Response to oil price change: A case study of national oil companies in Southeast Asia
Abstract
In the most recent crude oil price fluctuation in the 2015 - 2017 period, when the average price was around USD 47 per barrel, the oil and gas industry witnessed many players imperatively conducting various synthetic and systematic measures in an effort to withstand the effects. Looking into the practices of the three largest NOCs in Southeast Asia (Petronas of Malaysia, PTT Public Company Limited of Thailand, PT Pertamina - Persero of Indonesia) through the period, this paper aims to bring about some measures learnt from them, of which the most notable ones are i) guaranteeing a risk management system appropriate to different scenario, ii) being flexible and ready to adapt to any changes and iii) maintaining a full business value chain to maximise opportunities for business and values for shareholders.
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