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PETRONAS, the acronym for Petroliam Nasional Berhad is the national oil and gas company of Malaysia, wholly owned by the Malaysian Government. Incorporated on 17 August 1974, it is vested with the entire ownership and control of the country's oil and gas resources under the Petroleum Development Act 1974. Since its establishment, PETRONAS has diversified from its upstream oil and gas exploration activities into the downstream oil refining, gas processing, liquefaction and transmission, petrochemical manufacturing, marketing and transportation activities. Today, PETRONAS has grown to become a fully integrated oil and gas company, expanding its upstream and downstream activities into the international arena to forge towards its vision of becoming "A Leading Oil and Gas Multinational of Choice".
DOMESTIC ACTIVITIES
Exploration and Production
In the upstream sector, PETRONAS' efforts are concentrated on sustaining and enhancing Malaysia's reserves base which currently stands at 4.1 billion barrels of oil and 85 trillion standard cubic feet of gas. Its upstream activities include the exploration for and production of crude oil and natural gas. PETRONAS manages these activities by engaging a number of international oil and gas companies to participate in the exploration, development and production of oil and gas in Malaysia through the production sharing contracts (PSCs). The PSCs provide for the recovery of cost by the PS Contractors and the sharing of crude oil and natural gas production between PETRONAS and the PS Contractors.
Refining and Marketing
Downstream, PETRONAS is involved in refining activities which are carried out at its two refineries in Kertih and Melaka in Peninsular Malaysia. The two refineries currently have a combined capacity of 140,000 barrels per day.
In the domestic market, PETRONAS sells fuel oil, diesel, motor gasoline, kerosene, lubricants and liquefied petroleum gas (LPG) produced by its...