CORPORATE PROFILE | 1

CORPORATE PROFILE

CO
OR
RPPO
OR
RA
ATTEE PPR
RO
OFFIILLEE
22 || C

PETRONAS - A Leading Oil and Gas

Multinational of Choice
PETRONAS, the national oil
company of Malaysia has,
since its establishment on
17 August 1974, transformed
from being a mere manager
and regulator of the countrys
upstream sector to become
an integrated oil and gas
multinational corporation.
Ranked on the FORTUNE Global
500, the PETRONAS Group has
ventured into more than
30 countries.

Table of Contents

Much of PETRONAS success can be attributed to our ability

to strike a balance between being a state-owned entity and a
full-fledged commercial organisation. As a state-owned entity,
PETRONAS is responsible for the effective management of
Malaysias oil and gas resources, to add value to this national
asset and to ensure the orderly and sustainable development
of the countrys petroleum industry. Meanwhile, as a business
entity, we conduct our operations in the most prudent and
commercial manner to compete effectively in the increasingly
challenging global business environment, while maximising
returns to our shareholders.
PETRONAS has, since the early 1990s, embarked on a
strategic globalisation programme to augment Malaysias
crude oil and gas reserves, add value to our core business and
provide exciting new challenges for our young employees.

Who We Are

2-3

Oil Business

8-9

On the Fast Track - Motorsports

Financial Track Record

Gas Business

10-11

Our Corporate Sustainability Initiatives 20

Our Business Operations

4-5

18-19

Petrochemical Business

12-13

HSE

Exploration & Production

Logistics & Maritime Business

14-15

Our People

22-23

Business

Technology Development

16-17

Contributions to Society

24-25

6-7

21

CORPORATE PROFILE | 3

(Year - USD billion)

80

20
66.2

07

08

09

30
20

12.9

11.4

07

08

09

TOTAL ASSETS
125

49.7

100
75

39.9

40

06

50

106.1

63

50

31.5

www.petronastwintowers.com.my

05

(Year - USD billion)

60

63.5

(Year - USD billion)

106

06

08

09

85.2

05

SHAREHOLDERS FUNDS
www.petronas.com

9.4

74.1

62.9

20

44.4

40

16
12

51

60

18.1

NET INCOME

(Year - USD billion)

77

REVENUE

36.1

With a proven track record in

integrated petroleum operations
and a strong commitment to
make meaningful contributions
to the host countries wherever
we operate, PETRONAS is being
increasingly accepted as a
preferred strategic partner.

(financial year ended 31 March)

15.3

Financial Track Record

25

10
0

0
05

06

07

08

09

05

06

07

Calculated at USD1 = RM3.7995 for FY2005, USD1 = RM3.7688 for FY2006, USD1 = RM3.6100 for FY2007, USD1 = RM3.3690
for FY2008 and USD1 = RM3.4318 for FY2009

4 | CORPORATE PROFILE

Our Business Operations

As a fully integrated oil and gas multinational, PETRONAS is
involved in the entire spectrum of petroleum activities. From
managing the work of foreign production sharing contractors,
we have evolved into developing our own capabilities in
the upstream sector - enabling us to take the lead in the
exploration and production of the nations oil and gas resources.
To maximise the value of this national asset, we have ventured
into a comprehensive range of downstream activities.
We seek to maximise value creation and strengthen the
integration of our operations all the way down the value chain.

CORPORATE PROFILE | 5

The range of our downstream activities includes:

Oil refining
Marketing and distribution of petroleum products
Trading
Gas processing and liquefaction
Gas transmission pipeline operations
Marketing of liquefied natural gas
Petrochemical manufacturing and marketing
Shipping
Property investment
We continue to expand our businesses both in Malaysia
and overseas as we journey towards realising our vision
To be a Leading Oil and Gas Multinational of Choice.

With our strategy of integration,

adding value and globalisation,
PETRONAS continues to chart
new paths and deliver excellent
performance for our stakeholders,
our employees, our nation,
and our host countries and
communities where we operate.

6 | CORPORATE PROFILE

Exploration & Production Business

PETRONAS is focused on
enhancing the value of and
increasing Malaysias oil and
gas reserves by promoting
and undertaking exploration
and production (E&P) activities
within the country and securing
new acreage overseas.

Our capability and track record of successful offshore

developments in oil and gas have earned us the operatorship
in many ventures and enabled us to expand our operations
overseas.
As at 31 March 2009, we have 66 international upstream
ventures in 22 countries, a demonstration of the relationships
we have built with host nations and a cherished recognition
of our E&P capabilities.
We continue to harness and build new technologies
to maximise opportunities and further strengthen our

In addition to increasing the prospectivity of our domestic

acreages, our E&P subsidiary PETRONAS Carigali Sdn

capabilities in aspiring to become a leader in niche technology

development and application in geoscience.

Bhd works alongside a number of multinational petroleum

New developments in deepwater E&P in the country have

companies in production sharing contracts (PSC) to

opened up new opportunities for growth. PETRONAS

explore, develop and produce oil and gas in Malaysia.

actively supports Malaysias aspiration to become a regional

deepwater hub.

CORPORATE PROFILE | 7

QUICK FACTS
Malaysias hydrocarbon reserves stand at 20.18 billion barrels
of oil equivalent (boe) with average production of 1.66 million
boe per day.
PETRONAS total hydrocarbon reserves stand at 27.02 billion
boe with average production of 1.80 million boe per day.
International reserves in Africa, Southeast Asia, the Middle
East and Central Asia stand at 6.84 billion boe, a
quarter of PETRONAS total reserves.
PETRONAS achieved Reserves Replacement Ratio of 1.1
times in Malaysia and 4.1 times internationally, amongst the
highest in the industry.
Malaysias first deepwater field, Kikeh, employing the first
Truss Spar floating production unit outside the Gulf of Mexico
came onstream in August 2007. The project achieved
world-class performance with only five years from discovery
to production.
* Reserves figures are as at 1 January 2009 and average production figures
are for financial year ended 31 March 2009.

8 | CORPORATE PROFILE

Oil Business
PETRONAS realises and adds value
to its crude oil resources through
refining, trading, marketing and
retailing activities. We own and
operate four refineries with a total
refining capacity of about 448,000
barrels per day. Our crude oil
marketing and trading activities
span the globe and our portfolio
includes a range of significant
grades from various regions. We
operate service stations in
countries including Malaysia,
South Africa, Sudan, Thailand
and Indonesia. PETRONAS also
conducts the production, marketing
and distribution of automotive
and industrial lubricants globally,

CORPORATE PROFILE | 9

including the PETRONAS Syntium

and Sprinta premium grade engine
oils. We are also involved in
aviation and liquefied petroleum
gas (LPG) businesses.
QUICK FACTS
PETRONAS owns and operates three oil refineries in Malaysiatwo in Melaka*, one in Kertih. Our subsidiary Engen Ltd owns
and operates a refinery in Durban, South Africa.
Our domestic refineries are highly regarded in terms of
operational excellence, ranking in the top quartile for refinery
utilisation in the Solomon benchmarking exercise within Asia
Pacific for six consecutive years, as well as winning various
Health, Safety and Environment (HSE) awards.
Our retail subsidiaries PETRONAS Dagangan Berhad and
Engen Ltd are market leaders in Malaysia and South Africa
respectively.
The formation of PETRONAS Lubricants International,
following our acquisition of Italys FL Selenia SpA, Europes
largest independent producer and marketer of automotive

lubricants and specialist fluids, boosts our global presence

with a vast operations network across Europe, South America
and USA.
LPG terminalling, bottling and distribution activities are
carried out in India, Malaysia, the Philippines and Vietnam.
PETRONAS Melaka Group III (MG3) Base Oil plant produces
ETRO, one of the worlds highest quality base oils used
in the production of top-tier automotive and industrial
lubricants.
*The PSR-2 refinery is co-owned with ConocoPhillips (47%)

www.mymesra.com.my
www.engen.co.za

10 | CORPORATE PROFILE

Gas Business
PETRONAS has achieved the
reputation of a trusted and reliable
partner in the supply of natural gas
domestically and internationally.
Our liquefied natural gas (LNG)
business is expanding further as
we venture into unconventional
gas with a joint venture to develop
and operate a coal seam gas-to-LNG
project in Australia with first cargo
scheduled for 2014.

CORPORATE PROFILE | 11

In Malaysia, PETRONAS developed the Peninsular Gas Utilisation

(PGU) pipeline system to meet the nations energy needs by
supplying processed gas through a more than 2,500 km transpeninsular gas transmission pipeline. As part of the ASEAN
Council on Petroleum (ASCOPE), PETRONAS champions the
creation of the Trans-ASEAN Gas Pipeline (TAGP) by 2020 to

Our acquisition of Star Energy plc enables us to expand and

strengthen our position in the gas storage sector in the UK
and Europe.

provide energy security and supply in the region.

PETRONAS promotes the use of gas fuel for a cleaner

environment and operates the only Natural Gas for Vehicles
(NGV) service stations in Malaysia.

QUICK FACTS
The PETRONAS LNG Complex in Bintulu, Sarawak is one
of the worlds largest LNG production facilities at a single
location with a combined capacity of about 23 million tonnes
per annum.
We are one of the largest equity owners of LNG production
capacity in the world and have delivered over 6,000 cargoes
on time and without fail since 1983.
PETRONAS LNG business has expanded from our traditional
Far East markets to the Atlantic Basin, with interest in the
integrated Egyptian LNG project and the Dragon LNG
regasification terminal in the UK.

PETRONAS has interests in more than 10,000 km of natural

gas pipelines worldwide, including in Thailand, Indonesia,
Australia and Argentina.

12 | CORPORATE PROFILE

Petrochemical Business
PETRONAS venture into the
petrochemical industry adds
further value to the nations gas
resources. We partner foreign
multinational companies to
acquire the best petrochemical
expertise and technological
know-how. With adequate
feedstock via the PGU pipeline,
PETRONAS is positioning Malaysia
to be a competitive petrochemical
hub with the establishment of
two integrated petrochemical
complexes (IPCs) with superior
logistics and infrastructure
capabilities.

CORPORATE PROFILE | 13

The Kertih Integrated Petrochemical Complex and the Gebeng

Integrated Petrochemical Complex provide ready sites for
petrochemical plants with the provision of industrial gases and
utilities via the Centralised Utility Facilities, ports and a railway
link for a more efficient delivery system. Since 1992, the IPCs
have grown to become home to more than 20 petrochemical
plants. PETRONAS is also promoting the plastics manufacturing
sector by developing the Kertih Plastics Park to take advantage
of readily-available feedstock from the adjacent IPC.
QUICK FACTS
PETRONAS produced a total of 9.2 million tonnes of
petrochemical products in financial year ended 31 March
2009.
Major petrochemical players that partner with us include
BASF, Dow Chemical Company, BP Chemicals, Idemitsu and
Sasol.
The two IPCs are served by three ports - Kertih, Kemaman
and Kuantan ports - and are linked by the Kertih-Kuantan
Railway System.

PETRONAS subsidiary, Malaysian International Trading

Corporation Sdn Bhd (MITCO), markets and trades our
petrochemical products to both Malaysian and international
customers.
Our Mega Methanol project in Labuan is among the largest
methanol plants in the world with a capacity of 1.7 million
tonnes per year.
Overseas, PETRONAS owns and operates the Phu My
Plastics & Chemical Company Ltd in Vietnam.
Our Petrochemical Products include:
Acetic Acid

Ethylene Oxide

Polypropylene

Acrylic Acid

Methanol

Polyvinyl Chloride (PVC)

Ammonia

Methyl Tertiary Butyl Ether

(MTBE)

Propylene

Carbon Monoxide

Oxogas

Urea

Ethylene

Paraxylene

Vinyl Chloride Monomer (VCM)

Ethylene Glycol

Polyethylene

Benzene

www.mitco.com.my

Styrene Monomer

14 | CORPORATE PROFILE

Logistics & Maritime Business

MISC Berhad is PETRONAS
shipping subsidiary,
adding value to our energy
business by providing us
with reliable transport and
logistics support as well as
the flexibility to trade our
products in wider markets.
Its relatively young fleet of
more than 100 vessels, with
a combined tonnage totalling
more than eight million dwt,
confidently traverses the
globe, calling at most major
ports around the world.

Its wholly owned subsidiary, Malaysia Marine and Heavy

Engineering Sdn Bhd (MMHE), is committed to becoming a
leading marine and heavy engineering organisation.
QUICK FACTS
MISC is a leading provider of energy transportation in the
world, with more than 25 years of proven experience in LNG
transportation.
MISCs petroleum business is undertaken by AET Inc Ltd,
the No.1 lightering service provider in the US Gulf and now
has global reach through regional hubs in Houston, Kuala
Lumpur, London and Singapore.
MISC has its own world-class training academy - Malaysian
Maritime Academy (ALAM) - dedicated to producing highly
qualified graduates for the maritime industry.

CORPORATE PROFILE | 15

MMHE fabricated the Truss Spar floating production unit

and the Floating Production, Storage and Offloading (FPSO)
facility for the Kikeh Development Project - Malaysias first
deepwater development.
Fleet numbers by business (as at 31 March 2009)
LNG carriers
Petroleum tankers
Chemical tankers
FPSO/FSO
Liner
Total
www.misc.com.my

29
45
17
9
19
119

16 | CORPORATE PROFILE

Technology Development
As technology is a crucial part
of growth within the oil and gas
industry, PETRONAS pursues
technological development with
great enthusiasm. Through
innovation, we have added value
in the areas of E&P, lubricant
development and automotive
engineering.
A key area in addressing the worlds energy needs is in
developing technologies to increase our hydrocarbon resources
and to enhance the productivity and recovery of each field.
As Malaysias oil and gas discoveries are made in increasingly
deep waters, we are excited about exploring this new frontier.

CORPORATE PROFILE | 17

In the downstream sector, we also look towards innovation to

maximise throughput and yield in the oil, gas and petrochemical
sectors. By improving our processes, facilities and materials, we
will continue to achieve higher levels of operational excellence.
At the same time, as quality standards and demand for new
applications increase, PETRONAS is already looking into our
range of petroleum, polymer and special products to meet the
needs of a fast-evolving world. Through strategic alliances with
world-class institutions, we are also developing a renewable
energy laboratory.
We are committed to investing in research and development to
develop niche technologies.
QUICK FACTS
Our E&P arm, Carigali, has pioneered the use of worlds-first
technologies, among which are sand control and clearing
organic solids from production tubing.
Malaysias first deepwater development project, Kikeh,
utilises Truss Spar technology, the first outside of the Gulf
of Mexico and fabricated by our subsidiary MMHE. FPSO

Kikeh, also fabricated by MMHE, has the largest and heavist

external turret in the world.
We installed the worlds first onshore mercury management
system to treat raw condensates, eliminating possible HSE
and operational hazards.
Our top-of-the-range fully-synthetic passenger car lubricant,
Syntium 5000, meets the highest Original Equipment
Manufacturers (OEM) specifications and API standards.
The ECOPLUS range of environmentally-degradable
polymers developed by PETRONAS is an innovation in the
manufacturing process of degradable plastic resin.
From our involvement in Formula One, we have gained
automotive engineering technology, resulting in the successful
development of the PETRONAS EO1 engine, currently being
developed for commercial use.
PETRONAS researchers have also successfully applied Green
Chemistry in the removal of mercury from hydrocarbons and
in the treatment of low quality crudes.
We developed a new catalytic conversion process in the
MG3 plant, currently one of only 10 such plants in the world
producing top-tier Group III base oil.

18 | CORPORATE PROFILE

On the Fast Track - Motorsports

PETRONAS has been involved
in motorsports for over two
decades, an association that
includes more than a dozen years
at the pinnacle of motor-racing,
Formula One. Our involvement
in motorsports has proven to
be an effective platform for
the research, development and
promotion of PETRONAS fuel
and lubricant products, allowing
further expansion of the Groups
downstream retail business.
Motorsports has also given
PETRONAS the opportunity

CORPORATE PROFILE | 19

to supplement and enhance

our technological and human
capabilities.
PETRONAS involvement in motorsports includes:
Formula One: As an extension of our relationship with the
Sauber Formula One Team since 1995, PETRONAS is the
Premium Partner to the BMW Sauber F1 Team in the 2009
FIA Formula One World Championship.
Motorcycle Racing: FIAT-YAMAHA TEAM in the FIM Road
Racing World Championship Grand Prix or MOTOGP and the
PETRONAS SPRINTA YAMAHA Racing Teams in the national
and regional motorcycle racing championships.
Endurance Racing: PETRONAS SYNTIUM TEAM in the
Japanese Super Taikyu Endurance Series.
GT Racing: LEXUS TEAM PETRONAS TOMS in Japans
Super GT Series.
Formula Racing: PETRONAS TEAM TOMS in Japans
premier Formula racing categories; the Formula Nippon and
All Japan Formula 3 Championships.

Formula BMW: TEAM HOLZER PFX, racing in the entry-level

single-seater Formula BMW series.
Driver Development: PETRONAS FORMULA XPERIENCE
racing school to train, nurture and develop young racing
talents in open-wheel single-seater racing.
PETRONAS is the title sponsor of the PETRONAS Malaysian
Formula One Grand Prix at the Sepang International Circuit,
the PETRONAS AAM Malaysian Cub Prix Championship, the
PETRONAS FIM Asia Road Racing Championship motorcycle
series, as well as the Merdeka Millennium Endurance race.
www.petmos.com.my

20 | CORPORATE PROFILE

Our Corporate
Sustainability Initiatives
In line with our commitment
to continuous growth and
sustainable development for
the future, PETRONAS works
in the best possible way to
balance and integrate economic,
environmental and social
considerations into our business
decisions. These considerations
include among other things
strong HSE management and
performance, continuous
development of our people,
and our long-term and holistic
contribution to society.

CORPORATE PROFILE | 21

HEALTH, SAFETY AND

ENVIRONMENT (HSE)
As a responsible corporate citizen, PETRONAS is
uncompromisingly committed to responsible HSE management
practices in every aspect of our operations.
We endeavour to ensure that the facilities we design, build and
operate, the products we manufacture and the services we
provide are in accordance with appropriate legal requirements,
industry standards and best practices. We carry out regular
programmes to ensure that our employees and contractors,
communities in the areas we operate, and the public in general
are educated on HSE issues.
The well-being of our employees and contractors is a major
area of concern. Significant efforts have been made to
improve safety in the workplace and offsite, resulting in strict
compliance with our health and safety standards across the
Groups operations.

PETRONAS has also taken proactive steps towards the

conservation and preservation of the environment. Among the
measures we are committed to is the reduction of greenhouse
gas emissions. Through the use of cogeneration units fuelled by
natural gas, we pursue energy efficiency, and have implemented
the Energy Loss Management System at our plants to further
reduce energy wastage.
Throughout the years, we have garnered many national and
international HSE awards by maintaining operational excellence.
We share HSE best practices and lessons learnt across the
Group to further our culture of continuous improvement.

22 | CORPORATE PROFILE

Our Corporate Sustainability Initiatives > continued

PETRONAS stature as a
multinational corporation is
reflected in our workforce
composition of nationals from
28 countries. As a FORTUNE
Global 500 company, we
employ the best and the
brightest. As an employer, our
joy is in seeing our employees
live up to their potential.

OUR PEOPLE
PETRONAS Human Resource Management Division works
hand-in-hand with the Education Division to grow our human
capital. Compulsory skills training and e-learning modules are
made available to cultivate a culture of continuous learning
within the Group.
As a player in a technically-driven industry, we strive to
harness the capability and potential of our technical personnel.
The establishment of the Technical Trade Specialist scheme
provides career development opportunities for highly skilled
and experienced operators and technicians to progress further
within the organisation. Young engineers, meanwhile, are
nurtured via the Technical Professional Career Progression
programme, fast tracking their learning and development into
leaders in their respective areas of expertise.

CORPORATE PROFILE | 23

Leadership development is a serious undertaking within

PETRONAS, and staff are encouraged to step up to the plate
and take on new challenges to hone their managerial skills.
Employees who demonstrate potential are given exposure
through job rotation and international assignments, while the
leadership-opportunity matching process also encourages
staff to move upwards in the organisation. We believe that
improving the quality of our human capital will help the country
to achieve its vision of becoming a developed nation.

www.discoverpetronas.com

24 | CORPORATE PROFILE

Our Corporate Sustainability Initiatives > continued

In striving to enrich the

lives we touch, our social
investments focus strongly
on education as a means of
self-improvement.
The programmes we support
cover a full range of human
development, including health,
the environment, science and
technology, arts and culture,
and sports.
www.utp.edu.my
www.alam.edu.my
www.petrosains.com.my
www.mpo.com.my

CONTRIBUTIONS TO SOCIETY
Our community programmes include:
Tuition and motivational sessions for underprivileged
schoolgoing children through the Program Bakti Pendidikan
PETRONAS.
Setting up education institutions such as Universiti Teknologi
PETRONAS (UTP), Institut Teknologi PETRONAS (INSTEP)
and Malaysian Maritime Academy (ALAM).
Awarding scholarships and education grants annually to local
and international students from our host nations to promote
study in various disciplines, especially engineering and
geosciences.
Creating awareness and encouraging interest in science and
technology through the establishment of the PETROSAINS
Discovery Centre and the interactive road safety mobile
exhibition StreetSmart.
Promoting appreciation of world-class cultural experiences
through the cultivation of our own PETRONAS Performing
Arts Group, art exhibitions at GALERI PETRONAS, and the
renowned Malaysian Philharmonic Orchestra in residence at
Dewan Filharmonik PETRONAS.

CORPORATE PROFILE | 25

Contributed towards urban renewal projects like KLCC Park,

Putrajaya Wetlands and sponsorship of Zoo Negara.
Engaging in medical research by supporting the establishment
of Malaysias Cancer Research Initiatives Foundation (CARIF)
and delivering healthcare to rural areas with our Mobile
Eye Clinic in collaboration with the Tun Hussein Onn Eye
Hospital.
Community welfare projects for the underprivileged.
Humanitarian relief efforts through the PETRONAS Volunteer
Opportunity Programme (PVOP), in areas devastated by
floods, earthquakes and cyclones.
Sports development and promotion by partnering with the
Malaysian Basketball Association (MABA), and sponsoring
events like Sukan Malaysia (SUKMA) and Le Tour de
Langkawi.
Community relations projects in the countries we operate
in to provide basic needs like safe drinking water, shelter,
healthcare and skills training.

26 | CORPORATE PROFILE

For further information on PETRONAS, please contact:

Group Corporate Affairs
Legal & Corporate Affairs Division
Level 70, Tower 1, PETRONAS Twin Towers
Kuala Lumpur City Centre, 50088 Kuala Lumpur, MALAYSIA
Tel: + 603-2051 5000
Fax: + 603-2026 5050
www.petronas.com

2009 PETROLIAM NASIONAL BERHAD (PETRONAS)

All rights reserved. PETRONAS makes no representation or warranty, whether express or implied, as to the accuracy or
completeness of the facts presented. PETRONAS disclaims responsibility from any liability arising out of reliance on
the contents of this publication.

This brochure is updated and published yearly. All information is correct as at March 2009.

CORPORATE PROFILE | 27

28 | CORPORATE PROFILE

Petroliam Nasional Berhad (PETRONAS) Company No. 20076-K

Registered Office: Tower 1, PETRONAS Twin Towers
Kuala Lumpur City Centre, 50088 Kuala Lumpur, Malaysia
+603 2051 5000
+603 2026 5050
www.petronas.com

Telephone:
Fax: