Oil & Gas is a big part of the economy. It contributes 20% of gross domestic product (GDP goods and services produced in a year). In terms of revenue to the Government, it is even more important the national oil corporation, Petronas, accounts for about 40% of tax revenue.
Business Circle talks to Dr. Emir Mavani the CEO & President of Malaysia Petroleum Resources Corporation (MPRC) on whether Malaysia is ready to be a regional and international O&G hub.
Malaysia Petroleum Resources Corporation (MPRC) was formed on April 2011 and started operation in July. As an agency under the Prime Minister’s Department, MPRC’s role is to promote, catalyse and transform the oil and gas services sector to become stronger entities to support industry needs domestically as well as in international markets. In doing so, MPRC wants to position Malaysia to be the number one O&G hub in the Asia Pacific region by 2017.
There are a number of business opportunities in the oil, gas and energy sector, which together with the baseline sector growth will provide RM61.2 billion of GNI contribution by 2020. This amount includes a RM32.0 billion increase in GNI versus the 2009 baseline GNI due to expected increases in the oil price, given relatively low oil prices in 2009. The business opportunities can be grouped into two clear themes. Firstly, there are opportunities to secure more output from the same input as current processes are improved and efficiency gains are realised. The second theme is opportunities stemming from the increased demand for energy deriving from a growing economy.
For more on MPRC head to http://www.mprc.gov.my/
Find out more about Shaping Malaysia’s Marketplace at /