Petronas To Spend Big In Hope Of Raising Production

摘要

BMI View: Petronas has announced a plan to raise capital expen- ditures to US$59bn over the next fve years as it aims to increase domestic production. With much of the funding earmarked to support increased exploration and production, we believe this additional investment could pose an upside risk to our outlook for oil and gas production. However, we highlight the fnancial and political chal- lenges facing Petronas as factors that could diminish the impact of this rise in capital expenditure (capex).