Petronas to shine under new chief's stewardship: Experts

 

Petronas needs an oil man to see how it can sustain its domestic oil production numbers, says an analyst about Datuk Shamsul Azhar Abbas

Oilmen and analysts said incoming Petroliam Nasional Bhd (Petronas) head Datuk Shamsul Azhar Abbas' vast experience in the oil and gas, shipping and logistics industries will be an asset to the national oil corporation.

Shamsul Azhar will become Petronas' president and chief executive officer as well as acting chairman from February 10. He will replace Tan Sri Mohd Hassan Marican.

Malaysian Oil and Gas services Council (MOGSC) president Sofiyan Yahya said Shamsul Azhar is a highly respected figure both locally and internationally, and is a no-nonsense technocrat.

"The fact that he is from the industry will ensure continuity and that Petronas remains Malaysia's top global and iconic entity," he told Business Times.

Sofiyan also expressed MOGSC's appreciation to Mohd Hassan for his excellent service and significant contribution to the development of the Malaysian oil and gas industry.

"A testament to that is the increasing number of Malaysian oil and gas service providers who are now global players as a result of the opportunities available in the Malaysian oil and gas industry," he said.

Shell Malaysia chairman, Anuar Taib, said the company is looking forward to continued close cooperation with Petronas under the new leadership of Shamsul Azhar.

Anuar said Shell also paid tribute to Mohd Hassan for his dynamic stewardship of the country's oil and gas industry and enabling Shell Malaysia to work closely with Petronas, not just in business, but also in the national oil company's nation-building efforts, including one of the country's most prestigious awards programme, the Merdeka Awards.

"His leadership made Petronas one of the pacesetters, setting a hallmark of excellence in creating a new breed of oil and gas corporations - the multinational oil company," he said.

OSK Research associate director Chris Eng described the appointment as a good development given Shamsul Azhar's years of experience, covering both upstream exploration as well as shipping and logistics.

"Petronas needs an oil man to see how it can sustain its domestic oil production numbers. At the same time, shipping companies continue to face tough challenges worldwide.

"So, his experience should mean more coordinated efforts across the group," he said of Shamsul Azhar.

RAM Holdings Bhd group chief economist Dr Yeah Kim Leng said Shamsul Azhar's appointment should be well-received, given that he was the leading candidate among the front-runners from within the corporation.

"Given his experience at Petronas, we can expect a couple of years of steady stewardship of the country's only Fortune 500 firm," he said.