2014 PETROLIAM NASIONAL BERHAD (PETRONAS)

All rights reserved. No part of this document may be reproduced, stored in a retrieval system or transmitted in any form or by any means
(electronic, mechanical, photocopying, recording or otherwise) without the permission of the copyright owner.
The Easy Oil is Over:
How NOCs are Reshaping to
Stay Fit in the New Normal
26 March 2014

By Dato Wee Yiaw Hin
Executive Vice President
PETRONAS Exploration & Production
Image: Erb West Platform, Malaysia
Incorporated
Regulator
Integrated O&G
Operations
International
Ventures
Distinctive Domestic
Resource Manager &
Global Presence I-NOC
Easy Oil is over who says it was ever Easy?
Worlds Most Profitable
Company in Oil & Gas
Worlds Most
Profitable Company in
Across Sectors
#6
#19
1970s
Today
1980s-1990s
1990s-2000s
Production
2.1 Million BOE per day
Now what is this New Normal that NOCs are facing?
1984 2014 2004 1994
Three Hard Truths
EASY OIL
IS OVER
SUPPLY TO
MEET
GROWING
DEMAND
ENVIRONMENTAL
CONCERNS
The NOCs added accountability:
Security of Supply
Nations Revenue Generator Business
Model
Business &
Operations
Strategy
Business Model
Strategic &
Operational
Autonomy
Governance
Commercial
Mindset
1
3
2
The Way We Work
PETRONAS has transformed over
the years
The NOCs Role in
Effective Resource
Management

REGULATOR
ENABLER
PETRONAS EP Goals
3-3.5% Prodn Growth
RRR >1.1
ROACE 15-20%
Domestic Strategy
Sweat Assets (EOR)
Marginal, Idle Fields
Aggressive Exploration
Profitability Performance
Capabilities
Management System
Risks
What We Need
Integration, Scale & Technology
Capabilities
Page 7
OFFSHORE
TERMINALS & PIPELINES
PLANTS
EDUCATION &
CAPABILITY BUILDING
Page 9
It was Not Easy,
Increasing Challenges
Response
Business Model and
Operations Strategy
2014 PETROLIAM NASIONAL BERHAD (PETRONAS)
All rights reserved. No part of this document may be reproduced, stored in a retrieval system or transmitted in any form or by any means
(electronic, mechanical, photocopying, recording or otherwise) without the permission of the copyright owner.
The Easy Oil is Over:
How NOCs are Reshaping to
Stay Fit in the New Normal
THANK YOU
Image: Erb West Platform, Malaysia