342 Sarawak companies drive oil and gas services and equipment sector with RM3.9 bln revenue contribution

File photo for illustration purposes only.

By DayakDaily Team

MIRI, Aug 20: Malaysia Petroleum Resources Corporation’s (MPRC) latest report for the 2022 financial year identified 342 Sarawak-based companies contributing RM3.9 billion to the oil and gas services and equipment (OGSE) sector’s total revenue of RM73 billion.

The annual OSGE100 report analyses the country’s OGSE sector and ranked its top 100 companies by revenue.

MPRC president and chief executive officer Mohd Yazid Ja’afar highlighted the significant role Sarawak continues to play in the future of the oil and gas industry.

“The Lang Lebah, Kasawari, Rosmari-Marjoram projects, along with the active development of the carbon capture, utilisation and storage (CCUS) market, demostrate the positive outlook for oil and gas industry in Sarawak and by virtue of this, its supply chain of OGSE companies,” he said.

Mohd Yazid also emphasised the growing importance of sustainability in the sector, driven by initiatives like the National Energy Transition Roadmap (NETR), the New Industrial Master Plan (NIMP) 2030, the Mid-Term Review of the 12th Malaysia Plan, and the forthcoming 13th Malaysia Plan. These developments underscore the need for OGSE companies to adapt to new opportunities and challenges in sustainability.

He made these remarks in his speech text at the MPRC Industry Engagement Series-Sarawak: National OGSE Sustainability Framework Guide (NOS-F Guide) Workshop held today at Miri Marriott Resort and Spa.

Mohd Yazid reiterated the federal government’s support for Sarawak’s OGSE companies through the OGSE Blueprint and the National OGSE Sustainability agenda.

The OGSE Blueprint is an initiative by the Malaysian government to develop a robust, resilient, and competitive OGSE sector that contributes to the country’s sustainable economic growth.

The National OGSE Sustainability programme, on the other hand, is designed to guide OGSE companies in adopting and reporting on sustainability practices.

Additionally, he mentioned that the ongoing Mid-Term Review (MTR) of the OGSE Blueprint is being conducted to refine current initiatives, ensuring alignment with industry needs and national policies, particularly in integrating sustainability and energy transition into action plans.

“Given the rapid emergence of sustainability and ESG requirements recently, we are of the view that sustainability has fast become a license to operate for companies, especially those with greater proximity to climate change issues,” he noted.

Mohd Yazid hopes that participants and stakeholders would gain a better understanding of the support and guidance available from the government to meet sustainability compliance and reporting requirements.

The MPRC Workshop is part of the National OGSE Industry Blueprint 2021-2030, aiming to gather feedback on the NOS-F Guide, which will be introduced in October 2024 to provide guidance on the adoption of the National OGSE Sustainability Roadmap (NOS-R).

The two-day event, which commenced on Aug 19, was supported by the Ministry of International Trade, Industry, and Investment Sarawak (Mintred) and Petroleum Sarawak Berhad (Petros).

Sarawak Economic Planning Unit (EPU) director Ikmal Hisham maharon, MPRC chairman Dato Dr Ahmad Suhaili Idrus, PETRONAS senior general manager for Ecosystem Development Syaharudin Hassan and Petros head of Industrial Capability Abdul Azid Allan were among those present. — DayakDaily