Table of Content
1.0 INTRODUCTION
1.1 OVERVIEW OF OIL AND GAS IN MALAYSIA
Malaysia Oil and gas reserves were in discovered in 1909 by Shell in Sarawak, Malaysia and led to the creation of many opportunities for major oil producers like shell, Exxon Mobil to invest in. the industry provided employment to thousand of Malaysians and changed the economy of the country. This industry has government support due to the long term objectives they have for it such as securing a sustainable and long term success of the oil and gas industry, through increasing the aggregate production capacity by 5% per year until 2020, so as to meet the domestic demand and at the same time exporting for the overseas market (Corporation, 2013).
1.2 ROYAL DUTCH SHELL MALAYSIA
As shell first discovered oil and gas in Malaysia, the first production was made in 1910. It was incorporated in September 1960 and was listed as a public company on the bursa Malaysia on 29 October. Today, shell is the largest natural gas producer and leader in petroleum retail market in Malaysia, catering to one-third of Peninsular Malaysia and half of Sabah and Sarawak’s market requirements and it shares production contract with Malaysian oil and gas company Petronas (Shell, 2013). Shell operations in Malaysia involve upstream, downstream, project and technology and shell business service center.
1.2.1 SHELL OPERATIONS
A) UPSTREAM OPERATIONS
Shell upstream operations have been there for 100 years, and their main focus is in the
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