PETRONAS Unveils Dual Initiatives to Strengthen Malaysia's Oil & Gas Sector

PETRONAS, through Malaysia Petroleum Management (MPM), has announced two initiatives to strengthen the local oil and gas sector: the launch of the Integrated Well Continuity Services (IWCS) contract and plans to establish the MPM Hydraulic Workover Unit (HWU) Academy.

The IWCS contract is designed to address challenges related to rising costs and changing market conditions, offering a balanced approach to managing costs and margins compared to the previous Integrated Well Services (IWS) model. This contract employs a comprehensive strategy, dividing work into four main packages and 13 sub-packages covering well interventions, well abandonment and workover, and subsea intervention services. Following an extensive technical evaluation, 34 qualified contractors were selected, promoting fair and effective collaboration in well engineering projects.

The second initiative, the MPM HWU Academy, is being established through a Memorandum of Understanding between PETRONAS and both local and international HWU service providers. Set to launch in 2025, the Academy will focus on developing specialized skills in well abandonment and workover, aiming to build a skilled workforce to support the sustainable growth of the local oil and gas industry.

Senior Vice President of MPM, Datuk Ir. Bacho Pilong, said “The IWCS contract is a major leap in our wells management strategy, focusing on resource optimisation and job continuity. In addition, the MPM HWU Academy will be essential in strengthening local expertise to future proof the sector.

“PETRONAS continues to prioritise initiatives such as the IWCS contract and the MPM HWU Academy to enhance operational effectiveness and foster collaboration across the industry. These efforts will contribute to strategically positioning Malaysia more competitively in the global energy market,” he added.

PETRONAS is firmly committed to maintaining an optimal and sustainable oil and gas supply to support energy security, with Malaysia Petroleum Management (MPM) playing a key role in overseeing petroleum arrangements and guiding upstream petroleum activities within Malaysia.