Best of our wild blogs: 7 Apr 14



The Well-Dressed Waterhen's Wardrobe Changes
from Bird Ecology Study Group

Dragonfly (47) – Raphismia bispina
from Dragonflies & Damselflies of Singapore

Love MacRitchie song and radio interview with the producers
from Love our MacRitchie Forest

Behind the scenes at a kopi luwak farm in Bali
from Project LUWAK SG

Green Crested Lizard @ Bukit Timah
from Monday Morgue


Read more!

Malaysia: 'Rapid project helps fishermen'

New Straits Times 7 Apr 14;

JOHOR BARU: The Fisheries Development Authority of Malaysia (LKIM) yesterday urged fishermen in Pengerang to give their full support to the US$27 billion (RM88.6 billion) Refinery and Petrochemical Integrated Development (Rapid) project.

Its chairman, Datuk Irmohizam Ibrahim, said Rapid would provide 4,000 jobs and needed about 40,000 contract workers.

He said the local community, particularly fishermen, should not be swayed by certain quarters who were trying to sabotage the development plan by saying that the fishermen were not being given a fair deal.

"The fishermen will have to be relocated for the development of Rapid. This should not be seen as something negative. The development is going to boost the economy of the state, which will, in turn, benefit the locals," Irmohizam said at dinner with members of the Johor Fishermen Association.

"The state government is building a new complex at Sungai Musoh which can accommodate 700 fishermen and 300 fishing boats.

"Before the new complex is ready, a temporary jetty will be built to ensure that those affected, can still carry on their operations without any glitches. Rapid will bring something positive to the social development of the state and the country."


Read more!

Malaysia: Over RM25mil spent on cleaning rivers in three years

The Star 7 Apr 14;

KUALA LUMPUR: More than RM25mil has been spent over the past three years to clean up polluted rivers in the country.

For Sungai Klang, the cleaning has to be done daily because of the large amount of garbage and rubbish dumped upstream. For most other rivers and tributaries, maintenance cleaning is done weekly or monthly.

Drainage and Irrigation Department’s river basin and coastal management division director Datuk Lim Chow Hock said the cost of cleaning varied, depending on how polluted a river is.

The four most polluted rivers, based on the volume of rubbish thrown in, are Sungai Klang, Sungai Tebrau, Sungai Skudai and Sungai Pinang.

From 2006 to next year, the Federal Government has allocated RM114mil to rehabilitate rivers, under the “One State One River” programme, which is targeted at the most polluted rivers.

Lim said as most people in Sabah and Sarawak refrained from throwing rubbish into the drains, rivers were not so polluted there.

“It all boils down to having the right attitude and being civic-minded when disposing rubbish,” he added.

The Department of Environment, in its 2012 River Water Quality report, listed 34 rivers under the “polluted” category, based on water quality. Out of the 473 rivers in Malaysia monitored, 161 rivers were deemed “slightly polluted” while the rest were classified as “clean”.

Johor had the most under the category of polluted rivers with 18, followed by Penang with nine, Malacca and Kelantan (two each), followed by Kedah, Perak, Terengganu and Selangor (one each).

Rivers of filth and garbage
p. aruna The Star 7 Apr 14;

KUALA LUMPUR: About 300,000 tonnes of garbage, enough to fill 110 Olympic-sized swimming pools, are being dumped into rivers yearly and the constant pollution is adding to the prolonged water shortage.

Besides the usual floating rubbish tied in plastic bags and polystyrene food containers, the Drainage and Irrigation Department (DID) has also found all sorts of junk, including old fridges, discarded mattresses and kitchen utensils, in rivers.

According to the department’s river basin and coastal management division director, Datuk Lim Chow Hock, the recent dry spell had reduced the volume of water in rivers, making the water quality even worse.

“When there is less water content, the quality gets worse as dilution of the pollutants is not possible. Pollution is a contributing factor to the current water shortage,” he said.

Lim said that although the main reason for the shortage was the extended dry spell, polluted rivers meant less water could be pumped into the treatment plants.

“If there is an oil spill for example, the cost to treat the water at the plant will be extremely high. If there are toxic elements in the water, the cost of production will shoot up and our plants would not be able to handle this, resulting in supply being affected,” he said.

Pollution has already led to five rivers – Sungai Segget and Sungai Ayer Merah in Johor, and Sungai Jelutong, Sungai Juru and Sungai Prai in Penang – being classified as “dead” as they are unable to sustain any form of life, including fish and aquatic plants.

But the dirtiest river in the country, in terms of the amount of rubbish found, is the 120km-long Sungai Klang. An estimated 77,000 tonnes of garbage are dumped into it each year.

The Federal Government has allocated RM4bil to clean up Sungai Klang and its tributaries under the 10-year River of Life (ROL) project, which began last year.

Its targets include the installation of 69 gross pollutant traps (GPTs) by Kuala Lumpur City Hall and another 359 GPTs, log booms and trash rakes by the DID.

GPTs are filters that catch pollutants before they enter waterways. The six categories of pollutants found in rivers are rubbish from housing and squatter areas, construction waste, silt from land clearing, oil and grease from restaurants, sullage or organic waste, mostly from wet markets, and industrial waste from factories and workshops.

Lim said many people felt that they were not responsible for river pollution if they did not throw rubbish directly into the rivers.

“But they do not realise that the rubbish they discard by the roadsides also ends up in the drains and then in the rivers,” he said, adding that the discharge of raw sewage into rivers was also a problem in some small old towns.


Read more!

Best of our wild blogs: 6 Apr 14



27 Apr (Sat) morning: Free guided walk at Chek Jawa
from Adventures with the Naked Hermit Crabs

Night Walk At Venus Drive (04 Apr 2014)
from Beetles@SG BLOG

Life History of the Common Rose
from Butterflies of Singapore


Read more!

Community-grown vegetables for sale at Woodlands

Channel NewsAsia 5 Apr 14;

SINGAPORE: Residents in Sembawang GRC will be able to buy community-grown vegetables at a farmers' market on Sunday.

National Development Minister Khaw Boon Wan said there will be some 250 kilogrammes of vegetables for sale at the market, which will be held at the Republic Polytechnic in Woodlands at 9am.

Proceeds will go to the Man Fut Tong Nursing Home.

The vegetables are harvested from community gardens in Woodlands, which were upgraded into "model vegetable gardens" with the help of the Agri-Food & Veterinary Authority (AVA).

The community gardens are tended to by residents.

Writing in his blog "Housing Matters", Mr Khaw said those vegetable gardens have been showing astonishing results since he roped in AVA .

"Every 4 to 6 weeks, there is so much harvest that the residents have been able to share them with needy families," he wrote.

Mr Khaw said the little ones in his constituency are not left out.

Aspiring green thumbs from the PCF Kindergarten at Woodlands have also been growing their own vegetables and will hawk their harvests, which include Xiao Bai Cai, Nai Bai, Kang Kong and Bayam, on Sunday.

With the help from AVA officers, the pre-schoolers learn how to sow seeds in plastic cups, watch them grow into seedlings, before putting them out for outdoor planting.

Mr Khaw said this has allowed PCF teachers to conduct outdoor lessons on seedling transplant, fertilising, weeding and harvesting.

"We have successfully extended community gardening to the young to nurture a new generation of "green thumbs". Over the last two months, the children have been tending to their own 'Kinder-Garden'," he wrote.

- CNA/nd


Read more!

Expect short, thundery showers: NEA

Channel NewsAsia 5 Apr 14;

SINGAPORE: Singapore can expect six to eight days of short, thundery showers in the afternoon in the first two weeks of April, says the National Environment Agency (NEA).

NEA says the showers may be heavy at times, especially when there is a convergence of winds coupled with strong solar heating.

NEA also says in its fortnightly weather outlook that inter-monsoon conditions will prevail over the region in the first two weeks of April.

However, rainfall for the month of April is expected to be below average.

The prevailing winds are forecast to be mostly light and variable in direction, which could bring a few warm days with temperatures reaching 34 degrees Celsius in the afternoon.

In addition, slightly hazy conditions can be expected on a few days, in particular in the early morning, due to an accumulation of particulate matter under light wind conditions.

- CNA/ir


Read more!

Malaysia: Clouded Leopards seen at Mount Santubong

Borneo Post 6 Apr 14;

KUCHING: Malaysian Nature Society has called for an immediate evaluation study of Mount Santubong as a home for Sarawak’s largest cat, the Bornean Clouded Leopard.

In February, there was a reported sighting of three Clouded Leopards on Mount Santubong.

The Bornean Clouded Leopard or ‘Neofelis diardi’ is an endemic medium-sized cat found only in Borneo, known locally as Entulu.

It is the smallest of the “large cats”, which is the general term used for the large members of the Felidae, like the tiger, lion and leopard. At over 2 metres in length, and weighing up to 25kg, this highly endangered cat in Sarawak is severely threatened by hunting and loss of its forest habitat.

In a press release issued yesterday, the Malaysia Nature Society Kuching Branch (MNSKB) chairman Anthony Sebastian said the sightings of three clouded leopards on Santubong, Sarawak’s newest gazetted National Park, is of great significance.

“MNSKB has been highlighting the biodiversity and historical importance of Gunung Santubong for many years. With more and more attention paid to Kuching’s iconic mountain, new discoveries are being made,” he said.

“Previously thought to have no hornbills, Santubong is now known to have four species of hornbills. Previously thought to have one otter species, we now know there are possibly three species of otters on Santubong,” he added.

This discovery of Clouded Leopards on Santubong, Sebastian pointed out, was yet another addition to Santubong’s increasingly rich wildlife, and not just another wild cat.

“This is Borneo’s top predator, and largest cat,” he emphasised.

The sightings of these Clouded Leopards were made by surveyors up on the mountain, doing preliminary work for the cable car project, revealed Sebastian.

Unlike hornbills, which are flying birds, and will only be affected by the disturbance caused by infrastructure development on the higher parts of the mountain, he said Clouded Leopards will be adversely affected by such projects.

Before any further plans to be made on Santubong, Sebastian stressed that it would be only prudent that a comprehensive study was commissioned to determine the requirements for Clouded Leopards on this isolated mountain, and what measures need to be put in place to ensure their continued, and permanent survival.

“Sarawak cannot afford to lose a population of a highly endangered large endemic cat living so close to Kuching. As arguably the most beautiful of the world’s wild cats, because of its exquisite bold markings, the opportunities are enormous for Sarawak’s, and Kuching’s tourism industry.”

He hopes that surveyors who sighted the big cats may withhold information on the animals’ exact location for their safety and survival.

The MNS, in its continuing efforts to highlight Santubong cultural, archaeological and biological richness, organised the first ever Santubong Nature Festival in 2013.

This year, the second edition of the Festival will be held in November.

Contact MNS atmnskuching@gmail.com for more information.


Read more!

Malaysia: Recent rainfall does not mean water rationing will end, says Syabas

christine cheah The Star 6 Apr 14;

PETALING JAYA: Recent rainfall over some parts in Klang Valley does not mean that water rationing may end any time soon, according to Syarikat Bekalan Air Selangor Sdn Bhd (Syabas).

Syabas’ corporate communications assistant general manager Priscilla Alfred said the water distribution company had yet to receive any instruction from the state government or the National Water Services Commission (SPAN) to cease rationing.

“Having just a week of rain doesn’t mean that water levels in the dams have increased to a level the state government and SPAN deem satisfactory,” Alfred said.

Rain in various parts of the city does not mean that it also rained in water catchment areas, which for Sungai Selangor dam, would be the area upstream of Kuala Kubu Baru.,

As of yesterday, the Sungai Selangor dam, which caters to 60% of Klang Valley’s demand, has only seen a minimal storage increase from 36.67% to 37.09%, according to the Selangor Water Management Authority (Luas) website. Other dams such as Klang Gates, Langat and Sungai Tinggi stood at 52.91%, 49.35% and 60.97% respectively.

Alfred said that phase four of water rationing would continue until April 30.

To address the lack of rain in water catchment areas, cloud seeding will be carried out in these areas.

“Cloud-seeding operations will be based on data on the movement of the clouds – in terms of how fast they move and in which direction,” said the department’s central forecasting office director Muhammad Helmi Abdullah.

USJ4 resident Jason Ong, who is preparing for phase four which will affect his area today, has bought two 151-litre water containers, costing RM80 each, to cater for the needs of his household.

“We are all prepared and will use water sparingly. The water in containers are just for use when we really need it,” said Ong, a businessman.


Read more!

Indonesia: State of Emergency Lifted in Riau as Haze Clears

Farouk Arnaz Jakarta Globe 5 Apr 14;

Jakarta. Police said on Saturday that a state-of-emergency in Riau had been lifted, after fires and hotspots burned through forest and peatlands for weeks, sending air-quality in parts of the Sumatran province into the most hazardous levels, grounding flights and closing schools.

National Police spokesman Insp. Gen. Ronny F. Sompie said the emergency status had been withdrawn based on an assessment by the Meteorology, Climatology and Geophysics Agency (BMKG)’s report that, as of Wednesday, there were only two hotspots left in Meranti and Indragiri Hilir.

“Yesterday’s weather was cloudy and the visibility in the airport was seven kilometers,” Ronny said on Saturday. “Flights are all back to normal.”

Police have named 110 individuals and one company suspects for starting the fires. Officers would remain in the province to attempt to prevent smallholders and other Riau citizens from starting fires. police said, the lighting of which has been a longstanding practice used in Riau to clear land for plantations.

Ronny added that two planes, four helicopters and Bambi buckets would be kept on standby as a precautionary measure. The announcement does not mean Riau residents have seen the back of the haze for another year — last year the issue received greater international attention because the prevailing wind direction in June sent the air pollution drifting over the Malacca Strait into Singapore, which suffered hazardous air-quality levels for several days.

The situation for the residents of Pekanabaru, Dumai and other parts of Riau has been dangerous for weeks, and the seriousness of the fires was worse at its nadir in 2014 than last year, but the issue has not received as much international press because the wind direction ensured the haze stayed over Riau and parts of West Sumatra.

The Indonesian Military (TNI) said earlier this week that it planned to recall some 1,000 personnel who had been seconded to Riau to help manage the crisis.

The state of emergency was announced as forest fires re-emerged after a brief reprieve, surging to 777 hotspots. The fires, and the ensuing haze, have cost the province some Rp 10 trillion ($890 million), according to the state-run Antara News Agency.

Riau remains vigilant against haze
Rizal Harahap, The Jakarta Post 5 Apr 14;

The haze emergency in Riau officially ended on Friday and the National Disaster Mitigation Agency (BNPB) has handed over recovery and control operations to the Riau provincial administration. The administration, however, remains on the alert as it has been forecast that the province will have an extreme dry season in coming months.

BNPB head and commander of the Riau Haze Disaster Mitigation Integrated Task Force, Syamsul Ma’arif, said the task of stopping haze from forest and peatland fires had been completed through aerial and land operations as well as law enforcement.

“I have reported to President [Susilo Bambang Yudhoyono] on the achievement of the haze mitigation operation, which was badly needed by the community. The President deemed the military operation to overcome the haze in Riau a success,” Syamsul said during a rollcall at Roesmin Nurjadin Airbase in Pekanbaru before sending task force troops back to their units.

Since an emergency was first declared, BNPB deployed 1,000 personnel from the Army, Air Force and Navy from various units in Java to assist the Disaster Mitigation Quick Reaction (PRCPB) team in Riau.

The Riau haze mitigation operation cost Rp 164 billion (US$14.49 million) in state funds, most of which was used to lease aircraft, including helicopters, and to cover the cost of water bombing and weather modification technology (WMT). The amount was higher than the Rp 103 billion spent on similar operations last year.

“In the next couple of days, PRCPB personnel, who have been on duty in Riau, will return to their respective units, but the helicopters for water bombing operations and aircraft for WMT will remain here to assist the recovery operation,” said Syamsul.

“The weather in Riau will soon be drier than last year, so the potential for forest and peatland fires will be higher. Anticipatory measures have to be intensified in order to prevent [forest and peatland fires] and haze. Despite no longer having full control, the BNPB will remain to assist the Riau provincial administration, including in providing funds and logistics,” he added.

He said the BNPB was ready to hold a second operation by deploying a bigger force, involving 2,500 personnel from the military and police in the third week of May should the condition worsen and the provincial administration was unable to handle it alone.

“So as to prevent haze from recurring, plus we won’t have to expend more energy. We already have the experience to mitigate the problem,” added Syamsul.

Meanwhile, Riau Haze Disaster Mitigation Integrated Task Force deputy chief Maj. Gen. Iskandar MS said the President had instructed all those concerned, be they civilian or military, at the lowest level, to take responsibility for the smallest fire in their respective areas.

“The district military commanders, district police chiefs, district administrative chiefs and other officials must accept sanctions, such as being dismissed, if they fail to report a fire in their areas before it becomes bigger and difficult to control,” said Iskandar.

“On the other hand, areas kept free of fire will receive awards, the form of which will be decided later.”

Separately, Riau Deputy Governor Arsyadjuliandi Rachman said the Riau administration was drafting a gubernatorial regulation as a legal tool to allocate 2 percent of the provincial budget and 50 percent from corporate social responsibility funds for the prevention and mitigation of forest and peatland fires.

“In the next four days, discussions on the regulation will be completed. We will consider all input and suggestions,” he said.


Read more!

Best of our wild blogs: 4-5 Apr 14


25 years later – NOTHING HAS CHANGED
from The Green Volunteers

Sunbird, Bee And the Drumstick Tree
from Bird Ecology Study Group

Butterflies Galore! : Malayan
from Butterflies of Singapore


Read more!

Malaysia: Pengerang Integrated Complex gets green light

PIC, RAPID ‘green light’ to boost Malaysia’s O&G sector
Jonathan Wong and Yvonne Tuah Borneo Post 5 Apr 14;

KUCHING: Petroliam Nasional Bhd (Petronas) has recently announced that it has approved the Final Investment Decision (FID) for the development of the Pengerang Integrated Complex (PIC) which comprises of the US$16 billion Refinery and Petrochemical Integrated Development (RAPID) and associated facilities.

Overall, analysts pegged positive sentiments on the ‘green light’ to the project, with some stating that the project would further strengthen Petronas’ position and stimulate Malaysia’s oil and gas (O&G) sector.

CIMB Investment Bank Bhd’s research arm (CIMB Research) in a report, commented; “We are thrilled that PIC and Rapid, a cornerstone project of the government’s Economic Transformation Programme (ETP), will progress as scheduled with no investment cutbacks.

“The project will further strengthen Petronas’s position as a key player in the Asian chemicals market, focusing on key growth areas of differentiated and specialty chemicals and capturing the growing automotive, pharmaceutical and consumer products sectors.

“Domestically, the project will contribute towards meeting the growing demand for petroleum products and Euro 4M and Euro 5 specification fuels.”

Similarly, the research arm of Public Investment Bank Bhd (PublicInvest Research) in a separate report, viewed that the initiative of the project is expected stimulate domestic O&G production, growth in downstream ventures and to make Malaysia the No.1 hub for oil field services while exploring alternative energy sources.

However, MIDF Amanah Investment Bank Bhd’s research firm’s (MIDF Research) analyst Aaron Tan cautioned that although the development is a positive catalyst in the industry, it remains cautious as there are some unresolved near term teething problems such as the relocation of villages and settlements, relocation of Muslim and Chinese cemeteries, sporadic land acquisitions and water supply issues.

In addition, Tan highlighted, “Apart from these short term stumbling blocks, a greater risk would be the potential construction of the Kra Canal (now known as the Thai Canal) which will pass through southern Thailand.

“The length of the proposed canal could range from a mere 50 kilometres to 100 kilometres, bypassing over 1000 kilometres distance around Peninsula Malaysia and Singapore.

“Recently, media sources reported that three Chinese firms have formed a work team to start preliminary operational activities on this canal.

“The Chinese firms are Sany Heavy Industry Co Ltd, Xuzhou Construction Machinery Group Co Ltd, and Guangxi Liugong Machinery Co Ltd.”

Nevertheless, Tan observed that while the construction of the PIC will not directly benefit most of the Bursa-listed O&G players as most are upstream service providers, the project would benefit oil and gas civil contractors and manufacturer such as Dialog Group, KNM Group, Muhibah Engineering and Eversendai, amongst other.

In a separate report, Ta Securities Holdings Bhd’s research arm (Ta Research) highlighted that direct beneficiaries of PIC include Petronas Chemicals (PChem) on the back of significant new refining and petrochemicals capacity from RAPID. It also said that Petronas Gas will also benefit from increased volumes from the new regasification terminal within PIC.

However, earnings for PChem will only materialise from 2019 onwards upon startup of the refinery said Ta Research, noting “we believe that PChem should not encounter difficulties in funding RAPID’s capital expenditure (capex) requirements given its robust cash flow generation capability, strong balance sheet that is devoid of debt, conservative dividend policy, and chunky cash pile of RM10.1 billion.”

Indirect beneficiaries of RAPID include EPCIC contractors, fabricators, and O&G equipment suppliers, including SapuraKencana, MMHE, TH Heavy Engineering, Pantech Group, KNM Group, and so forth.

These contractors, whom will be involved in PIC’s construction phase, will be first to benefit from order flows to fill their respective orderbooks. “We understand that completion of RAPID in 2019 coincides with the period where petrochemicals prices are expected to experience an upcycle. Therefore, this will provide a much needed boost to PChem’s earnings.”

To note, Petronas’ partners with interests in RAPID, include Evonik Industries AG, Italy’s Versalis SpA, Japan’s Itochu Corp, and Thailand’s PTT Global Chemical PCL, which will announce their respective FIDs in due course.

Ta Research explained that PIC will be built on a 6,242-acre site, and comprises part of the larger Pengerang Integrated Petroleum Complex (PIPC). PIC consists of a 300,000 barrels per day (bpd) refinery and a petrochemical complex with a combined production capacity of 7.7 million tonnes per annum (tpa).

Petrochemicals that will be produced include differentiated and specialty chemicals products such as synthetic rubbers and high grade polymers.

It further added that PIC will commence construction upon full handover of the project site by the Johor state government. Based on current progress, the refinery will likely commence operations by early 2019.

Upon completion, PIC will require over 4,000 employees at its operational stage.

“In–line with our expectations, RAPID’s project value was downscaled to US$16 billion from US$20 billion announced earlier. However, this is partially offset by investments in associated facilities worth US$11 billion,” said Ta Research.

Petronas in a press release, said that the PIC is part of the larger PIPC proposed and promoted by the Johor.

“With its strategic location along one of the world’s busiest shipping lanes and its proximity to international trading hub, the PIPC is well positioned to be the next regional downstream O&G industrial hub,” it said.

Petronas' Rapid gets RM89bil investment, one-year delay
by john loh The Star 4 Apr 14;

PETALING JAYA: Petroliam Nasional Bhd (Petronas) has green-lit its much-awaited final investment decision (FID) for the Pengerang Integrated Complex (PIC) in south Johor with a commitment of US$27bil (RM88.56bil), but the project will start up a year later than expected in 2019.

The FID marks a "significant milestone" for PIC, of which the Refinery and Petrochemical Integrated Development (Rapid) is a key component, Petronas said in a statement yesterday.

Rapid, an anchor project of the Economic Transformation Programme, is estimated to cost about US$16bil (RM52.48bil) and its associated facilities, US$11bil (RM36.08bil).

But based on current progress, Petronas acknowledged that the refinery would only be commissioned by early 2019.

“The FID is a critical stage gate in our decision-making process. Petronas undertook a rigorous review of the project, including independent third-party assessments to ensure it meets our criteria for long-term profitable and sustainable growth,” president and group CEO Tan Sri Shamsul Azhar Abbas said.

“This decision is in line with our commitment to capital discipline, and with the board’s approval we look forward to progressing the development of the project as planned.

“We will continue to work closely with the federal and Johor state governments to ensure the project’s smooth implementation.

“In a relatively condensed period of time, we have accomplished a lot of work in establishing an excellent base to move forward with confidence to implement our plans.”

The massive project, located at the southern most tip of the peninsula and just 10km from Singapore’s east coast, is understood to have been held up by land acquisition issues, with Petronas facing opposition from fishermen and local residents.

The party solely responsible for the relocation of villages and some 3,000 Chinese and Muslim graves is the state government.

Petronas would also have to procure a stable supply of raw water by building a new dam and 88km of pipelines.

The state-owned oil firm has twice delayed its FID for Rapid, Malaysia’s largest liquid-based green-field downstream development. Its start-up was originally scheduled for late-2016.

Still, the decision to go ahead means Petronas will not have to wait another decade to ride the next upcycle in the petrochemical industry.

According to Petronas, its partners in PIC will announce their respective FIDs in due course.

It had previously inked agreements with Germany’s Evonik Industries AG, Italy’s Versalis SpA, Japan’s Itochu Corp, and Thailand’s PTT Global Chemical PCL, although the latter said in February it was pulling out of Rapid.

French firm Technip SA has been appointed the front-end engineering and design contractor for the complex.

PIC is scheduled to commence construction upon the full hand-over of the project site to Petronas by the Johor state government.

“The project would further strengthen Petronas’ position as a key player in the Asian chemicals market, focusing on key growth areas of differentiated and specialty chemicals and capturing the growing automotive, pharmaceutical and consumer products sectors,” the group said.

Domestically, PIC is expected to contribute towards meeting the growing demands for petroleum products and Euro 4M and Euro 5 specification fuels.

Developed within a 6,242-acre site, PIC is to consist of a 300,000 barrels per day refinery and petrochemical complex with a combined capacity of producing 7.7 million tonnes per annum of various grades of products, including differentiated and specialty chemicals products such as synthetic rubbers and high-grade polymers.

The project will also see the development of a host of associated facilities such as a raw water supply facility, power co-generation plant, liquefied natural gas regasification terminal and other ancillary facilities.

At the peak of its construction, Petronas said PIC will employ a workforce of about 70,000 people with varying skills and disciplines. When operational, PIC will require over 4,000 employees.

PIC forms part of the Pengerang Integrated Petroleum Complex, which is envisioned as the next regional downstream oil and gas industrial hub.

Petronas Reaches Final Investment Decision For Pengerang Integrated Complex
Bernama 3 Apr 14;

KUALA LUMPUR, April 3 (Bernama) -- The Petronas Board of Directors has approved the Final Investment Decision (FID) for the development of the Pengerang Integrated Complex (PIC) in Johor.

The FID, approved today, marks a significant milestone in the progress of the proposed PIC, which comprises a world-scale Refinery and Petrochemical Integrated Development (RAPID) and other associated facilities.

RAPID is estimated to cost about US$16 billion (US$1=RM3.28) while the associated facilities will involve an investment of some US$11 billion.

"The FID is a critical stage gate in our decision-making process," Petronas President and Group Chief Executive Officer Tan Sri Shamsul Azhar Abbas said in a statement today.

Petronas, he said, undertook a rigorous review of the project, including independent third party assessments, to ensure it meets our criteria for long-term profitable and sustainable growth.

"This decision is in line with our commitment to capital discipline, and with the Board's approval we look forward to progressing the development of the project as planned," he said.

Shamsul Azhar said Petronas would continue to work closely with the Federal and Johor state governments to ensure the project's smooth implementation.

"In a relatively condensed period of time, we have accomplished a lot of work in establishing an excellent base to move forward with confidence to implement our plans," he said.

Subsequent to Petronas' decision, the partners' respective FIDs will be announced in due course upon the approval of their respective boards.

The PIC is scheduled to commence construction upon the full hand-over of the project site to Petronas by the state Government.

Based on the current progress, the project is poised for its refinery start-up by early 2019.

The project will further strengthen Petronas' position as a key player in the Asian chemicals market, focusing on key growth areas of differentiated and specialty chemicals and capturing the growing automotive, pharmaceutical and consumer product sectors.

Domestically, the PIC will contribute towards meeting the growing demand for petroleum products and Euro 4M and Euro 5 specification fuels.

Developed within a 2,521.8-hectare site, the PIC will consist of a 300,000-barrels per day refinery and a petrochemical complex with a combined capacity of producing 7.7 million tonnes per annum of various grades of products including differentiated and specialty chemicals products such as synthetic rubbers and high-grade polymers.

The project will also see the development of a host of associated facilities namely raw water supply facility, power co-generation plant, liquefied natural gas regasification terminal and other ancillary facilities.

At the peak of its construction, the PIC project is expected to have a workforce of about 70,000 people with varying skills and disciplines.

In its operational stage, the PIC will require over 4,000 employees.

The PIC is part of the larger Pengerang Integrated Petroleum Complex (PIPC) proposed and promoted by the Johor state government.

With its strategic location along one of the world's busiest shipping lanes and its proximity to international trading hub, the PIPC is well positioned to be the next regional downstream oil and gas industrial hub.

-- BERNAMA

Petronas' PIC Project Seen As Vital For Country's Downstream Sector
Bernama 4 Apr 14;

KUALA LUMPUR, April 4 (Bernama) -- Petronas' Pengerang Integrated Complex (PIC) project in Johor is vital for the country's downstream sector, said analysts.

"It makes sense for the country to refine its own crude oil and produce higher value-added petrochemical products, to better manage our oil and gas resources, especially with the expected increase in production from the various upstream initiatives.

"Despite being the 29th largest crude oil producer in the world, we export and import almost the same amount of refined petroleum products," Hong Leong IB Research said in a statement on Friday.

With the PIC project, the research house said the country's total refining capacity would increase to 935,300 barrels per day (bpd), from the current 635,000 bpd, while petrochemical related products are expected to increase from 2.6 million metric tonnes per annum (MTA) to 6.5 MTA.

Meanwhile, Maybank IB Research said Petronas needs to diversify its downstream business to retain productive investments in Malaysia, as the subsidy burden has been partly lifted from Petronas' shoulders with the government's ongoing fiscal measures, which include subsidy rationalisation.

The PIC will comprise a world scale Refinery and Petrochemical Integrated Development (RAPID) and other associated facilities.

Maybank IB Research said the final investment decision by Petronas's board for PIC to go ahead, although the RAPID project has been scaled down to US$16 billion (US$1=RM3.28) from the earlier proposed US$20 billion, is crucial and key to kick-starting the major project.

"This mega project will have massive multiplier and spin-off effects, with the creation of a strategic petrochemical and refinery hub in Asia, to an oil trading hub, and potentially a new crude benchmark," said Maybank IB Research in a statement Friday.

The research houses are maintaining a positive stance on the oil and gas sector.

Hong Leong IB Research sees onshore fabricators/process equipment providers like KNM, Muhibbah, Eversendai, MMHE, Pantech and downstream players like Dialog, Petronas Chemicals and Petronas Gas with the potential to leverage on the RAPID project.

Maybank IB Research says Dialog is a prime beneficiary, adding Petronas Chemical could participate in the petrochemical operations and refineries.

"MPHB and IJML have large land exposure next to RAPID and will gain from the rise in commercial land values there," it said.

Stocks that are poised to benefit from the mega project are Dialog, WCT, IJM Corp and MPHB, with target prices of RM3.90, RM2.55, RM6.75 and RM2.42, respectively, it added.

-- BERNAMA

Johor State To Render Cooperation To Ensure Rapid's Success
Bernama 4 Apr 14;

BATU PAHAT, April 4 (Bernama) -- The Johor government will extend its full cooperation to ensure the success of the mammoth US$16 billion Pengerang Integrated Complex (PIC) project.

Menteri Besar Datuk Seri Mohamed Khaled Nordin said the state government would create a conducive environment and ensure adequate skilled work force for the region's oil and gas industry.

"Petronas has invested heavily in the project and I welcome the final investment decision (FIC)," he was commenting on the move reached yesterday by the Petronas board for the PIC project after opening the 'Road to MAHA' road show at Penggaram Square here today.

The road show is aimed at promoting the Malaysian Agriculture, Horticulture and Agrotourism Exhibition to be held for ten days beginning Nov 20 in Serdang.

"We are also in talks with Petronas to create business opportunities for the local community in order for them to benefit from the development," he said.

Mohd Khaled said the FIC marked an important milestone in the development of PIC that included the Refinery and Petrochemical Integrated Development (RAPID) project and other facilities.

It was reported yesterday that the PIC project would continue despite the RAPID project being scaled down to US$16 billion from US$20 billion estimated earlier while the development of other facilities would involve an investment of US$11 billion.

The PIC, sprawled over a 2,521.8 hectare site, will have a refinery and petrochemical complex with a capacity to process 300,000 barrels per day and a combined production capacity of 7.7 million tonnes per annum of various grades of products, including specialty chemicals and products as diverse as synthetic rubber and high-grade polymer.

The project's development will also see related facilities such as untreated water supply, power co-generation plant and other ancillary facilities.

At the peak of its construction, the project would have employed about 70,000 workers of diverse skills and disciplines.

Meanwhile, Mohamed Khaled said the state government would set up a petroleum academy, in collaboration with Prestariang Technology Sdn Bhd, to create skilled workers for the oil and gas industry.

-- BERNAMA

Green light for Rapid
KAMARUL YUNUS New Straits Times 3 Apr 14;

MAMMOTH PROJECT: Petronas’ US$16b development in Johor set for refinery start-up by early 2019

THE US$16 billion (RM53 billion) Refinery and Petrochemical Integrated Development (Rapid) in Pengerang, Johor, will proceed as planned, ending concerns that the mammoth project will be scrapped due to the withdrawal of several potential partners.

Petroliam Nasional Bhd (Petronas) said yesterday its board had approved the final investment decision (FID) for the development of the Pengerang Integrated Complex (PIC), which
includes Rapid and other associated facilities’ development.

“The FID marks a significant milestone in the progress of the proposed PIC, which comprises a world-scale Rapid and other associated facilities,” Petronas said in a statement.

Rapid is estimated to cost about US$16 billion, while the associated facilities will involve another US$11 billion in investments.

The national oil corportaion has signed heads of agreement with Italy’s Versalis, Japan’s Itochu and Thailand’s PTT Global Chemical to build specialty chemical plants within Rapid.

Germany’s Evonik has joined the project after BASF pulled out, citing differences in business strategies.

But there were also reports that Taiwan’s KuoKuang Petrochemical Technology and PTT Global Chemical had decided to pull out of the project.

Petronas president and group chief executive officer Tan Sri Shamsul Azhar Abbas said the FID is a critical stage gate in the group’s decision-making process.

“Petronas undertook a rigorous review of the project, including independent third-party assessment, to ensure it meets our criteria for long-term profitable and sustainable growth.

“This decision is in line with our commitment to capital discipline, and with the board’s approval, we look forward to progressing the development of the project as planned,” he said.

The partners’ respective FIDs will be announced in due course upon the approval of their respective boards, Shamsul said.

Construction of the PIC is scheduled to begin upon the full handing-over of the project site to Petronas by the Johor government.

“Based on the current progress, the project is set for its refinery start-up by early 2019,” Petronas said.

The project will further boost Petronas’ position as a key Asian chemical market player, focusing on key growth areas of differentiated and specialty chemicals, and capturing the growing automotive, pharmaceutical and consumer products sectors.

Domestically, the PIC will contribute towards meeting the growing demands for petroleum products and Euro 4M and Euro 5 specification fuels.

Developed within a 2,526ha site, PIC will consist of a 300,000-barrel-per-day refinery and a petrochemical complex with a combined yearly production capacity of 7.7 million tonnes of various grades of products.

The PIC is part of the larger Pengerang Integrated Petroleum Complex (PIPC) proposed and promoted by the Johor government.

With its strategic location along one of the world’s busiest shipping la-nes and its proximity to international trading hub, the PIPC is well-positioned to be the next regional downstream oil and gas industrial hub.

Pengerang Integrated Petroleum Complex (PIPC)
Malaysia Petroleum Resources Corporation website (as at 7 Apr 14)

The focus on oil and gas projects, arising from the Economic Transformation Programme, will create a more dynamic and progressive oil and gas industry in Malaysia. Malaysia companies will be able to partake with local and foreign investors to invest in new technologies, new products as well as create countless job opportunities as several of these petrochemical projects take off in the near future.

The Pengerang Integrated Petroleum Complex (PIPC) is one big step in creating value to the downstream oil and gas value chain in Johor. Sited in Pengerang, it is one of the largest pieces of investments in Pengerang district and located on a single plot measuring about 20,000 acres. The project will house oil refineries, naphtha crackers, petrochemical plants as well as a liquefied natural gas (LNG) import terminal and a regasification plant.

In PIPC, oil refining facilities will add value to imported crude oil via the Pengerang Independent Deepwater Petroleum Terminal (PIDPT). New high-value and high-demand products and by-products, such as polymers, pharmaceutical products and plastics, will be created from the refined feedstock. In creating these products, Malaysia’s petrochemical complexes will be able to generate greater value and investments from its oil and gas sector.

As of January 2013, two major catalytic projects have been committed within the PIPC area. The RM5 billion Pengerang Independent Deepwater Petroleum Terminal (PIDPT) is a joint-venture between DIALOG Group of Malaysia, Royal Vopak of Netherlands and Johor State Secretary Incorporated (SSI). Construction of Phase 1 of the project has already started and is scheduled for completion by Q1 2014 and Phase 2 land reclamation is in progress. The total storage capacity available at PIDPT is planned for five million cubic metres by the year 2020.

The second mega-project within PIPC is PETRONAS’ RM60 billion Refinery and Petrochemical Integrated Development (RAPID) Project. The RAPID project site preparation is in progress and is expected to be commissioned by 2016. RAPID will have a 300,000 bbl. per day refining capacity while additional petrochemical plants will generate value to petroleum products produced in RAPID.


Read more!

Singapore offers to host regional crisis coordination centre

Channel NewsAsia 4 Apr 14;

SINGAPORE: Singapore’s Minister for Defence Dr Ng Eng Hen has offered Changi Command and Control (C2) Centre to host a regional Humanitarian Assistance and Disaster Relief (HADR) coordination centre.

The offer, made at the ASEAN-US Defence Ministers' informal meeting on Friday, was supported by the ministers.

Singapore's Ministry of Defence (MINDEF) said in a statement that in discussing ASEAN's HADR efforts in the region in the wake of Typhoon Haiyan, the ministers emphasised the need for militaries to work more closely together to strengthen the region's HADR capabilities.

The ministers noted that a regional HADR coordination centre, modelled after the Information Fusion Centre (IFC) in the Changi C2 Centre, would allow the militaries to respond speedily and effectively to a disaster situation.

Dr Ng said: "In the discussions, we realised that what was really needed was a crisis centre that was stood up all the time, which could be scaled up when the scale of the disaster required, because one of the problems with humanitarian or natural disasters is you don't know when it is going to hit next, and you don't know how large it is. And you don't know whether it will overwhelm the capacity or not.

“We actually have such a centre. And we have set it up in 2007, 2008, and we called it Information Fusion Centre in Changi. It was set up primarily then for maritime security."

During the meeting on Friday, the ASEAN defence ministers also welcomed the US' continued engagement in the region and its active participation in the ASEAN Defence Ministers Meeting-Plus (ADMM-Plus).

The ministers noted the important role the ADMM-Plus plays in strengthening practical cooperation amongst the militaries and supported the conduct of an ADMM-Plus joint counter-terrorism and maritime security exercise to be held in conjunction with the 3rd ADMM-Plus in Malaysia in 2015.

The ministers also discussed international security issues, including developments in Ukraine, and the need to respect international law, sovereignty and territorial integrity.

Dr Ng is in Honolulu, Hawaii to attend the ASEAN-US Defence Ministers' informal meeting from 2 to 4 April 2014 (Singapore time) at the invitation of US Secretary of Defence Chuck Hagel.

As part of the programme, the ASEAN defence ministers visited the Inouye Regional Centre for a roundtable discussion on HADR.

They were also hosted to a luncheon by Commander Pacific Command Admiral Samuel Locklear.

- CNA/xq/ms


Singapore offers Changi facility as ASEAN disaster response centre
Today Online 5 Apr 14;

HONOLULU — The Republic has offered its Association of Southeast Asian Nations (ASEAN) partners the use of its command and control centre in Changi to help coordinate responses to natural disasters, given the number of catastrophic events in the region over the past decade or so.

The offer, which was made yesterday at an informal ASEAN-United States Defence Ministers’ meeting, received support from the various countries, Singapore’s Ministry of Defence (MINDEF) said in a statement.

MINDEF also said the ministers noted that a regional humanitarian assistance and disaster relief coordination centre, modelled after the Information Fusion Centre (IFC) in the Changi facility, would allow the militaries to respond speedily and effectively to a disaster.

The three-day meeting ended yesterday. On the first day, US officials had offered to help ASEAN countries prepare for the devastating effects of climate change, urging stronger cooperation among armies and emergency agencies.

In a media interview, Defence Minister Ng Eng Hen said: “We were obviously struck within the last decade (by) how many natural disasters there were ... the Indian Ocean tsunami in 2004, Cyclone Nargis in 2008, Sichuan earthquake, the tsunami in Japan ... and of course Typhoon Haiyan in the Philippines.”

Singapore responded to each of these disasters by providing assistance or relief efforts. Based on its experience, it has recognised that in the first 24 or 48 hours after a disaster, “it is very difficult for the affected country to be able to set up a (command and control centre) for the very reasons that they are the ones hit”, Dr Ng said.

He added that during the dicussions, the ministers realised what is really needed is a crisis centre that is operational and can be scaled up when necessary.

“One of the problems with humanitarian or natural disasters is that you don’t know when it is going to hit next, and you don’t know how large it is and you don’t know whether it will overwhelm the capacity or not, or all of the above,” said Dr Ng.

The IFC, which was inaugurated in 2009, was primarily set up to share information on maritime security, keeping an eye on piracy and the shipping of weapons.

It has a network of 13 military navies and 51 civilian shipping companies globally. The centre also has essential infrastructure to allow an affected country to plug in all the information that various agencies would bring to bear when such a crisis occurs and make a coherent picture that everyone can see, said Dr Ng.

Last month, the centre was deployed to help in the search for the missing Malaysia Airlines Flight MH370, with the Singapore Armed Forces alerting the network to report any unusual sightings in the designated search areas for the aircraft.

Given the support of ASEAN member states on offer, the Republic will flesh out the proposal. “We’ll set it up and when it’s ready, we’ll let others know,” said Dr Ng.

WITH AGENCIES


Read more!