As petrol pump prices rise steadily (another increase in RON 97 price has just been reported), here’s a less well known trend: Malaysian oil production has been gradually falling since peaking in 2004.
This graph should be of concern to all Malaysians. Notice the production-consumption gap narrowing.
That’s why they are dishing out contracts for ‘enhanced’ oil recovery.
Says the US Energy Information Administration:
Total oil production in 2009 was 693,000 barrels per day (bbl/d), of which 83 percent was crude oil. More than half of total Malaysian oil production currently comes from the Tapis field in the offshore Malay basin. Malaysian oil production has been gradually decreasing since reaching a peak of 862,000 bbl/d in 2004 due to its maturing offshore reservoirs. Malaysia consumes the majority of its production and domestic consumption has been rising as production has been falling. Exports in 2009 were 157,000 bbl/d. However, the government is focused on opening up new investment opportunities by enhancing output from existing fields and developing new fields in deepwater areas offshore Sarawak and Sabah.
Isn’t it time we looked at how we can conserve our reserves for future generations, instead of consuming like there is no tomorrow? We cannot pretend that oil is an infinite resource.
It’s also time we really looked at how we are spending our oil revenue and frittering away precious resources. We need more accountability and transparency in Petronas accounts as well.
We need a more sustainable and environmentally friendly economic model that is also socially just.