries moving away from it...


from retired Shell CFO..

http://www.thestar.com.my/business/busines...hest-since-may/