Shell plans to cut 15% of refining capacity

Shell’s global plan to reduce 15% of its refining capacity and 35% of its retail markets, as well as to trim jobs, would not affect Malaysia, says Shell Chief Executive Officer Peter Voser. Malaysia is actually seen to benefit from the announced cuts because it is one of Shell’s offshoring centers. Shell has more than 900 petrol stations in Malaysia, a refinery in Port Dickson which Voser described as “very successful”, and a GTL plant in Bintulu, Sarawak. Together with Petronas, Shell is also exploring the viability of enhanced oil recovery (EOR) in Malaysia to extend the life span of existing oil fields. “It’s too early to give you details but these (deepwater exploration offshore Sabah and EOR) are high on our priority list,” said Voser. (March 22, 2010)