The Oild and Petroleum Industry Essay

The Oild and Petroleum Industry Essay

Length: 1568 words (4.5 double-spaced pages)

Rating: Powerful Essays

Open Document

Essay Preview

The oil and petroleum industry in Malaysia operates under an oligopolistic market structure. Both PETRONAS and Shell are renowned firms that produce and sell petroleum in Malaysia. Incorporated on 17 August 1974, PETRONAS is Malaysia’s national oil company, assigned with complete ownership and control of the petroleum resources in Malaysia. Throughout the years, PETRONAS grew into a “completely integrated oil and gas corporation and is ranked among FORTUNE Global 500® largest corporations in the world” (PETRONAS, 2014).
Since 1981, Shell has been in Malaysia for over a hundred years. 19 years later, Shell produced Malaysia’s first barrel of oil. In 1910, Shell discovered Malaysia's first oil well. During 1914, Shell built Malaysia's first refinery in Miri and in 1963. Shell was also the first to take oil exploration offshore and discovered oil and gas in East Malaysia waters. Shell has become the petroleum retail market leader in Malaysia today, catering to one-third of West Malaysia and half of East Malaysia’s market requirements (Shell, 2014).
PETRONAS and Shell are both in the petrol industry and they operate in an oligopolistic market structure and are competitors to one another. An oligopoly market structure is a market structure where there are only a few suppliers in the market. Thus, they dominate the whole industry. PETRONAS and Shell are among the few major firms in the oil and petroleum industry in Malaysia and they each hold a huge percentage of the market share in the industry. Also, firms in an oligopolistic market produce either similar or differentiated products. PETRONAS and Shell produces and sell petroleum and are considered as a perfect oligopoly. As PETRONAS and Shell sells homogenous prod...

... middle of paper ... [Accessed: 20 Mar 2014]. 2014. The history of Shell in Malaysia - Malaysia. [online] Available at: [Accessed: 8 Mar 2014]. 2014. Shell FuelSave 95 - Malaysia. [online] Available at: [Accessed: 22 Mar 2014].
Thestar. 2014. Archives | The Star Online.. [online] Available at: [Accessed: 18 Mar 2014]. 2014. Shell bullish on Malaysia, to continue investments - Business News | The Star Online. [online] Available at: [Accessed: 15 Mar 2014].

Need Writing Help?

Get feedback on grammar, clarity, concision and logic instantly.

Check your paper »

Essay about Petroleum Industry Is A Main Energy Industry

- Petroleum industry is a main energy industry. So, petroleum is vital to many industries, and is of importance to the maintenance of industrial civilization in its current configuration, and thus is a critical concern for many nations. Oil accounts for a large percentage of the world’s energy consumption. Oil and gas drive world economies, their prices can alter the economic prospects of entire countries and a single value fluctuation can have a wide-ranging impact on stock markets worldwide. The petroleum industry includes the global processes of exploration, extraction, refining, transporting (often by oil tankers and pipelines), and marketing petroleum products....   [tags: Petroleum, Natural gas, Oil refinery]

Powerful Essays
762 words (2.2 pages)

Petroleum And Its Effects On The Petrochemical Industry Essay examples

- Petrochemicals are concoction items made from petroleum. Some synthetic mixes produced using petroleum are additionally acquired from other fossil energizes, such as, coal or normal gas, or renewable sources for example corn or sugar stick. The final commodities that are used in the petrochemical industry involve approximately 100 different types of spirits, gylcols, oxides, anhydrides, and other chemicals. Petroleum is an unpredictable blend of natural fluids that are alias raw petroleum and regular gas....   [tags: Petroleum, Oil refinery, Petrochemical]

Powerful Essays
1395 words (4 pages)

Petroleum Engineering At Louisiana State University Essay

- As we all know, global commodities markets are in disarray. The Greek debt crisis, China 's stock market crash, the potential for Iranian sanctions to be lifted, and OPEC 's outright refusal to cut production has left us in a world where a $105 barrel of oil doesn 't write the rules in this industry anymore. Unfortunately, the job market is currently looking quite grim for college graduates in the field of petroleum engineering. However, I am determined to stay with the oil industry and attend graduate school in the pursuit of furthering my dream....   [tags: Petroleum, Natural gas, Petroleum industry]

Powerful Essays
1014 words (2.9 pages)

Essay on Analysis Of Shell Petroleum Development Company Of Nigeria

- Analysis of Shell Petroleum Development Company of Nigeria Name Institution Analysis of Shell Petroleum Development Company of Nigeria Shell Petroleum Development Company of Nigeria (SPDC) is a multinational company based in Nigeria for the last 50 years dealing with petroleum products. Apart from offering exploitation and drilling of oil in Nigeria, shell has ventured in the power generation to serve the small and medium enterprises in Nigeria. The production of oil takes place in the Nile Delta region which stretches 30km2 where the company is working in 90 oil fields with a total of 1,000 oil wells....   [tags: Petroleum, Natural gas, Petroleum industry]

Powerful Essays
949 words (2.7 pages)

Ethical Issues Concerning Hydraulic Fracturing in the Petroleum Industry.

- Ethical Issues Concerning Hydraulic Fracturing in the Petroleum Industry. In these present days we have a lot of ethical issue in our day to day living going from conflict of interest all the way up to cutting corners in the petroleum industry. A good example of an ethical issue would be why fracking is bad, which I find to be very dangerous and could lead to various disasters such as loss of life, danger to the community and thereby leading to bad credibility. In this paper I would be talking about Fracking and why it is bad, because like I stated before it is a very delicate issue and must be treated with great importance....   [tags: Ethical Issues, Conflict of Interest, Petroleum]

Powerful Essays
873 words (2.5 pages)

Petroleum Engineering And Its Effects On The Environment Essay

- Petroleum engineering is the drilling of oil from the earth’s crust. The oil comes from carcasses of prehistoric dinosaurs, plants, and fungi. Since the oil is laborious to extract, there are petroleum engineers that specialize in creating more efficient ways to extract that oil. “Petroleum engineers design and develop methods for extracting oil and gas from deposits below the earth’s surface. They also find new ways to extract oil and gas from older wells.” Petroleum engineering is very dangerous to the environment because of what it can do to wildlife and its habitats and ecosystems ....   [tags: Petroleum, Natural gas, Petroleum industry]

Powerful Essays
1345 words (3.8 pages)

An Exploration Of A Petroleum Engineer Essays

- Career Paper A petroleum engineer has many jobs for instance, they are required to fully understand how and what an oil well does, and designing systems to help the flow of the oil. The way an oil well is developed is first they choose a drilling point, then they set up the well and drill down for 1 to 2 miles after that they drill sideways for a mile or 2 as well. The very last process is when they send a mixture of sand, water, and chemicals to crack the well which then releases the oil and natural gas....   [tags: Petroleum, Natural gas, Engineering disciplines]

Powerful Essays
716 words (2 pages)

My Internship : British Petroleum Essay

- The Company In order to maximize the usefulness of this assignment, I decided to evaluate the company I plan to intern for this summer, and hopefully sign on full time with after the conclusion of my internship: British Petroleum. I believe this will be particularly interesting as the energy/oil industry is under particular scrutiny when it comes to values and ethics, for obvious micro/macro reasons. On the other hand, it will be enlightening for me to see and further understand the culture and long term goals of the organization I will be walking into....   [tags: Petroleum, Natural gas, Energy development]

Powerful Essays
1685 words (4.8 pages)

The early petroleum industry in the US Essay

- The Early Petroleum Industry in the United States Ancient Egyptians used bitumen for embalming, the Assyrians used it in building, the Chinese for heating and lighting, and for centuries fishermen have used it to make their boats watertight. Naturally, man being what he is, was not content to let well alone, and soon petra- oleum (rock oil) and its associated products were being used in many delightful ways to cripple and annihilate his fellow men. The famous "Green Fire" was used in various forms for many centuries once it became known that when a mixture of petroleum and ground quicklime is exposed to moisture spontaneous combustion takes place....   [tags: essays research papers]

Free Essays
1792 words (5.1 pages)

Petroleum Engineering Essay

- Petroleum Engineering As a petroleum engineer, one would have to apply their "technical skills and knowledge" to solve different challenges. They connect an area that lies just below the surface and top to bring oil and gas from a reservoir to the to where they need it to be. Their aim is always to work economically as well as safely. The diverse topics covered by petroleum engineering are closely related to the earth sciences. Petroleum engineering topics include economics, geology, geochemistry, geomechanics, geophysics, oil drilling, geopolitics, knowledge management, seismology, team building, teamwork, tectonics, thermodynamics, well logging, well completion, oil and gas production, re...   [tags: Petroleum Engineer]

Free Essays
924 words (2.6 pages)