O&G firms see RM398m export potential

This is via the International Sourcing Programme at MOGSEC 2018

By LYDIA NATHAN

MALAYSIAN companies have recorded a total RM397.9 million of export potential via the International Sourcing Programme (INSP) at the 4th Malaysian Oil and Gas Services Exhibition and Conference (MOGSEC) 2018 that was held between Sept 25 and Sept 26, 2018.

The exhibition saw the participation of 34 Malaysian oil and gas (O&G) companies that were eyeing export markets including the United Arab Emirates, Pakistan, Turkey, Myanmar and Vietnam.

Malaysia External Trade Development Corp (Matrade) CEO Dr Mohd Shahreen Zainooreen Madros (picture) said in a statement the export potential was configured through 86 meetings organised under the INSP.

“The INSP helps a great deal for local companies as they get to meet with the foreign buyers in their home country, giving them a competitive advantage in terms of cost,” he said.

He added that foreign buyers at the INSP this year were sourcing various Malaysian O&G services including equipment and parts, rig cooling services, well-testing support equipment services, vessel monitoring systems, remote monitoring, manpower supply and services, transportation and logistics, services gas, as well as saturation logging and simulation studies.

Mohd Shahreen said the INSP had continued to be effective as it only matches companies with reliable and highquality buyers.

“After more than two decades of promoting trade, Matrade has developed a strong niche and skill in organising business matching locally and internationally,” he said.

He added that there is a need for Malaysian companies to continue to explore trade opportunities through the INSP and Matrade to strengthen ties and advance the growth of the local O&G industry.

The INSP is an initiative by Matrade, while MOGSEC was launched in 2012 in an effort to position Malaysia as the hub of O&G in the region.

Meanwhile, at the exhibition, Petroliam Nasional Bhd CEO Tan Sri Wan Zulkiflee Wan Ariffin urged industry players to remain cautious in responding to industry landscapes even if global prospects are improving.

According to a recent report, he said the business model used must be steady in coping with the price cyclical inherent in the O&G industry.

He added that the local O&G industry has continuously shown a positive response and this was reflected in the increased investment volume, in line with higher oil prices and better prospects.

The Brent oil price had risen to RM297.70 per barrel, compared to an average of RM223.30 in 2017.