Rafizi: There is an ‘Invisible Hand’ Behind the High Purchase of Petronas Gas Reserves

PETALING JAYA, 17 Dec: Petronas allegedly paid twice the price more to Prigress Energy for each barrel of shale gas reserves bought compared to other transactions signed by Petronas throughout 2012 to 2013, and other similar petroleum company transactions.

The purchase of shale gas involves a payment of RM15.8 billon and the price of each barrel worth USD16.42.


This is compared to the purchase made by 3D Oil with the purchase of Hibiscus Petroleum which only cost USD7.02 per barrel and between OGX and Petronas, of only USD7.46 per barrel.

“Petronas was influenced to buy Progress Energy at a high price and did not merely follow commercial considerations.

“This is similar to Datuk Seri Najib Razak’s administration which witnessed the country’s investment companies such as 1MDB paying many times over the market rate to buy electricity generating assets from IPPs where concession has ended.

“The payment of over twice the price from market value involving purchases by Petronas and Progress Energy is also influenced by an ‘invisible hand’ that arranges to make profit,” said Rafizi in a press conference at the PKR headquarters today.

Rafizi added that the purchase makes it the purchase of shale gas that is at the highest rate, surpassing conventional petrol.

“How can shale gas be higher than conventional petrol, when conventional petrol is far higher, or at least the same price.

“As the responsible person, the Prime Minister should answer this question, involving RM15.8 billion of the people’s money. I also want to hear comments from Tun Dr Mahathir Mohamad,” Rafizi added.

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