Latest news with #TengkuMuhammadTaufikAziz
Free Malaysia Today
44 minutes ago
- Business
- Free Malaysia Today
Issues over Petros nothing to do with Petronas layoffs, says Fadillah
Deputy prime minister Fadillah Yusof said Petronas is relooking its entire operation because of the decline in crude oil prices. KUCHING : Petroliam Nasional Bhd's (Petronas) move to trim its workforce stems from global challenges and is not connected to the national oil firm's issues with Petroleum Sarawak Bhd (Petros). Deputy prime minister Fadillah Yusof said Petronas's restructuring plan is necessary amid the decline in crude oil prices. He said he plans to meet with the company to get more details of the exercise. 'That (the decline in crude oil prices) is why Petronas has to relook its entire operation. I'm planning a meeting with them to get a briefing on the matter and to ensure that the number of layoffs can be reduced, if not avoided,' he told reporters attending the Aidiladha sacrificial event at Taman Hussein Mosque here today. On June 5, Petronas president and CEO Tengku Muhammad Taufik Aziz said the national oil firm is cutting 10% of its workforce to cope with challenging operating conditions, particularly because of falling crude prices. He said the number of staff involved in the downsizing process stands at about 5,000, and those affected will be notified in stages next year. On May 21, the federal and state governments reached an understanding on matters involving Petronas and Petros. According to the joint declaration, Petronas will continue its functions, activities, responsibilities and obligations entrusted to the company in Malaysia under the Petroleum Development Act 1974 and its regulations. Any agreements and arrangements between Petronas and its subsidiaries with third parties for the purpose of liquefied natural gas sales from upstream operations through to LNG exports to foreign parties remain unaffected. A media statement by the Prime Minister's Office following the joint declaration said all relevant federal and state laws relating to gas distribution in Sarawak are to co-exist and be respected by all parties.
Borneo Post
2 days ago
- Business
- Borneo Post
Petronas to cut 10 pct of workforce amid oil price slump, freezes hiring until 2026
Tengku Muhammad Taufik added that Petronas will also freeze all promotions and hiring until December 2026. – AFP photo KUALA LUMPUR (June 5): Petronas will cut about 10 per cent of its workforce as part of a major restructuring to reduce costs amid falling crude oil prices, financial news agency Bloomberg reported today. The state-owned oil and gas company plans to cut more than 5,000 jobs, CEO Tan Sri Tengku Muhammad Taufik Aziz said in a media briefing here. 'All those affected will be informed by the end of the year,' he was quoted as saying. He added that Petronas will also freeze all promotions and hiring until December 2026. 'The margins are shrinking, the fields are getting smaller. 'It will be challenging to meet dividend targets' with current oil prices, he added. Petronas contributes to some 10 per cent of Malaysia's revenue in 2024 through dividends and taxes. Tengku Taufik said Petronas had based its budget on Brent oil prices at around US$75 to US$80 per barrel. According to Bloomberg, the global benchmark is currently hovering near US$65 per barrel. Prices have fallen about 13 per cent this year as trade tensions weigh on global growth and OPEC+ increases production. Petronas' net income dropped 32 per cent in 2024, after a 21 per cent decline in 2023. – Malay Mail job cuts oil price slump Petronas
