Upland Resources ‘well positioned’ within Sarawak following negotiations
has reflected on a statement made by the Sarawak State government and Petroliam Nasional Bhd (“Petronas”) earlier in May which it believes supports its business strategy in Malaysia.
The Sarawak State government and Petronas reached a consensus over the management of oil and gas assets and sales tax on petroleum products in Sarawak earlier this month.
The two parties mapped out a commercial solution to ongoing issues to create a stable environment for investment and business in Malaysia and in Sarawak in particular.
Upland said these latest developments are ‘a noteworthy shift’ forward towards meaningful participation by Sarawak in the development of its significant oil and gas resources.
Since April 2018, Upland has held a joint venture with Brooke Dockyard and Engineering Works Corporation which is wholly owned by the Sarawak Government.
The joint venture has seen the two companies work alongside each other to jointly assess, explore and develop hydrocarbon assets within the State of Sarawak, Malaysia.
Shares in Upland Resources were trading 15.38% higher at 0.75p on Wednesday morning.
“We believe that it is an encouraging signal for industry players that they may soon be able to work in the area with Petros to maximise the substantial potential of Sarawak,” said Bolhassan Di, Chairman of Upland Resources.
Upland is currently collaborating with local Sarawakian consulting expertise to design a proposed work programme regarding prospective hydrocarbon plays of scale in Sarawak.
Upland said it remains well positioned within Sarawak as a result and maintains a strong relationship with Petros, the Sarawak Government's wholly owned oil and gas company.
Petros, which was established in 2018, will now have more autonomy in the management of the oil and gas assets in Sarawak as a result of the recent announcement, the group noted.
Meanwhile, Upland said it continues to work on the results of an onshore Tunisian regional study in and around the Saoauf permit area to define new target plays in unlicensed areas.
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