Pengerang Integrated
Petroleum Complex
(PIPC)
Johor Petroleum Development Corporation Berhad | 2015
Economic Transformation Programme
(ETP)
Johor Petroleum Development Corporation Berhad | 2015
Economic Transformation Programme (ETP)
Comprehensive effort to transform Malaysia into a high income nation by
2020; target 6% GNI annual growth
"To transform Johor into a Sustainable, World-Class Downstream Oil & Gas Hub“ - JPDC
Downstream Oil & Gas development in Johor is part of
EPP4 and EPP13 under ETP Oil, Gas and Energy (OGE)
NKEA
DIVERSIFY
GROW
SUSTAIN
BO
Grow in downstream
Continue domestic Oil & Gas
production
4.
1.
2.
3.
Enhanced oil recovery
Develop small fields
Increase exploration activities
5. Unlock latent gas demand
through LNG import
1.
Increased oil & gas production
abroad
2.
3.
EPPs
Build alternative energy capabilities
Create a regional oil storage and
trading hub
Make Malaysia #1 Asian hub for oil field
services
6. Increase presence of major international
oilfield services players
7. Create regional fabrication champions
8. Encourage JV with world-class
companies
13. Increasing petrochemical output
Increase volumes in primary logistics
Increase marketing of petroleum
products
9.
Reduce energy bill through
energy efficiency
10. Build up solar power capacity
11. Ensure best practice nuclear
deployment
12. Drive industrial growth in
Sarawak with big hydro
4.
5.
6.
Growth driven power demand
Growth driven transmission and
distribution capacity
Improve structure of Malaysia
energy supply industry
"To transform Johor into a Sustainable, World-Class Downstream Oil & Gas Hub“ - JPDC
EPP4: Malaysia can become a regional oil storage hub with
proximity to Singapore, deepwater & land availability
Q
Total Storage Tank
Capacity
10
Senai Airport
Million
cbm
Storage Tank Capacity
Proposed
bridge link
to Tg Bin
2
Storage Tank Capacity
Singapore
3
South
Johor
can
complement Singapore
to form an oil storage
with 10 Million cbm if
all
the
potential
projects are realised
Million
cbm
Storage Tank Capacity
5
Million
cbm
Million
cbm
Tanjung Bin
Tanjung Langsat
• Oil storage
• Developer : Seaport
Worldwide
• Current storage capacity :
890,000 cbm
• Oil storage, marine services, steel,
OFSE*, chemical
• Developer : Johor Corporation
• Current storage capacity : 820,000
cbm
Pengerang
• Oil storage
• Current storage capacity :
1.3mil cbm
Opportunity
▪ Demand to build
storage capacity for
the region
▪ Complementing
Singapore, the only
major independent
terminal and storage
facility in South East
Asia
▪ Potential for oil
trading business,
future development
of downstream
industry (e.g.:
refinery, oil based
petrochemical
complex, LNG regas
terminal)
2020 total
new jobs:
790
*OFSE: Oilfield Services and Equipment
"To transform Johor into a Sustainable, World-Class Downstream Oil & Gas Hub“ - JPDC
2020 GNI
impact:
RM1.63
Billion
EPP13: Petrochemical Complex will be built in Sipitang and
Pengerang to increase Malaysia’s petrochemical output
Sipitang
▪ Sipitang Oil & Gas
Industrial Park (SOGIP)




4,000 acres
Project SAMUR PETRONAS
Ammonia
Urea
Pengerang
▪ Pengerang Integrated
Petroleum Complex (PIPC)





New Jobs
RM2.9
450
Billion
Private
Investment
Public
Investment
RM4.5
RM0.02
Billion
Billion
20,000 acres
Project RAPID PETRONAS
DIALOG-Vopak Pengerang Terminal
Refinery
Petrochemical Plants
2020 GNI
New Jobs
RM18.3
8,600
Billion
2020 GNI
Private
Investment
Public
Investment
RM69
RM1.7
Billion
Billion
PETROCHEMICALS
OUTPUT
"To transform Johor into a Sustainable, World-Class Downstream Oil & Gas Hub“ - JPDC
Johor Petroleum Development Corporation
(JPDC)
Johor Petroleum Development Corporation Berhad | 2015
Implementation of EPP4 and EPP13 to be carried out by
creating a specialised body to coordinate, facilitate and
fast track the oil & gas development in Johor
Implementation of large-scale development
projects will require…
Seamless coordination amongst
various parties (i.e. Government
agencies, private corporations,
investors) to ensure timely delivery
of projects as well as to facilitate
private investments
Coordination
Integrated
development
planning
Formulation of integrated
development plans for industrial
and services sectors
Sufficient fund
Sourcing and managing large
amount of funds to finance for
infrastructure and facilities
Promotion and
marketing
Strong marketing capabilities and
focused promotional strategies to
attract investors
Johor Petroleum Development Corporation
(JPDC)
NKEA OGE SC1
PEMANDU
MPRC2
JPDC3
Wholly owned by
MPRC with own
Board of Directors
JPDC
JPDC BOD
MPRC wholly-owned subsidiary set up to
coordinate the development of oil & gas
sector in Johor
JPDC Board of Directors also plays an
advisory role to JPDC on development
direction of O&G in Johor.
1 National Key Economic Area Oil, Gas & Energy Steering Committee
2 Malaysia Petroleum Resources Corporation
3 Johor Petroleum Development Corporation
"To transform Johor into a Sustainable, World-Class Downstream Oil & Gas Hub“ - JPDC
Board of Directors
Co-Chairman
Johor Chief Minister
YAB Dato’Seri
Mohamed Khaled
Nordin
FEDERAL
STATE
Co-Chairman
Minister in Prime
Minister’s Department
YB Senator Dato’ Sri
Idris Jala
INDUSTRY
Secretary General of
Treasury, Ministry of
Finance
Y.Bhg. Tan Sri Dr Mohd
Irwan Serigar Abdullah
Johor State EXCO
Member
Y.B. Datuk Ir. Haji Hasni
Haji Mohammad
Petrochemicals Advisor
Y.Bhg. Datuk Wan
Zulkiflee Wan Ariffin
Director General,
Economic Planning Unit
Y.Bhg. Datuk Seri Dr.
Rahamat Bivi Yusoff
Johor State Secretary
Y.B. Dato’ Haji Ismail bin
Karim
Oil Storage & Trading
Advisor
Y.Bhg. Tan Sri Dr. Ngau
Boon Keat
President / CEO, MPRC
Y.Bhg. Datuk Shahrol
Azral Ibrahim Halmi
Director, UPEN Johor
Tuan Hj. A. Rahim Bin
Hj. Nin
"To transform Johor into a Sustainable, World-Class Downstream Oil & Gas Hub“ - JPDC
SPECIALISED
BODY
Chief Executive, JPDC
En. Mohd Yazid Ja’afar
Pengerang Integrated Petroleum Complex
(PIPC)
Johor Petroleum Development Corporation Berhad | 2015
Why Pengerang? Strategic location at the south-east tip of
Peninsular Malaysia…
MALAYSIA
Pengerang
Pengerang
Jurong
Strategic Location
 Access to existing major international
shipping lanes
Middle East – Singapore – China
 Water depth of 24m enables VLCCs1 and
ULCCs2
 Safe and sheltered harbour
 No breakwater required with sufficient
seagoing passage for VLCCs and ULCCs
 Low negative socioeconomic impact
 Availability of sufficient development land
 A single candidate plot in excess of
20,000 acres
 Very few Environmentally Sensitive
Areas (ESAs) which are easily preserved
 Proximity to an existing major trading hub;
Adjacent to Singapore
1 Very Large Crude Carrier
2 Ultra Large Crude Carrier
"To transform Johor into a Sustainable, World-Class Downstream Oil & Gas Hub“ - JPDC
An Integrated Petroleum Complex that will house Storage
Facility, Oil Refineries, Petrochemical Plants, and LNG
Regasification Facility
ILLUSTRATIVE
To National Grid
Residential and Commercial Areas
Into PGU
Power Plant
Oil Refineries
Crackers
Preserved Environmentally
Sensitive Area
LNG
Regasification
Plant
Crude & LNG Import
Pipeline
Crude & LNG
Storage
"To transform Johor into a Sustainable, World-Class Downstream Oil & Gas Hub“ - JPDC
PIPC core activities
Refineries
Petrochemical Plants
LNG Storage Tanks
Power Plant
Regasification Plant
Naphtha Crackers
Oil Storage Tanks
"To transform Johor into a Sustainable, World-Class Downstream Oil & Gas Hub“ - JPDC
PIPC non-refining industry planning
Emergency Coordination
Centre
• Emergency Coordination
• Hospital / Clinic
• PIPC Security Coordination
Downstream Finished Product
Zone (1,081 acres)
• Plastics and Fine Chemicals
• Small / Medium Enterprise
Medium and Light
Industry Hub (700 acres)
• Support Industries
• Testing and Metering
Waste Management
Centre (60 acres)
• Waste Water Treatment
• Solid Waste Conversion
Emergency Response
Centre (10 acres)
• Fire Response Team
• Ambulance Base
Solid Logistics Hub (125
acres)
• Container Facilities
• Sulphur and Coke
Centralised Tank Farm; CTF
(1,400 acres)
• Crude and Product Handling
• Sulphur and Coke Handling
Commercial Services Hub
(180 acres)
• Professional Services
• Banking and Finance
"To transform Johor into a Sustainable, World-Class Downstream Oil & Gas Hub“ - JPDC
PIPC consists of multi-billion ringgit projects in an area of
land covering 20,000 acres
Total Potential
 RM170+ billion of investment
 20,000 acres of industrial area
PETRONAS RAPID
 RM53 billion refinery and
petrochemicals
 RM36.3 billion associated
facilities
 6,242 acres
 Ready for start up early
2019
Investor 1
DIALOG-VOPAK-SSI
 RM5-10 billion
 1,300 acres (including 500
acres reclaimed land)
 Petroleum and LNG Terminals
 LNG Regasification Plant
 Phase 1 operational April 2014
Potential Investor 1
 RM27 billion
 2,000 acres
 Refinery
 Petroleum Products
 Aromatics Products
"To transform Johor into a Sustainable, World-Class Downstream Oil & Gas Hub“ - JPDC
Investment in Pengerang constitutes 31% of committed
investment announced for ETP and will play key roles in
meeting Malaysia’s future energy requirement
Committed Investment
(Total: RM219.3 billion)
Other NKEA
investments
as of 31 Dec 2013
69%
 Providing option to meet nation’s future
energy requirement
31%
Oil & Gas Investment in Pengerang
(RM69 billion)
Economic
Impact:
2020 GNI and Job creation from Oil &
Gas investment in Pengerang
2020 GNI
impact:
RM18.3
Billion
Strategic Reasons for
Pengerang Development
Total job
creation
8,600
• Pengerang LNG Regasification
terminal to meet increasing
demand for natural gas in Malaysia
• PETRONAS new oil refinery to
supply for domestic fuel
consumption
 Major regional manufacturer of
specialised petrochemical products
 Potential source of revenue for Malaysia
from petroleum product trading activities
"To transform Johor into a Sustainable, World-Class Downstream Oil & Gas Hub“ - JPDC
Malaysia Federal Government and Johor State Government
lend full support for PIPC development
“ PIPC is a National Project of
strategic importance ”
Economic Council decision, 13
February 2012 chaired by Prime
Minister of Malaysia
"To transform Johor into a Sustainable, World-Class Downstream Oil & Gas Hub“ - JPDC
Development Updates
Johor Petroleum Development Corporation Berhad | 2015
Pengerang Terminal in PIPC has begun construction in
2011
Petroleum Terminal
 500 acres – reclaimed land
 Deepwater (24m); jetty facilities capable of
handling VLCCs and ULCCs
 Storage capacity 5 mil cbm
 Phase 1 started operation April 2014
 Phase 1 completed 30 December 2014
LNG
LNG
Phase 1 : 150 acres + Capacity of 1.3
million cbm + 6 berths = RM 1.9 billion
Investment Value
RM5 Billion
LNG Terminal
 Dedicated terminal (capacity: 400,000 cbm)
 Independent terminal (capacity: 360,000
cbm)
Investment Value
RM4.08 Billion
"To transform Johor into a Sustainable, World-Class Downstream Oil & Gas Hub“ - JPDC
PETRONAS RAPID project was launched by HRH Sultan of
Johor & YAB Prime Minister on 13 May 2012
Project Information
 RAPID consists of:
• Refinery (300k barrel-per-day refining
capacity)
• Naphtha cracker
• 20 to 24 petrochemical plants
 The complex is supported by associated
facilities:
• LNG regasification plant
• Power generation plant
• Air separation unit
• Dedicated storage terminal
• Raw water supply project
Project Progress
 Site preparation & earthwork in progress
 PETRONAS has inked 3 Heads of Agreements
to build specialty chemical plants, with;
i. Italy's Versalis SpA (signed shareholders
agreement)
ii. Japan's Itochu (signed shareholders
agreement)
iii. Germany’s Evonik
 Final Investment Decision (FID) approved 3
April 2014
"To transform Johor into a Sustainable, World-Class Downstream Oil & Gas Hub“ - JPDC
Timeline for PIPC project
Construction of
Taman Bayu
Damai starts
Construction of
Taman Bayu
Damai ends
Commencement
of DIALOG’s
first phase
operation
Construction
of DIALOG’s
first phase
Launch first phase
construction
DIALOG
Q3 2011
Investor 1
FID
Investor 1
commissioning
Construction of Taman
Bayu Damai* starts
2 April 2012
RAPID Site Clearance
19 October 2012

2011

2012 Apr


2013
Nov 2014

2015

 
RAPID Final Investment
Decision (FID)
April 2014
2016 2017 2018 2019 2020 2021
DIALOG’s first phase
operation commences
April 2014
RAPID site
clearance starts
RAPID FID
RAPID
COMMISSIONING
Construction of Taman
Bayu Damai ends
Q4 2014
Investor 1
FID
Q1 2016
Construction of RAPID
RAPID commissioning
Early 2019
*Taman Bayu Damai – New settlement for villagers that are directly affected by RAPID
Investor 1 commisioning
Q1 2020
"To transform Johor into a Sustainable, World-Class Downstream Oil & Gas Hub“ - JPDC
Main Office
Suite 17.03A, Level 17,
Menara MSC Cyberport,
No. 5, Jalan Bukit Meldrum,
80300 Johor Bahru,
Johor, Malaysia.
Tel
: +607 – 267 2900
Fax
: +607 – 267 2999
[email protected]
www.jpdc.gov.my
facebook.com/johorpetroleumdevelopmentcorporationberhad
Thank you
Johor Petroleum Development Corporation Berhad | 2015