KUCHING: Sarawak companies will be given contract works of not less than RM2.1b a year in the oil and gas sector within Sarawak waters.
Deputy Premier Datuk Amar Awang Tengah Ali Hasan said the Sarawak government and Petronas had agreed on the matter and that it will gradually increase, depending on the volume of works and the capability of the local private sector.
“I’m happy to note that Petronas has agreed to increase the annual contract value within Sarawak waters.
“Petronas also agreed to increase the contract threshold for both upstream and downstream activities.
“For the upstream sector, the threshold value is to be increased from RM10 million to RM50 million by 2030 while for the downstream sector, the threshold value will be increased from currently RM5 million to RM20 million by 2030.
“At the same time, Petronas SWEC (Standardised Work and Equipment Categories) code for priority for Sarawakian contractors will also increase from the baseline of 63 categories to 600 categories by 2030.”
Awang Tengah, who is also the Second Minister for Natural Resources and Urban Development said this ahead of the signing of a sales and purchase agreement for the Bintulu Liquefied Petroleum Gas Terminal Sarawak between Petronas Dagangan Berhad (PDB) and Pusaka Integrated Resources Sdn Bhd held at Dewan Seminar, Sarawak Timber Industry Development Corporation (STIDC), yesterday (Nov 1).
On the sales and purchase agreement signing, he said it is a good step towards proliferation of the oil and gas sector in Sarawak.
“Besides the state government’s efforts to increase Sarawak’s participation in our oil and gas sector, it is important that the private sector to also be actively involved to ensure vibrant and dynamic oil and gas industry.
“The signing ceremony will certainly enhance the cooperation between Pusaka Capital and Petronas Dagangan in the oil and gas industry for the benefit of both parties and rakyat as a whole,” he added.
According to Awang Tengah, STIDC has been involved in a wide range of economic activities such as aviation, agriculture, port and airport management, food production, oil and gas depot terminals, logistics, distribution of petroleum products and timber related activities both upstream and downstream.
He noted that in the oil and gas sector, STIDC through Pusaka Capital has collaborated with Petronas Dagangan in the distribution of bitumen since 2018.
