Thursday, 22 December 2016

Petronas output cut poses minimal impact to Govt’s reserve

 crude oil

KUALA LUMPUR: Second Finance Minister Datuk Johari Abd Ghani says Petroliam Nasional Bhd's (Petronas) plan to decrease yield in January 2017 would not fundamentally influence the administration's hold.

Addressing correspondents today, he said the effect of the lessening would be remunerated by an ascent in unrefined petroleum costs.

"Petronas creates just about 500,000 barrels for every day and the cut is somewhat underneath 5%.

"We have seen an expansion in raw petroleum costs (as of late) and expect the effect from the diminishment to be insignificant," he told journalists at the twentieth commemoration of the Rapid KL LRT Ampang Line here today.

Among those present at the occasion was Prasarana Malaysia Bhd president and gathering CEO, Datuk Seri Azmi Abdul Aziz, and in addition previous Kuala Lumpur Mayor, Tan Sri Elyas Omar.

On Wednesday, Petronas showed it might slice up to 20,000 barrels for each day of rough yield starting one month from now.


Petronas said the willful acclimation to the nation's raw petroleum creation was a reaction to the agreement between the Organization of the Petroleum Exporting Countries (Opec) and non-Opec makers on Dec 10 to slice yield.

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