Looking Beyond The Price of Oil

Oil prices have plunged more than $20 per barrel since the start of October when Brent was trading at $87 and US crude just below $77 ? their highest point since 2014. Both have fallen recently by more than 30% settling at $62 and $53 respectively.

For most smaller or inefficient oil and gas companies, such a drastic plunge would mean an absolute disaster as they try to keep up with increasing costs of extracting the oil.

If you are extracting oil from Saudi Arabian soil the cost per barrel is usually below $10. In places like Sarawak (Malaysia) where most of the oil is in difficult to reach offshore fields, the cost of producing oil averages $40 ? $50 per barrel.

Now, the clamoring for Sarawak to manage its own oil resources has also dissipated. In early October 2018 when the price per barrel was at its highest point in more than 3 years there was the threat of secession. By the end of October the price of oil came down to US$65 per barrel and things quietened a bit. Recently, at US$53 per barrel everyone is wondering whether things are going to get even worse.

And it may just happen that way like it did in 2015.

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Sarawak Needs To Show Where The Budget Allocation Is Being Spent

Petronas has again been called to the rescue to help finance Malaysia?s budget which has increased 10.3% to RM314.6 billion. In addition to the regular dividend from Petronas amounting to RM24 billion, Petronas will fork out a special dividend of RM30 billion from its accumulated retained earnings which will be used to pay for, among other things, a RM4.3 billion allocation to Sarawak for 2019 for specific projects, RM1.3 billion more than the previous year. This figure does not include allocations given to the Home Ministry, Health Ministry or Human Resources Ministry for salaries or other running expenditure which is already being provided by the Federal Government.

Sarawak is expected to receive the guaranteed 5% royalty in 2019 amounting to RM1.58 billion (which is about the same amount it was entitled to receive in 2018 based on the current oil price of US$70 per barrel). If you add the royalty plus the allocation they add up to approximately RM6 billion which is equivalent to what 20% royalty.

The state budget for 2018 was set at RM8.3 billion of which RM5.8 billion or about 70 per cent of the total budget was proposed for development expenditure. RM2.5 billion or 30 per cent of the total budget, was proposed for operating expenditure.

Continue reading Sarawak Needs To Show Where The Budget Allocation Is Being Spent

DAP wants Sarawak CM to explain investment in KL specialist hospital

Chief Minister Datuk Patinggi Abang Johari Tun Openg must explain why the state government invested in the development of a children’s specialist hospital in Cheras, Kuala Lumpur.

Sarawak DAP chairman Chong Chieng Jen (pic) said he had received the report from the Ministry of Finance that the development of the hospital involved an investment of RM600mil through a joint venture between the State Financial Secretary Sarawak and a private company, Zecon Berhad.

?There is no reason for the state government to come out with the investment and be involved in the development of the hospital outside Sarawak while complaining of the poor standard of medical facilities in Sarawak,? he told a press conference here Sunday (Nov 25).   

On another note, Chong who is Deputy Domestic Trade and Consumers Affair Minister, said Sarawak cannot continue to be an opposition state, or else it would continue to be left behind in terms of development and distribution of welfare benefits from the federal government to the people of Sarawak. – Bernama

Sarawak’s richest MP: Larry Sng

Sarawak?s richest parliamentarian has been reported to be Julau?s MP YB Larry Sng who declared that his and his wife?s assets to be around RM11.78 million to the Malaysian Anti-Corruption Commission (MACC).

The MACC reported have been posting their reports on its asset declaration portal which aims to enable members of the administration and parliamentarians to have their assets displayed to the public, based on the government?s decision to prove transparency of its leadership.

In Sarawak Sng was followed by, Sarikei MP YB Wong Ling Biu and his wife with a declaration of assets at RM8.26 million, Puncak Borneo MP YB Willie Anak Mongin who declared his family?s assets at RM4.68 million, and Ba?kelalan MP Baru Bian who declared his and his wife?s assets at RM3.45 million.

Meanwhile, Bernama also reported that the title of the richest MP in all of Malaysia went to Beruas MP Ngeh Koo Ham who declared his total assets amounted to RM75.8 million ? the highest recorded among parliamentarians from the Government as of Nov 24.

Continue reading Sarawak’s richest MP: Larry Sng

#Fake news

This is why we still need the fake news act.

I hope Facebook takes action against the person who posted this message for insinuating that Petronas was linked to the incident. The incident is tragic and the people and families involved should not be trivialized. Stating that it happened in Terengganu on a Petronas rig is untrue and malicious.

The incident happened in the Persian Gulf and involved an Iranian platform in the Persian Gulf in 2013 and this is the video. -?Ngajat Sarawak

Pelantar minyak diluar pantai Terengganu tenggelam.

Posted by Kasi Viral on Wednesday, 17 October 2018

PPB Casting Petros As The Rock to Knock Petronas Out of Sarawak For Personal Interest Again?

The word Petros is from the original Greek and Coptic version of the name Peter, one of the apostles of Jesus. Fast forward 2000 years and Parti Pesaka Bumiputera and allies in GPS believe Petros will be the rock that knocks Petronas out of Sarawak.  

Continue reading PPB Casting Petros As The Rock to Knock Petronas Out of Sarawak For Personal Interest Again?

Only Sarawakians for Petronas? jobs in Sarawak?

The Government of Sarawak, one of two Malaysian states on the island of Borneo, has introduced a moratorium on all new applications for Petronas positions in the state. However, if an applicant is a Sarawakian, the moratorium does not apply, The Borneo Post has informed.

Continue reading Only Sarawakians for Petronas? jobs in Sarawak?

Sarawak at “full employment” category: Richard Riot

SERIAN: Sarawak currently has 1.2 million workforce with an unemployment rate of 3.3% compared to the national rate of 3.5%, said Human Resources Minister Datuk Seri Richard Riot Jaem (pix).

He said although the national unemployment rate was below four per cent, it was considered as “full employment”, and the government would continue to work on various initiatives and programmes to provide employment opportunities to job seekers.

Continue reading Sarawak at “full employment” category: Richard Riot

Do something about high unemployment rate, says SWP

SIBU: Sarawak Workers Party (SWP) has proposed retraining schemes to address high youth unemployment in the state.

SWP vice-president Daveed Munan said Labour Department statistics showed that in 2016, the number of unemployed between the ages of 18 and 40 years was 41,900.

Continue reading Do something about high unemployment rate, says SWP