Petronas maintains oil price outlook at US$66 per barrel

Power pact: Petronas vice-president Muhammad Zamri Jusoh (second from left) exchanging documents with Terengganu state secretary and director of Terengganu Inc Datuk A. Rahman Yahya after the signing of an MoU for a feasibility study on energy supply and energy-related infrastructure development for the Terengganu Silica Valley. Looking on are Petronas president and group CEO Tan Sri Wan Zukiflee Wan Ariffin (left) and Terengganu Mentri Besar Ahmad Samsuri Mokhtar. See page 3

PETALING JAYA: Petroliam Nasional Bhd (Petronas) said the oil price outlook for 2019 shall be maintained at US$66 per barrel, despite oil prices sliding to US$58 recently.

Petronas president and CEO Tan Sri Wan Zulkiflee Wan Ariffin said: “That (price) is our planning basis.”

“We do not change our planning basis every quarter, so our planning basis for (oil price) next year is still at US$66 per barrel.”

Yesterday, Petronas inked a memorandum of understanding with state investment arm Terengganu Inc to collaborate on feasibility studies on energy supply and energy-related infrastructure development for Terengganu Silica Valley (TSV).

TSV is the world’s first silica valley located in Jambu Bongkok, Marang, Terengganu, that is dedicated to silica- and quartz-based industries.

The RM13bil TSV which will be built based on an eco-industrial park concept shall comprise two development phases of 470 hectares and 3,520 hectares.

The feasibility studies, which is expected to be completed in less than 18 months, entails technical and commercial assessments and research for the supply of natural gas, power generation, supply of industrial gases and other related gas supply works.

The gas-related infrastructure development will be located in the first phase of TSV, also known as the anchor investor area.

According to Terengganu Mentri Besar Ahmad Samsuri Mokhtar, the memorandum of understanding also entails a proposal to develop 32 km of gas transmission and distribution pipeline in TSV.

Both Petronas and the Terengganu government are to jointly contribute to the funding of the gas pipeline, though the proposal is still at the preliminary stage.

Ahmad Samsuri said the MoU marks the first collaboration between Petronas and Terengganu Inc.

“I hope both parties will be committed to continue driving developments for Terengganu in the future to develop the silica valley apart from the oil and gas industry.

“TSV is expected to generate spin-off industries and other various economic activities in the East Coast region, creating some 7,200 new jobs for the locals,” he said.

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