Petros Upstream now top 3 in Malaysian O&G industry with RM450 mln nett income in 2022

Awang Tengah talking about Petros Upstream's portfolio at the DUN sitting today (May 24, 2023). Photo credit: Ukas

By Ling Hui

KUCHING, May 24: Petroleum Sarawak Berhad (Petros) Upstream is now one of the top three oil and gas (O&G) players in Malaysia, said Minister for International Trade, Industry and Investment Datuk Amar Awang Tengah Ali Hasan.

He said Petros Upstream earned RM450 million net income after tax (NIAT) in 2022 and records a daily production of 100,000 barrel-of-oil equivalent from its equity share in five O&G fields Production Sharing Contract (PSCs).

“It also has equity shares in 12 Exploration and Appraisal PSCs through carried interests from investors to Sarawak. Petros Upstream’s capital investment budget for 2023 is RM1.2 billion,” he added.

Awang Tengah, who is also Minister for Natural Resources and Urban Development, said Petros Downstream is growing fast as well.

With a combined capital investment estimated at RM2 billion, Petros is investing in a 400MW Combined Cycle Power Plant in Miri in collaboration with Sarawak Energy Berhad, and a 24-inch pipeline to bring gas from Bintulu to Samalaju Industrial Park, for the Sarawak Gas Roadmap.

One of Awang Tengah’s slides showing the Sarawak Gas Roadmap at the DUN sitting today (May 24, 2023). Photo credit: Ukas

Petros is also undertaking a study with a multinational player to supply gas to Kuching, transforming it into a new gas and energy hub.

“Petros is discussing with Sarawak Energy to build a new gas fired power plant in Kuching and to retire the existing coal fired power plant.

“Petros is also expanding its LPG business and aspiring to capture 100 per cent of the subsidised household-market share by year-end.

“To enable this, its subsidiary, PNiaga, is injecting investment of RM60 million,” said Awang Tengah in his ministerial winding-up speech at the Sarawak Legislative Assembly (DUN) sitting today.

Petros is working closely with Petronas to convert the M1 depleted gas field into the first CCS project in Sarawak. Photo credit: Ukas

Meanwhile, the Bukit Sari assemblyman said Petros is seriously exploring the Sarawak Carbon Capture and Storage (CCS) potential.

He said Petros is working closely with Petronas, as the investor, to convert the M1 depleted gas field into the first CCS project in Sarawak with capital investment estimated at RM2.5 billion.

“A ‘Development and Storage’ Agreement is being developed, together with an application for M1 Storage Permit in compliance with the Sarawak Land Code, Land (Carbon Storage) Rules, 2022,” he added. — DayakDaily