KUALA LUMPUR: Petroliam Nasional Bhd (Petronas) has put aside the next capital expenditure of practically RM60 billion for the monetary yr ending Dec 31, 2022 (FY2022), of which 10 per cent can be spent on non-traditional spaces reminiscent of specialty chemical substances and photo voltaic energy to realize its net-zero carbon emissions goal by 2050.
Group chief monetary officer (CFO) Liza Mustapha mentioned the 10 per cent allocation is the nationwide oil firm’s inaugural capex for clean energy spaces.
“Previously, I feel there was by no means a plan on what price it ought to be (for the clean energy phase) as a result of there was no allocation from the prime, so it didn’t actually take off.
“So, we have to deliberate when it comes to our capital allocation choice, and set it apart… as a result of if we simply depart it and allow them to go along with the circulate, then we can be one yr behind (from attaining the goal) yet again,” she mentioned at a digital MIDF Conversations session with MIDF group managing director Datuk Charon Mokhzani right this moment.
On the RM60 billion capex, Liza mentioned it was doubled from the RM30 billion in FY2021 attributable to the catch-up and return of financial actions.
She mentioned the capex can be utilised for ongoing and new tasks, of which half of it being spent on home tasks whereas the remaining for abroad tasks.
On the present hovering crude oil costs, Liza mentioned Petronas stays prudent when it comes to predicting the crude oil costs and would follow the elementary value of US$50-60 per barrel (US$1=RM4.39) in the long term.
“That is the foundation of how we sanction our tasks, due to this fact, the tasks ought to be sturdy no matter the oil value volatility.
“If the costs go up, like what Goldman Sachs Group, Inc. anticipated that Brent crude would common over US$140 per barrel, we simply should be agile sufficient to seize the upside whereas the upside remains to be there,” she mentioned.
Meanwhile, Liza agreed that the weakening ringgit in opposition to the buck, coupled with the excessive crude oil costs, had given a double bonanza for the oil and fuel big to date.
Moving ahead in FY2022, she expects Petronas to proceed registering a triple-digit development in earnings, monitoring Q1 FY2022 development that noticed the web revenue surging 154.15 per cent to RM23.44 billion from RM9.22 billion in the identical interval final yr.
On the Pengerang Integrated Complex, Liza mentioned the 50:50 three way partnership between Petronas and Saudi Aramco had resumed operations, and each corporations had been working carefully collectively, particularly in direction of the start-up of the refinery and petrochemical companies. – Bernama
