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A practicing Professional Engineer and DOSH qualified 1st Grade Steam Engineer, Ir Mahmood Azmy holds the position of CEO at MECIP Global Engineers Sdn Bhd, and is an active member of IEM, MOGEC and MOGSC, and serves as a board member of SEAMOG Group Sdn Bhd.


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Ir Mahmood Azmy Muhd Shukri, MECIP CEO


  1. What has been your greatest achievement so far in MECIP?
    I have been with MECIP for a while now. The greatest achievement for MECIP is that we are able to establish ourselves strongly as equivalent to other international players in oil and gas business. Being local and positioned in Kerteh, Terengganu, it is quite difficult to be visible. But we manage to step out of our boundaries in becoming more prominent in the oil and gas community. It is an achievement for us in terms of the company’s branding, which helps us in marketing, gaining trust and becoming business partners of PETRONAS, Shell, other reputable oil and gas companies, as well as working closely with MATRADE to market our services overseas. This is in line with our company name – MECIP Global, where we want to position ourselves globally as an oil and gas engineering services provider.

  2. I understand that you previously worked in PETRONAS. And now as CEO of MECIP, do you think that the business connections you made back then has helped you in your business?
    I worked with PETRONAS for more than 12 years in oil refinery and petrochemical plant, and another 10 years in a US-based company, HUNTSMAN which gave me very good technical background in oil, gas, and petrochemical business. Being in PETRONAS for many years, coupled with international exposure with HUNTSMAN, I made quite a number of connections which enriched my technical and management experience. I started my career as a project engineer in Kerteh Refinery Reformer Project, then subsequently lead maintenance team in Kerteh Refinery and the Inspection team in Kerteh Ethylene Polyethylene plant. I made my career move outside of PETRONAS to lead Engineering team in HUNTSMAN to gain further knowledge, experience and exposure working with an international company. In managing projects, maintenance, inspection and engineering work, many technical matters were covered, and I had the opportunity to work with specialists and experts in various subject matters. It was expected of me to ensure all activities managed must be well planned, conducted in high safety standards, with great attention to detail, with target of zero defect and according to schedule. I was able understand the technical part of the business and management of engineering work much better through these experiences and business connections locally and overseas. All these experiences, knowledge, contact and business relationships, are very important for me and MECIP to deliver quality engineering service to our clients.

  3.  Are there challenges you faced over the years that you have overcome? How did you do so?
    Working in oil and gas means you may face multiple challenges over the years. One of the challenges we faced is related to people. We must hire good, competent, talented and well-committed people. Because they will become our assets. Getting the right people is a real challenge. For example, when you’re building a house, the foundation must be strong. Even if the house looks beautiful on the outside, if it doesn’t have a good foundation, it will crumble when a storm comes. That’s why it’s important to get the right people, with the right attitude and mindset. We’re looking for people who want to grow with the company. I would like to groom or nurture them to be like me! I want to develop them into becoming future leaders of our business. But sometimes it’s difficult to retain good talent, as they might resign as soon as there’s a better position somewhere else, and then we have to start the hiring process all over again. That’s why we introduced a loyalty programme for our staff. Those who stay for more than 5 years in our company, we reward them with vacation trips, and the longer they stay, the better the rewards. On top of this, we also have annual dinners to encourage a community-feel in our company. We do these little things because we want our people to be happy, enjoy working and stay loyal with MECIP.

  4. Has there been a new development in MECIP, perhaps a new way of doing things or a new technology, that has recently helped a project?
    Technology has been developing so rapidly worldwide, and we have to adjust ourselves. In terms of engineering software, it has changed the way we do things. In design work, we have evolved from using manual tools to computer software and programmes. It is an expensive investment, but we must do it in order to adapt and grow our business. We are always looking for ways to improve our work processes and efficiency. With technology, it will really help us to improve our work performance to serve our client better and this is in line with our passion to serve - “Do it right the first time, every time.”

  5.  As I understand it, it is MECIP’s vision to provide local solutions with global expertise. Do you believe that the local talents are at par with overseas counterparts? 
    Overseas talents are more exposed to the global market and they might have more expertise and experience compared to Malaysian talents. Our local talents, normally having minimal overseas experience, will have limited opportunities to work overseas as they might not be familiar with the countries’ code and standards. I do believe that we have to expose ourselves more to overseas market, learn new standards and explore better ways of doing things. In terms of the local market opportunities, especially for various big local projects here in Malaysia, I do believe the local workforce are capable and competent enough to take bigger roles and responsibilities. In fact, I think we can even speed up to build our local strength if there is a policy that requires foreign players to work under local companies for mega projects in Malaysia. I strongly urge government policy to address this matter accordingly to ensure better development and growth of Malaysian local companies. “Malaysia Boleh” slogan should continue to roar.

  6. What can students or fresh graduates do to prepare themselves for a career in the oil and gas industry? 
    In general, this message is not just for students but also to young fresh graduates who are embarking their careers in oil and gas - you must prepare yourselves mentally in terms of technical know-how and communication. You must apply good analytical thinking and ask questions to enhance understanding. If you don’t ask, how will you learn? You may think it’s alright to just let things go and leave it up to your bosses to correct your work. This is not the right thinking process. You need to put in extra efforts to learn, even after office hours or during your free time on weekends. The learning curve for young graduates must be exponential and they must strive to be good in their respective technical knowledge, especially if they are engineers. If you come across something that you want to delve deeper at work, keep that as ‘homework’. Keep an inventory of things you want to learn in your pocket. I call this the ‘pocket list’. So, you will always occupy yourself with learning. Be proactive in whatever tasks and initiatives given to you. For engineers, I would encourage you to get additional certifications because a degree on its own may not be enough. Work hard towards becoming a Professional Engineer as the career objective. Join professional societies and become a member of Institute of Engineer Malaysia (IEM), Institute of Materials, Malaysia (IMM), etc. These will help you gain good connections and learn about new technologies in the industry.

  7. Having worked with various business partners all over the world, was there something from overseas that impressed you, that you have successfully adapted at MECIP?
    Working with a Japanese company like Chiyoda Corporation, was a very good experience. Being in Japan, you get to observe how Japanese people manage their time. They are very focused and the quality of work produced is extremely good. They are also very detail-oriented, even their handwriting is very neat. I enjoyed very much working with the Japanese and try to adopt similar mindset at MECIP – being result-oriented, attention to detail, work hard, and take things seriously. Sometimes you might have to stay back and work, but that’s what you have to do in order to achieve results. We will not allow substandard work to be produced. We also established a good quality culture in our office - we developed an engineering design process called interdisciplinary checks (IDC) where there are multiple checks to ensure our engineers produce quality work. And this is part of the ISO 9000 quality management system, which is basically derived from the Japanese culture. Our company is an ISO 9001-certified company, and we believe in delivering a good quality job, in a safe and timely manner. We also believe in continuous improvement or “Kaizen” – engineers must develop themselves in order to become senior engineers and so on. You can’t stay in one position forever. Punctuality is also one of the things I try to emphasize. The Japanese are very punctual with their timing. Most importantly, I value honesty at work. Japanese people are very transparent with their work – if they made a mistake, they will own up to it. For locals, saying sorry might be more difficult. But it’s important to keep that integrity.

  8. What is the company culture of MECIP?
    As I mentioned, we like to encourage continuous improvement in our company. We also encourage our engineers to practice their communications skills. For example, we have “English Day” in the office where staff will practice their presentation skills in English. Some might have broken English, but the important thing is they try and keep on improving themselves. We give awards to the “Best Speakers” in our annual dinners. We also like to reward those who give internal training and share their knowledge with others. Usually the juniors will nominate their seniors who they think are the best “coach” or “teacher”. We actually have a few excellent engineers who like to share their technical knowledge. In general, we want to improve through excellence in knowledge and we encourage everyone to learn from each other. We want our engineers to be passionate about their own expertise and share this passion with others.

  9. What is next in the pipeline for MECIP?
    We are planning to secure some overseas projects. We have been to Brunei, Jakarta, Aberdeen, Houston. We’ll be going to Abu Dhabi in Middle East in mid-November. We have our partners in Abu Dhabi and the next step is to secure overseas jobs that can be done locally in Malaysia. In recent years, we have established a good partnership with a Norwegian company, Sharecat, and have formed a Malaysian joint-venture (JV) company with them to provides oil and gas services to the European market. In our plan, Norway will be like a big “storage tank”, and they will pipe down the work to us in Malaysia to execute. Due to the economic downturn, the market is a little slow. But we hope business will pick up soon once the market recovers. We are looking for more channels like these so we can hire more local engineers and nurture them to become future leaders. Our goal is to encourage more participation and involvement of our local engineers to serve the global market through MECIP. MECIP also seriously plans to expand and venture into new horizons through SEAMOG, a new company that was formed to do EPCC packages and major plant Turnaround. We believe in consolidation and having equal shares with other three strong companies in SEAMOG will make us grow bigger and faster. We want to transform MECIP for a better future.

  10. Finally, name things that are important to you – in life or in your career.
    Always have in mind, to do the right thing. Be thankful and grateful. Be honest, trust and grow people. Don’t get easily frustrated when things don’t go your way. When you do something, there should be no turning back. You must have a goal and know which direction you are heading. Have good and sincere intentions because it will most definitely be rewarded in the end.


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New PNG Government Reviews Past Oil Agreements

A lot of complications arise when a government changes. Particularly if the new government comes in on a mandate to reverse alleged deficiencies and corruption of previous governments. This is amplified when significant natural resources are involved. It has happened in the past – when Iran nationalised its oil industry by kicking out BP – and it could happen again in the future – in Guyana where the promise of oil riches in the hands of foreign firms has already caused grumbles. And it is also happening right now in Papua New Guinea, as the new government led by Prime Minister James Marape took aim at the Papua LNG deal.

Negotiated by the previous government of Peter O’Neill, the state’s new position that is the current gas deal is ‘disadvantageous’ to country. A complex set of manoeuvres – accusing O’Neill of multiple levels of corruption – led to a proposed vote of no confidence and an eventual resignation. With the departure of O’Neill, public opinion on the Papua LNG project (as well as the PNG LNG project) switched from being viewed as a boon to the economy to one of unequal terms that would not compensate the nation fairly for its resources.

So, despite a previous assurance in early August that the new government of Papua New Guinea would stand by the previous gas deal agreed with the Papua LNG stakeholders in April, Marape sent a team led by the Minister of Petroleum Kerenga Kua to Singapore to renegotiate with the project’s lead operator Total.

As the meeting was announced, suggestions pointed to a hardline position by Papua New Guinea… that they could ‘walk away from a new deal’ if the new terms were not acceptable. In a statement, Kua stated that the negotiations could ‘work out well or even disastrously’. From Total’s part, CEO Patrick Pouyanne said in July that he expected the government to respect the gas deal while Oil Search stated that it was seeking ‘further clarity on the state’s position’. The gas deal covers framework of the Papua LNG project, which was scheduled to enter FEED phase this year with FID expected in 2020, drawing gas from the giant onshore Elk-Antelope fields ahead of planned first LNG by 2024. So, the stakes are high.

With both sides locked into their positions, reports from Singapore suggested that the negotiations broke down into a ‘Mexican standoff’. No grand new deal was announced, and it can therefore be inferred that no progress was made. There is a possibility that PNG could abandon the deal altogether and seek new partners under more favourable terms, but to do so would be a colossal waste of time, given that Papua LNG is nearing a decade in development. Total and ExxonMobil have already raised the possibility of legal moves if the deal is aborted, with compensation running into billions – billions that the PNG government will not have unless the Papua LNG project goes ahead.

But the implications of the deal or no-deal are even wider. The PNG state has already stated that it will look at the planned expansion of the PNG LNG project (led by ExxonMobil and Santos) next, which draws from the P’nyang field. Renegotiation of the current gas deals in PNG may have populist appeal but have serious implications – alienating two of the largest oil and gas supermajors and two of PNG’s largest foreign investors could lead to a monetary gap and a mood of distrust that PNG may be unable to ever fill. Hardline positions are a good starting position, but eventual moderation is required to ever strike a deal.

Papua LNG Factsheet:

  • Ownership: Total (31.1%), ExxonMobil (28.3%), Oil Search (17.7%), state (22.5%)
  • Feed: Elk-Antelope onshore fields,
  • Capacity: 5.4 million tons per annum
  • Structure: 2 trains of 2.7 mtpa capacity each
August, 22 2019
This Week in Petroleum: 2018 OPEC net oil export revenues highest since 2013, but likely to decline

The U.S. Energy Information Administration (EIA) estimates that members of the Organization of the Petroleum Exporting Countries (OPEC) earned almost $711 billion in net oil export revenues in 2018 (Figure 1). The estimate is up 29% from 2017, but about 40% lower than the record high of almost $1,200 billion in 2012. The 2018 earnings increase is mainly a result of higher crude oil prices. The Brent spot price rose from an annual average of $54 per barrel (b) in 2017 to $71/b in 2018. However, EIA forecasts annual OPEC net oil export revenues will decline to $593 billion in 2019 and to $556 billion in 2020. Decreasing OPEC revenues are primarily a result of decreasing production among a number of OPEC producers.

Figure 1. OPEC net oil export revenues

EIA estimates net oil export revenues based on oil production—including crude oil, condensate, and natural gas plant liquids—and total petroleum consumption estimates, as well as crude oil prices forecast in the August 2019 Short-Term Energy Outlook (STEO). EIA’s net oil export revenues estimate assumes that exports are sold at prevailing spot prices and adjusts the prices for benchmark crude oils forecast in STEO (Brent, West Texas Intermediate, and the average imported refiner crude oil acquisition cost) with historical price differentials among spot prices for the different OPEC crude oil types. For countries that export several different varieties of oil, EIA assumes that the proportion of total net oil exports represented by each variety is the same as the proportion of the total domestic production represented by that variety. For example, if Arab Medium represents 20% of total oil production in Saudi Arabia, the estimate assumes that Arab Medium also represents 20% of total net oil exports from Saudi Arabia.

Although OPEC net export earnings include estimated Iranian revenues, they are not adjusted for possible price discounts that trade press reports indicatedIran may have offered its customers after the United States announced its withdrawal from the Joint Comprehensive Plan of Action in May 2018. The United States reinstated sanctions targeting Iranian oil exports in November 2018. Similarly, EIA does not adjust for Venezuelan crude oil exports to China or India for volumes that are sent for debt repayments to China and Russian energy company Rosneft, respectively, and thus do not generate cash revenue for Venezuela.

If the $711 billion in net oil export revenues by all of OPEC is divided by total population of its member countries and adjusted for inflation, then per capita net oil export revenues across OPEC totaled $1,416 in 2018, up 26% from 2017 (Figure 2). The increase in per capita revenues likely benefited member countries that rely heavily on oil sales to import goods, fund social programs, and otherwise support public services.

Figure 2. OPEC real net and per capita oil export revenues

In addition to benefiting from higher prices, some OPEC member countries have increased export revenues by reducing domestic consumption and consequently exporting more. For example, Saudi Arabia has significantly reduced the amount of crude oil burned for power generation. Limiting crude oil burn allowed Saudi Arabia to export more crude oil and to maximize revenues.

Others have been able to charge higher premiums based on the quality of their crude oil streams. As the global slate of crude oil has changed with more light crude oil production (with higher API gravity), OPEC members have benefited from a narrowing price discount for their heavy crude oils, which are typically priced lower than lighter crude oils because of quality differences. Smaller discounts for OPEC members’ heavier crude streams contributed to higher spot prices for the OPEC crude oil basket price, which incorporates spot prices for the major crude oil streams from all OPEC members (Figure 3).

Figure 3. Gasoline crack spreads (250-day moving average)

Despite the increase in annual average crude oil prices in 2018, OPEC revenues fell during the second half of 2018, mainly because of lower production and export volumes from Iran and Venezuela (Figure 4). EIA estimates that OPEC total petroleum liquids production decreased slightly in 2018 when increased production in Saudi Arabia, Iraq, and Libya could not offset significant declines in Iranian and Venezuelan production. Combined crude oil production in Iran and Venezuela fell by almost 800,000 barrels per day (b/d), or 14%, in 2018 and again by over 1.0 million b/d in the first seven months of 2019. Although Iranian net oil export revenues increased by 18% from 2017 to 2018, a year-to-date comparison indicates a significant decrease in revenues in 2019 (Figure 4). EIA estimates that from January to July 2018, Iran received about $40 billion in export revenues, compared with an estimated $17 billion from January to July 2019. Further decreases in OPEC members’ production beyond current EIA assumptions would further reduce EIA’s OPEC revenue estimates for 2019 and 2020.

Figure 4. Number of days Singapore had the highest and lowest gasoline crack spread among global refining centers

U.S. average regular gasoline and diesel prices fall

The U.S. average regular gasoline retail price fell nearly 3 cents from the previous week to $2.60 per gallon on August 19, 22 cents lower than the same time last year. The Gulf Coast price fell nearly 6 cents to $2.27 per gallon, the East Coast price fell nearly 4 cents to $2.52 per gallon, the West Coast and Rocky Mountain prices each fell nearly 2 cents to $3.24 per gallon and $2.67 per gallon, respectively, and the Midwest price fell nearly 1 cent, remaining at $2.52 per gallon.

The U.S. average diesel fuel price fell nearly 2 cents to $2.99 per gallon on August 19, 21 cents lower than a year ago. The Midwest price fell over 2 cents to $2.90 per gallon, the West Coast and East Coast prices each fell nearly 2 cents to $3.56 per gallon and $3.02 per gallon, respectively, the Gulf Coast price fell more than 1 cent to $2.75 per gallon, and the Rocky Mountain price fell less than 1 cent, remaining at $2.94 per gallon.

Propane/propylene inventories rise

U.S. propane/propylene stocks increased by 4.0 million barrels last week to 90.5 million barrels as of August 16, 2019, 10.2 million barrels (12.7%) greater than the five-year (2014-18) average inventory levels for this same time of year. Gulf Coast, East Coast, Midwest, and Rocky Mountain/West Coast inventories increased by 2.0 million barrels, 1.0 million barrels, 0.7 million barrels, and 0.4 million barrels, respectively. Propylene non-fuel-use inventories represented 4.4% of total propane/propylene inventories.

August, 22 2019
The Australian 590 Student Guardian Visa Process In A Nutshell

Student guardian visa subclass 590 allows you to stay in Australia as a guardian or custodian or relative of an overseas student who is pursuing an education course in Australia. With 590 student guardian visa, You can stay with your child to take care of him/her in Australia until the course complete. Your child age must below then 18th years old before applying for a student guardian visa 590. If you're a relative then you can stay with the child by submitting written permission of a child’s caretakers like a guardian or grandparents. If your child is older then eighteen years then to apply for visa subclass 590 you need to show that you have special emergency circumstances. You can apply for a 590 student guardian visa outside from Australia and acquire enrollment in alternative courses up to three months with a 590 visa. You will be authorized to take care more then one child if you have. You can do the other study or coach just for 3 months with this Student Guardian Visa Subclass 590

Step By Step Process About 590 Visa

1.Before Applying for Visa

Meet Eligibility Criteria

    • You must be a parent or grandparents or relative of a non-Australian child who is below 18th of age.

    • If you want to apply from inside of Australia then you need to hold a substantive visa except for domestic worker, temporary work visa, transit visa, visitor visa, etc.

    • If your another child who is below 18th and not coming to Australia with you then you need to give evidence that you have made welfare arrangement for the child.

    • You have to account for your all healthcare expenses so make sure that medical insurance can only reduce your expenses.

    • Your past immigration history must be credible like you must not have any visa cancellation history.

    • Your intention should be genuine at the time of applying for student guardian visa 590 and it should be not against Australian culture and policies.

    • If your family members are also applying with you then they also need to meet health policies of the Australian government

    • Only a parent or grandparents or custodian or step parents of an overseas student visa 500 holder can apply for this student guardian visa subclass 590.

    • If parents are not present due to any reason for looking after the visa subclass 500 holder student then any relative can apply for this 590 student guardian visa. 

    • You must be a guardian of an international student who must be below 18th of age except for exceptional circumstances.

    • You have to give assurance to immigration authorities that you will be able to provide welfare.

    • Your age must be above 21 years old before going to apply for a student guardian visa 590.

    • You have to pay back any type of debt to the Australian government if you have.

    • If you have another child aged 6 years old then you can bring him/her to Australia but if your child if older then 6           years then you need to show emergency condition to bring him/her to Australia.

  Collect Documents

    •Provide character certificate and other national identities.

    •Submit bank documents and salary slips to prove that you will be enough capable to give welfare to the student.

    •Provide guardianship documents to prove your credibility to that child.

    •Translate your non-English documents into English.

    •Submit legal student guardianship form.

    •Provide dependent under 6 documents if you bring your child who is under 6 years of age.

2. Processing Time And Cost Of This Visa

Visa subclass 590 cost starts from AUD 560. This visa 590 may proceed in 2 to 4 months. But in case you forget to submit any documents then you processing time of visa can be increased. Your visa application processing time can be increased if you provide incomplete information.

3. Apply For The Visa

You need to apply online for the 590 student guardian visa 6 weeks before the student’s course starts. At the time applying for the visa, you have to prove that you are genuine and legal applicant by submitting legal documents. If you submit illegal information to immigration authorities then they have the authority to cancel your visa application immediately. You and your relative which is listed in visa application will not able to get a visa for the next 10 years in case of any fraud by you. You should contact an experienced Immigration Agent Adelaide.

4. Conditions After You Have Applied For The Visa

    • You are not allowed to do any type of work in Australia.

    • You can study only for 3 months.

    • With visa subclass 590 you can’t apply for another visa

    • At the time of leaving Australia, you must have brought the student to your country.

    • If you have another child who is below 6th years of age then you can bring him/her to Australia.

Get The Direction To Migration Agent Adelaide - ISA Migrations and Education Consultants.



August, 21 2019