700 km & US$7b Trans Malaysia oil pipeline a white elephant

lionnoisy SG

What is it--oil "pipeline would cross three MY states at the top of peninsular Malaysia, linking Yan in Kedah to Bachok in Kelantan."

cost US $ 7 billions,pipe line 700 km long,100 meter width and depth 25 meter!!

6 loading points in Yan for VLCC.360 oil tanks in日里 of Kelantan.Capacity

180 million barrels.

expected to be completed in 2014,this pipe line can transport half

of oil through Malacca Strait.

"输油管计划耗资70亿美元兴建一条长300公里、宽100米和深25米的输油管，从吉打州铅区穿越霹雳州至吉兰丹州万捷，以及兴建大型的储油设施。预计2014年建竣后，每年通过马六甲海峡运往东亚的石油，其中50%将由输油管承运。"

"具体的工程计划，在吉打铅区岸外装置6个单点系泊，最大化巨型(VLCC)和超巨型油轮在铅区卸油次数；在吉兰丹日里兴建360座储油罐，开放各国购买储油罐股权，储存1亿8000万桶石油；在吉兰丹州万捷兴建12座岸上石油泵站，最大化Aframax油轮川行于中国与万捷的次数。"

http://www.klsreview.com/HTML/2009Jul_Dec/20090911_02.html

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I will talk abt the costs ,benefits and risks of this project.

1.Costs

---US 7 billions to build

---I dunt know if this include so many bridges crossing the 700 km pipe line.

---damages and dividing to properties and land

---damages to environment

----You need an extra fleet of VLCC to transport oil (refined or raw)to

Japan,China,Korea etc.Currently,u just need one fleet.

----costs and time of unloading from VLCC to Yan in Kedah

and then pumping to Bachok in Kelantan.U need energy to pump

the oil through the 700 km pipe line.Right?Then u need to load into

VLCC and ship to customers in Asia!!

2.Benefits---

----reduce risks to pirates

---save time.But how much time can be saved?

---increase influences of Malaysia(in the words of

http://www.klsreview.com/HTML/2009Jul_Dec/20090911_02.html

泛半岛输油管计划被视为马国最重要的战略计划，一旦建成势必影响东南亚，乃至东亚的地缘政治格局。有些学者甚至认为，泛半岛输油管可成为马国在区域战略博弈中进行力量平衡的杠杆。

3.Risks

---Very hard to get land to complete the project.No land owner or user

is happy that their land is divided.i dunt know the details of the project.

Local resistances ,plus the local politicians can give the project

a lot of troubles.

----The long pipe line is subject to local and foreign attacks.

U cant turn the pipe line into Berlin Wall.Right?

--Very hard to get finance.

----From the points of view of oil owners and ship operators,will they

think this project can benefit them in time,costs etc?If so,how much

can they save in time and cost?

4.NEVER TURN THIS PROJECT INTO IRON FISTS

This is stupid ,if not dangerous,to turn this project into a spring board

for any country to jumo into a bigger political stage in the world.

Or,if u turn this pipe lines.if successfully completed,

as a iron bar to threat the throat of any countries,u are as good

as declaring wars.

No country,big or small,nearby or far away,can tolerate that

the sea lane of oil import is choked!!

If u force oil owners and ship operators to use this pipe

line,u are looking for troubles,damn deep troubles.

llll

references--

[PDF]

-by Haji Rasheed Khan

http://www.azmilaw.com/archives/Article_9_Transpeninsular_Pipeline_Pipe_dream_or_reality_00121955_.pdf

http://uk.reuters.com/article/idUKKLA00390420070507

http://www.klsreview.com/HTML/2009Jul_Dec/20090911_02.html

泛半岛输油管计划疑闹双胞悬案

lionnoisy SG

http://www.channelnewsasia.com/stories/afp_asiapacific_business/view/278821/1/.html

frakfrakfrak SG

Deals signed on pipeline that seeks to divert Malacca Strait oil
Posted: 28 May 2007 1505 hrs

KUALA LUMPUR: Malaysian, Indonesian and Saudi Arabian firms on Monday signed agreements for construction of a pipeline that aims to divert 20 percent of oil flowing through the strategic Malacca Strait, the project owner said.

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My suggestion to Singapore is to import more fake degree holders from China, sponsor their education, give their mothers allowance money, allocate quotas in universities to them and give them civil servant positions.

Also, to build more casinos and raise rental and housing prices.

Sure can win over these kind of silly Malaysian nonsense.

angel3070 SG

I suggest PAP go set up 100 million fund go and help foreigners.

Atobe SG

I suggest PAP go set up 100 million fund go and help foreigners.

Temasek and GIC should get into some "Suzhou type of investment" with the Thai Government to develop Southern Thailand and bring progress and prosperity to a violent and undeveloped place that has been neglected for decades.

It will "compliment" the on-going development in the adjacent Malaysian territory, and provide Singapore with a stake in the north.

angel7030 SG

after thaksin telecom affair, still want to invest in Thai swadee ar??

Singapore is not worry about those pipelines laying, firstly, as stated, these countries are not efficient enuf to undertake such project, secondly, our port being the best for oil tanker is because the we had the most advance refineries, the Arabs tankers come in, load their cruel oil here, we refine it to different grades, absorbed the by product to do other products, download back into their tankers and they move to serve all countries around Asia. And thirdly, we are efficient and very effective in doing this business for years.

So, you ask yurself, is it visible for you to lay a pipe line across malaysia just to evade Singapore strait?? In a business context, i think they are getting nothing out of it except create piple laying jobs for the next few years. So, Maersk Line is back ya

Arapahoe SG

after thaksin telecom affair, still want to invest in Thai swadee ar??

what would a prostitute know about strategic positioning of Singapore?

Do you know who are behind the project?

The venture was confirmed by several Malaysian, Indonesian and Saudi Arabian companies last week (28 May), in the presence of the Malaysian prime minister and the Indonesian president.

China, Japan, South Korea and other big East Asian oil importers might, for supply security reasons, want to open an alternative route for their vital oil imports from the Middle East and Africa in case the Malacca and Singapore straits are shut for any reason.

dukedracula SG

apart from this one, china is looking seriously at burma's proposal to lay a pipe from the bay of bengal all the way up to south-west of china....

Arapahoe SG

Look at who are the participant of the MY supper refinery...very soon another source of Singaporean High Income earner will move out of Singapore.

seyKai SG

US$7 billions for 700 km is far too much

india 900 km cost less than 2 billions to construct

i think is money construction in this

angel7030 SG

what would a prostitute know about strategic positioning of Singapore?

Do you know who are behind the project?

The venture was confirmed by several Malaysian, Indonesian and Saudi Arabian companies last week (28 May), in the presence of the Malaysian prime minister and the Indonesian president.

Not a problem, if Malaysia wants to do it, go ahead, let them lay the pipes, we still do the refineries...the key words here is "IF"

"If" only malacca and singapore strait is shut down, they got alternative road, for years these straits have not shut down, and as long as these strait are not shut down, who is going use that pipeline?? And what happen if the pipe burst?? etc etc..

When a tanker move from kuwait with tons of cruel oil, they stop by bukom or jurong island to get the cruel oil refined to petrol or diesel, then they go back to kuwait for another loan. Meanwhile, it sister ship will enter bukom or jurong island to get tons of petrol loan and move on to all other countries who can use the petrol directly.

Now you build a pipe line, tanker from kuwait stop and loan down the pipe line, the other of malaysia, a sister ship await to loan up the cruel oil, so where are they going to do the refinery?

sbst275 SG

soon might see state govt quarrel over wanting royalty of e refinery profit

PedoBear SG

if this pipeline project is successful, i foresee alot of the locals taping the pipeline to steal oil

angel7030 SG

if it spill, we maybe eating oily vege and durians from malaysia

Atobe SG

if it spill, we maybe eating oily vege and durians from malaysia

This is another one of the ignorant posts from the resident "hum" that simply have to display its idiocy irregardless if there is any basis for the reckless remarks made.

The "vege and durians" are mostly in the sides of hills and mountains located around Ipoh, Tapah, Cameron Highlands, and up to Penang.

The pipeline is located almost next to the Thai-Malaysia Border that is clearly more then 200km near any vegetable or durian farm.

Can oil flow uphill ?

Perhaps the froth that flows from the useless "hum" will defy gravity and flow upwards to the "twat" located at its head ?

Arapahoe SG

US$7 billions for 700 km is far too much

india 900 km cost less than 2 billions to construct

i think is money construction in this

Perharps you mistook the reality of not building. Last year oil price reach over a hundred a barrel. The cost of no building might reach $300 a barrel.

It is both political and economical...the region look at this to reduce the reliance on the strait and also the West. Most of these projects are invested by both the chinese and Iranian.

MY interest is to reduce the economics power house by Singapore so that it shelve the little armed race that is going on.

But all in all Singapore refinery center proof to be a bottleneck especially with our limited land and resources. The question is how can we benefit from the line.

Finally the stabilities of Price.....if you understand the coorelation between intended demand the stabilities of resources...The pipeline and the speed of deliveries would help to stablizes some of the premium that we tag onto Oil future market.

Like i said it would reduce some of the high paying jobs in Singapore......more jobs loss.

Arapahoe SG

Not a problem, if Malaysia wants to do it, go ahead, let them lay the pipes, we still do the refineries...the key words here is "IF"

Now you build a pipe line, tanker from kuwait stop and loan down the pipe line, the other of malaysia, a sister ship await to loan up the cruel oil, so where are they going to do the refinery?

Wake Up.......That is why i said why don't you "READ" before writing stupid replies.....

people already started building storage facilities....pipeline in the North.... storage facilities in the south to capture the residuel vessels......

The Asia Petroleum Hub is one of the newest petroleum storage projects to be started in Asia and has the potential to become a major market for petroleum products in the region.

The facility was given the go-ahead by the Malaysian Government in March 2007 and broke ground in July 2007. The hub is being constructed on a 40ha manmade island in Mukim Serkat Daerah Pontian, near the port of Tanjung Pelepas, Johor in Malaysia.

The project is expected to cost some £220m (RM1.4bn) to build and is scheduled for completion in 2009. The hub is being built and will be owned by Asia Petroleum Hub Sdn Bhd (APH), which is 90% owned by KIC Oil and Gas a private oil company in Malaysia and 10% owned by Trek Perentis Sdn Bhd.

novelltie SG

i heard that Singapore controls 85% of off shore rigs around the world and we were not affected by the price hike during the 2008 peak. it's just that the petrol companies wanted to "profit" during the crazy period and increased prices.

i mean Singapore does have oil... not in the island itself but around the world...

who heard about this before?

Atobe SG

i mean Singapore does have oil... not in the island itself but around the world...

who heard about this before?

Singapore does not "control" 85% of off-shore rigs.

Singapore only has an 85% share of the design and construction market for the off-shore rigs - which makes Singapore the No 1 specialist in this field.

Singapore is ranked globally as the No 3 in Export Refinery Center, and still has no influence on the price of Crude Oil - which is determined by the Organisation of Petroleum Exporting Countries (OPEC).

The price of refined oil products such as the different grades of petrol, diesel, kerosene, lubricating oils, and other by-products such as aromatics for perfume, plastic resins, and synthetics - are all determined by the Oil Companies, which vary their selling prices based on the input costs from OPEC.

The retail prices sold to Singapore Consumers are determined by the Oil Companies with the Singapore Government collecting 44 cents per litre irregardless of the price.

This provides the Government a rich source of continuous revenue, while the Oil Companies are said to be having only a thin margin from the retail price.