Petronas is the best example of Malay corporate success


Petroliam Nasional Bhd (Petronas) announced its 2008 annual results, with year ending (YE) 31 March 2009 with RM 264 Billion turnover and RM 89.4 Billion EBITDA. This is a really large contribution to the nation’s coffer, as RM 74 Billion was made as payout to Federal and relevant State Governments, in terms of income tax, dividends and royalties. Undoubtably, this is a very impressive performance considering the world market oil price is no longer hovering at USD 130 per barrel. has the story:

June 25, 2009 15:07 PM

Petronas’ Revenue Up 18.4 Percent To RM264.2 Billion

KUALA LUMPUR, June 25 (Bernama) — Petroliam Nasional Bhd (Petronas) recorded another year of satisfactory performance for its financial year ended March 31, 2009, with an 18.4 percent increase in revenue to an all-time high of RM264.2 billion.

However, the group’s pre-tax profit fell 6.7 percent to RM89.1 billion while net profit declined 13.9 percent to RM52.5 billion.

At a press conference to announce the results, Petronas president and chief executive officer Tan Sri Hassan Marican said the stronger revenue was driven by higher sales volume and liquefied natural gas (LNG) prices.

The lower pre-tax profit, according to him, resulted from higher production and operating costs.

However, he said the drop was well within the decline recorded by major oil and gas companies which ranged between 6.4 and 25.7 percent.

Notwithstanding the lower profit, the group declared a total dividend of RM30 billion, which was 25 percent higher than the previous year.

Its total asset increased by 14.4 percent to RM388.1 billion from RM339.3 billion previously while shareholders’ funds rose by 15.1 percent to RM232.1 billion.

Despite the lower profit, Hassan said that Petronas continued to make higher payments to federal and state governments.

During the financial year, the group paid RM74.0 billion to governments, bringing the total payment to RM471.3 billion since its incorporation in 1974.

Of the RM74.0 billion payment for the year, RM67.8 billion went to the federal government, comprising RM30.0 billion of dividend, RM20.3 billion of petroleum income tax, RM9.1 billion of corporate income tax, RM2.2 billion of export duties and RM6.2 billion of royalty payment.

Another RM6.2 billion was paid in royalty payments to the state governments, with RM3.0 billion for Terengganu, RM2.3 billion for Sarawak and RM0.9 billion for Sabah.

The RM74.0 billion total payment to the governments represented 71.4 percent of Petronas’ pre-tax profit, royalty and export duty, with the group retaining only 21.1 percent of its profit during the year for reinvestment and the balance of 7.5 percent for foreign taxes and minority interests.

During the financial year, Petronas increased its capital expenditure to RM44.0 billion from RM37.6 billion previously.

As at Jan 1, 2009, Malaysia’s total hydrocarbon reserves rose to 20.18 billion barrels of oil equivalent (boe) from 20.13 billion boe last year as a result of ongoing exploration efforts and field growth activities.

International reserves increased by 9.6 percent to 6.84 billion boe, following a number of significant gas discoveries in Turkmenistan and Mozambique.



The fact is that since its inception 35 years ago, Petronas has dished out more than RM 471 Billion, in the form of income tax, petroleum tax, dividends and royalties to the Federal and relevant State Governments. Of which RM 263 Billion was within the last six years. For YE 2008, RM 29.4 Billion was paid as income tax to the Federal Government, which is effectively 30% of RM 88.5 Billion 2009 expected collection by the Inland Revenue Board. Petronas global turnover of RM 264.2 Billion is actually 28% more than the Federal Government 2009  expected income. Accumulated asset of Petronas amounting to RM388 Billion, if which is taken at par value is inadvertently comparable to 38% of the market capitalisation of Bursa Malaysia. If in 2007 PM ‘Flip-Flop’ Dato’ Seri Abdullah Ahmad Badawi claimed that the Malaysian economy is calculated at RM 1 Trillion, then last year’s Petronas’s results meant that 26% of the nation’s GNP comprises from one corporation’s contribution.


At the helm of this success story is Tan Sri Hassan Merican. A chartered accountant by profession and former partner of a ‘big five’ firm, Hanafiah Raslan Mohamad, Hassan was brought in as a finance man and took over the CEOship from Tan Sri Azizan Zainal Abidin fourteen years ago. His stewardship provided clear strategic plans and initiatives, that moved  Petronas to be a global oil and gas company. Partnership and strategic alliance were formed and now, Petronas is able to compete with some its original ‘production sharing partners’, in very competitive international markets. Presently, with offices and operations in more than 64 countries, Petronas is the most respected and profitable state owned oil corporation. Not only ranked as the 95th largest corporation in the world in the renowned Fortune 500 list, Petronas is now regarded as one of the ‘New Seven Sisters’.

Petronas Dagangan Berhad, its downstream creature is now listed at Bursa Malaysia. Proud of posting over RM 800 million in profits, it has the largest network of petrol and diesel retail in Malaysia. The ‘Mesra’ convenient stores have now earned its place amongst Malaysian hearts.

Hassan Merican

Petronas not only successfully played the role as the nation’s largest ‘bread winner’. It also played role to propel the needs of the nation, which include ‘psychological bastion’ like being the highly respected super developer of KLCC and master developer of Putrajaya. Being the proud owner of the much sought after address in the KLCC complex, Petronas now calls the most prestigous and world renowned twin towers as its home. Petronas also successfully put Malaysia into the limelight of Formula 1 motorsport when it became a partner of world class racing team Sauber. Today, Petronas is a major sponsor for the BMW-Sauber team and Malay engineers have mastered some skill sets of the highly technical sporting event. Petronas acquired national shipping line MISC t synergise the logistic management of the produce and made a lot of money from operations. On top of that, Petronas also own, fund and run a highly respected private technical university, Universiti Teknologi Petronas.


KLCC was officially dedicated on National Day, 1999. After 42 years of independence, the world’s tallest office complex is now home for the largest and most profitable Malaysian company, which is actually a Malay-run-state-owned corporation. In the dedication speech, Fourth Prime Minister Dato’ Seri Dr Mahathir Mohamad quipped, “Malaysians need to stand tall as other races of the world. KLCC is the ‘box’ that will help Malaysians stand the same level as others”. It was a demonstration of nation’s Vision 2020 policy to be a developed nation’s status by year 2020, is being geared up on the way. KLCC is Petronas’s way to announcing to the world, “We have arrived. We are here to stay, for a long time”. Its now a world renowned national icon.

Petronas success is not only a Malaysian success. It is a Malay corporate success. All of its board of directors and almost all of its executives and professionals are Malays. They do the strategic thinking, planning, negotiating and execution. The strategic partnerships forged, especially with bigger players were proven to be the key to all these success stories. These are those who originated from humble beginnings and most of them actually benefitted from the New Economic Policy (NEP), especially from the provisions of education and human capital development, which was implemented since 1971. Like the NEP, Petronas was formed during Tun Abdul Razak Hussein’s premiership (1970-1976).

Petronas’s role in making the NEP a success is best illustrated from the Vendor Development Program (VDP), which successfully nurtured many Malay companies to be suppliers, service providers and fabricators of the high technology induced and very competitive industry. Developed under the auspicious and close monitor of Fourth Prime Minister Tun Dr. Mahathir Mohamad, many former oil and gas Malay professionals found opportunities to nurture their entrepreneurism from Petronas’s VDP and now able to compete at regional and international markets. The recent concluded and highly successful Oil and Gas Asia 2009 showcased hundreds of such local talents. Some of these Malay owned and managed corporations even got listed.

Petronas grew termendously in size, quantity and quality of productivity under the premiership of Fourth Prime Minister Tun Dr. Mahathir Mohamad. It is by far the national pride and treasure.

It is imperative that Petronas continues to be managed by professionals and independent from the clutches of personalities, who have ulterior motives. This include politicians and political appointments into the BOD and top executive positions.

Published in: on June 25, 2009 at 22:51  Comments (71)  

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71 CommentsLeave a comment

  1. Respect to Petronas, Tan Sri Hassan Merican and my parents who work for Petronas too 🙂

  2. Saudara penulis,

    Tulisan anda telah menitiskan airmata keinsafan.. Menaikkan semangat keusahawanan yang kerdil ini.. Tahniah diucapkan kepada petronas dan semoga lebih banyak penulisan sebegini di hari mendatang.

  3. First of all, it’s a Malaysian success not Malay success.

    Malays can’t claim ownership of Petronas or responsibility for it’s success, it is a Malaysian enterprise and must be treated as such free from the clutches of racist bigotry like the on present in this article.

    Secondly , if you claim this to be an example of Malay corporate success,……how about Proton? Is that an example of Malay corporate FAILURE?

    Both of these are Malaysian companies, but multinational corporations around the world are losing their national identities (which should be the way).

    Pepsico is run by an Indian lady, Citibank is run by an Indian man. Once again examples of corporate success and failure by American companies.

    • sour grapes

      give credit when and where it is due

      to salve your deflated ego

      let’s call it Malaysian MALAY success

      • deflated ego?

        My goodness…why would my ego be deflated if Petronas does well? Am I not a Malaysian.

        The same principle applies, if we accept Petronas as a Malaysian MALAY success. Then Proton is a Malaysian MALAY Failure.

        I for one, feel BOTH Petronas and Proton should be considered PURELY Malaysian and race-free.


      Aku mmg bangga dgn kejayaan Petronas & org spt Hassan Marican. Tahniah krn highlite peranan org Melayu, yg sememangnya peneraju & pendukung proses membina negara ini (Tak macam ramai Bukan Melayu, masuk askar/polis/bomba pun tak nak! Harapkan org lain jaga harta & nyawa mereka. Lepas tu komplen!)

      Tahniah BigGuy krn kebelakangan ini bawa peranan org Melayu ketengah.

  4. Bro, Petronas should also b the other national icon!

  5. tan sri president is the people’s man with a lot of humility.

  6. Tabik pada Penasihat, Pengerusi, Lembaga Pengarah, Pengurusan dan seluruh kakitangan Petronas. Tahniah dan terimakasih yang tak terhingga.

    Keep up the good work and continue to fly the Malaysian flag globally. As a Malaysian citizen, we will support you all the way. To me, Petronas is a national icon too. The most recognised Malaysian brand in the world.

    Siapa kata Malaysia tak boleh? I applaud the vision of Tun Mahathir for Petronas to be a global company.


    • Can you please have some humility and not use caps, for your comments?


  8. So wtf do the Malays still need quotas?

    • vinnan you seem to be a nice person.

      if you don’t agree wats written you just skip it.

      we as a malaysian in this tough time needs the strength to move on.

      btw, no need to use the ‘wtf’ wordlah.

      we’ re civilised and responsible adults.

      have a wonderful weekend.

  9. Well said Vinna, wtf do the Malays still need quotas then?

    • This a very good example of when the Malays are given opportunities, they are not only able to play the level playing field at home ground, they actually can do better at international circuits.

      The Malaysian affirmative action plan NEP (which was accepted democratically by majority of Malaysians), which include quota system is to cater for the larger Malays who are still under developed, especially in education, infrastructure and social and economic development. Unless the larger Malay population is brought upto the level playing field, then just because some professional Malays could do it, does not mean we should do away with NEP just like that. This include the quota system.

      Many Malay professionals who attempted to be entrepreneurs, despite having good education, tranining and exposure are structurally hindered by Non Malay cartels. The usual example is that the supply chain always favour the Non Malays, who are usually more established in the industry. This lead to the practice of having an artificial competition created, which is very unhealthy. Like any other oligopolist market, they ‘kill’ new entrance. That is why many bonafide Malay entrepreneurs fail at certain market.

      To an earlier argument of Proton being a failure: PM ‘Flip-Flop’ Abdullah changed the policy, allowed foreign cars (which enjoy better economies of scale and the advantage of better technology at lower cost) to flood the Malaysian market and ‘kill’ Proton. Proton was actually a success story where it managed to give the Federal Government a return of RM 20 Billion and the development of the Proton City in Tanjong Malim purely from internal funds is the best illustration how healthy the company was.

  10. “On June 26, 2009 at 10:12 am Keith Said:

    First of all, it’s a Malaysian success not Malay success.

    Malays can’t claim ownership of Petronas or responsibility for it’s success, it is a Malaysian enterprise and must be treated as such free from the clutches of racist bigotry like the on present in this article.

    Secondly , if you claim this to be an example of Malay corporate success,……how about Proton? Is that an example of Malay corporate FAILURE?”





    • ha~ =) true true.. all the success are due to the malays and the failure has to be associated with malaysians in general

  11. Firstly the results are impressive, but, petrol prices were hovering above $100 dollars upto September. Then it collapsed so in 09 we will see the really whether the results are impressive as made out to be. However, I am still giving the Petronas the due recognition.

    But when you make a statement like this
    “. Petronas global turnover of RM 264.2 Billion is actually 28% more than the Federal Government 2009 expected income. Accumulated asset of Petronas amounting to RM388 Billion, if which is taken at par value is inadvertently comparable to 38% of the market capitalisation of Bursa Malaysia. If in 2007 PM ‘Flip-Flop’ Dato’ Seri Abdullah Ahmad Badawi claimed that the Malaysian economy is calculated at RM 1 Trillion, then last year’s Petronas’s results meant that 26% of the nation’s GNP comprises from one corporation’s contribution”

    (a) You do not understand what is measured under market cap and asset liability
    (b) You do not understand what goes into a GDP calculation.

  12. As it stands now, I agree with your central point that Petronas is a Malay success. That I am not inclined to question.
    (b4 you go all racialistic on me.)

  13. Am very proud of Tan Sri Hassan Merican and Petronas,Hassan is local boy of Sungai Petani, Kedah and he was my classmate in Sekolah Rendah Ibrahim(English medium)until standard 6.Those days you must pass standard 6 examination in order to go to form one and Hassan Merican with one more Azuddin Ahmad pass with flying colours and both of them were selected to continue their studies at MCKK,Kuala Kangsar.

    As for Petronas staff,my Salute to them.My experience with them in Khartoum ,Sudan and Islamabad in Pakistan,they are doing a fantastic job in search of oil and gas in foreign countries.


    • Good input, Major.

      Tan Sri Hassan Merican is a true example of Melayu Glokal.

  14. Hi All,

    Honestly I really don’t see why the need to stress or associate “Malayness” with what Petronas is or is not. Intellectually unsound. Statistical guess-work is that what stays up will eventually come down. The world is like that. Then should one day the oil runs dry and Petronas failed to diversify to stay afloat, then what say you?

  15. Unfortunately if we put a Malaysian team in stead of Malay team, the success would have been greater.

    • And how would you know….?

      The fact as they say, “If it’s not broken, don’t fix it”. Until it is, then leave it as is, ‘Petronas is a good example pf Malay corporate success’.

  16. Dear Sir,

    Good corporate story on Petronas.

    Trying talking to small companies trying to get small jobs from Petronas.You will see how difficult it is unless you have inside support.

    Apparently Petronas is also inflicted with certain destructive culture normally associated with certain government departments.

  17. It’s interesting to note how racism rears its ugly head the moment “Malay” corporate success is mentioned. Bab berjaya kena sebut Malaysian; bab gagal nak suruh sebut Melayu… depa lupa kalau tak pasai British angkut tok nenek depa jadi kuli kat lombong or ladang getah dulu, keturunan depa sure dok merempat di negara sendiri lagi sampai la..

    • Nasib baik british bawa depa depa ini untuk usahakan anugera bumi ini,dia org pun tau tak bole harapkan yang ada kat sini.kalau nak membina sesuatu dia org tau siapa bole diharapkan siapa tak bole.bangunan2,jalan2,pejabat2,polis dll masa zaman british tak dapat dilaksanakan kalo bukan depa depa ini.siapakah guru2,doctor2,kerani2 masa zaman british?lupa jasa punya org!masa panggil kerja tak mau,suruh org lain buat!tapi nak rasa nikmat nak lagi complain!

  18. I just don’t understand why the need to mention Malay in the whole equation especially when Big Dog blindly say that PETRONAS is the best example of Malay corporate success.

    I’m not sure if Big Dog is aware of the team that PETRONAS CEO assemble to manage the company comprises of diverse background. If the CEO leads a diverse group of people globaly to achieve the wonderful results as recently announced, how can it claims to be Malay corporate success? All have contributed to the success. PETRONAS CEO’s humility would testify to that.

    I think most people have failed to learn and appreciate the meaningful adverts PETRONAS produce year in year out. One good example was the Merdeka Advert in 1996 most people ask why did PETRONAS use Indian boy while only handful few see that person as Malaysian. Go watch the adverts if you don’t get it. If tak faham gak, go mandi bunga and zikir byk2 to clean the dirt in your heart.

    The reason why PETRONAS is so successful is because regardless of its employees’ skin colour or beliefs, they share a common value among themselves and that drives them on. Go google up PETRONAS shared values.

    And more importantly, if you READ properly in great depth of the media statement on PETRONAS’ performance, a big chunk of its revenue are coming from international operations. That means, people from different nationalities are contributing to the success of PETRONAS as well.

    In any great top company in the world that aims to be a global champion, it must go beyond its shores and work together with diverse talents. Then only, each can leverage on each others’ strength and achieve greater heights.

    So, please don’t spoil the wonderful recipe that makes PETRONAS great in the first place. If you read Tan Sri Azizan’s Quintessential Man, you’ll understand more too. Please look at this beyond race, beyond colour, beyond religion. Race, colour, religion are just forms. We must see the substance over form! and that substance is the shared values that PETRONAS has and its universally accepted by its employees.

    Lastly, before you whack me for being anti Malay, I am Malay myself and am proud of PETRONAS’ success from its diverse group of wonderful people.

    Also, when I die, I’m sure God will not ask what race I am actually but rather He’ll ask what good/bad deed I’ve done. Multi races – mutli colour, after all, is God’s creation and we should embrace each other rather than put ourselves in silo clusters e.g Malay. I am just a human being of God’s creation. Enough of this racial cards! Stop it.

    • Hats off to you my bro or sis for ur comment or enlightment to these kind of people.god definetly did not intended race to divide mankind its us humans are doing me god created all man equal!you must be a true muslim i presume,you see and belife god’s true intentions.the american claimed and said its mankind’s success in making the 1st step on the moon in 1969!they did not claim it as a race victory.look at them n look at ourselfs!

  19. Tahniah Tan Sri Hassan Merican dan semua tenaga di Petronas. Sememangnya Melayu itulah yang telah menjaga dan memajukan negara ini. Tokoh-tokoh utama dalam pelbagai bidang datangnya dari anak Melayu luar bandar. Renungkanlah. Orang lain memang ada, tetapi kebanyakannya hanya untuk kekayaan sendiri, idak untuk bangsa, tidak untuk negara. Stop

  20. Adisi

    If you are as Melayu as you claim to be, you would not have jumped like a kera at the mere mention of Malay success. And if you are as Melayu as you claim to be, you would definitely be among those who have benefited from NEP. In other words, Melayu tak mengenang budi. How about that? Perhaps you dah malu jadi Melayu kot? (kalau you Melayulah) Don’t play that racial card with us.. it’s sooo PKR & DAP-ish”..

    • Dear Makcik,

      I may or may not have received the benefit of NEP . There is no way I can quantify that esp. when I have gone through and make a living from going through a notorious Kajang High School at my early age. I’m not protected from any quota requirements and face the world on the same level playing field as others. Am bloody proud of it. If that’s the benefit of NEP, that I’m thankful for it though I’d like to think otherwise.

      To ‘kenang budi’ does not mean to maintain status quo, but to go to a higher level and better situation. I am thankful if ever NEP had benefited me in any way. I am thankful to God for it. But to remain the same and not improve yourself better and achieve better things are not a smart thing to do at all.

      If you feel the other way i.e. to kenang budi thus to maintain NEP, I respect your opinion though I strongly believe it will do more harm than good in the long run. Also, have a read through Tun Dr Ismail’s Reluctant Politician and see for yourself what NEP was meant for in the first place i.e. it was meant to be temporary scheme to eradicate poverty. To me, and in Islam I bet, poverty is knows no racial barrier.

      Like I said, when I die, God will not ask whether am I Malay, Chinese, Indian, Singh or Iban background but what’s my deed to human kind (not to any particular race/religion).

      I’m Muslim first and whatever blood(race) runs through my vein, I’m proud for each element that runs through it.

      And didn’t we all come from Adam(PBUH)?

      Perhaps I’m just too positively idealistic.

      • Dear Adisi, I think you are not running any business. A truly Malay business /entreprenuers will absolutely put high respects to this Malay conglemerate who is able to protect the Malay business networking. Thus this will benefit the Malay eventhough the down line benefited a lot to non Malay. To protect the Malay business networking is Sunnah. Nabi suruh kaum masing2 majukan diri mereka dahulu. Only Petronas can provide oppurtunity to the Malays to be in the international business and high capability in offshore industries. Do you think Shell or Exxon will do this?? They will forget us (the Malays) when the got the opportunity to conquer the business. So does DAP and PKR, they forget us when they think they control the government.

    • Dear Makcik, that sure was such a low-blow accusation to adisi who made a rather valid and sad-but-true statements. For a person who sounds rather educated, you sure responded rather un-cultured-ly.

  21. Of course it is a success..a Malaysian success..if it is 100% Malay succss, what role did Ananda Krishnan (a non Malay) play in Petronas..if you want to be racialistic..others too can be.maybe in more non Malays were involved in will be a bigger success!!!the AIr Asia success..without monopoly.facing problems..mostl;y created by the Govt., it has proved to be the /best LC Airline in the world” want to call it an Indian many it is a malaysian success, the chairman is a malay, the CEO is an indian and the marketing director is a chines…when will you people stop the ‘divide and rule’ syndrome..and get on wiht nation building..

    • Eehhh Pirraah, hutang airport fees 65 juta pun tak bayar cakap banyak.. now everybody can fly, tapi takleh landing, gi beli flying boat la, boleh turun kat lombong

  22. Big Dog,

    An excellent write up. I agree that Petronas is a huge success for Malay corporate entrepreneurship. And considering that more than 25% of Petronas’ revenues now come from overseas, it is proof enough that the Malays can compete in the world stage without any crutches. Petronasn is the best example that when thrown into competition, the Malays can really perform.

    Indonesia had Pertamina. Indoneisa had more oil and gas than Malaysia yet Pertamina never became more than a 3rd world oil company. Pertamina became almost bankrupt. That is because the Indons never learnt to compete in the international markets.

    Petronas has proven otherwise. As you say Petronas is now one of the new Seven Sisters.

    Petronas is the best proof that when they have to, the Malays too can compete against the best in the world and survive quite well.

    Syabas to Petronas.

  23. Tahniah Big Bro dengan tulisan yang begitu mengusik jiwa. Sayang Angsa yang bertelor emas hendak digantikan. Minta kebenaran untuk linkkan posting ini kepada posting saya. Terima Kasih.

  24. No. i disagree totally with you bcoz kepandaian seseorg tidak dinilai dari berapa yg diperolehi tetapi berapa yg dielakkan dari pembaziran.

    Petronas mmg byk pembaziran….period. Plus minyak pun mahal skrg…period.

    So u can say what people nak dgr…but deep inside…it hurts.

    • What are you? The CEO of Dutch Shell? ExxonMobil? ConocoPhillips? Murphy Oil?
      How do you define that the ‘PETRONAS’ oil price is high? And that PETRONAS wastes a lot?
      Do you even know at what time Hassan Marican gets out from his office everyday?

  25. Apa salahnya orang Melayu berbangga dengan kejayaan Petronas. majoriti yang bekerja dengan petronas semuanya orang melayu. nampaknya ada sesetengah daripada kita yang berasa beliau lebih hebat dari yang lain.adakah beliau sedar akan situasi masyarakat malaysia umumnya? kenapa ada isu “preferably mandarin spoken” dalam job ad? kenapa perlu ayat ini kalau semua orang sama rata? adakah kita boleh kata yang itu company dia dan itu adalah hak dia? dan kalau ada 70% company di malaysia ini yang tulis phrase tu di mana orang yang no mandarin spoken (mostly malay and indian) nak pergi? mentang2 sudah berjaya langsung lupa akan asal usul.while others laughing at us malays berpecah belah, they stand united and helping each other. sedangkan kita benci sesama kita, kutuk sesama kita, jaga periuk nasi sendiri sedangkan kita tidak sedar di luar sana, berapa ramai gradute bumiputera yang tiada kerja.jangan jadi orang yang sombong kalau mengatakan mereka memilih kerja sedangkan saya percaya tiada orang pun yang ingin hidup miskin dan merempat di dunia ni.oleh kerana nasib kita baik jangan kita memperleceh-lecehkan usaha untuk membantu sesama kita. semoga Allah membantu kita di kala kita kesusahan dan mengingatkan kita di kala kita senang.amin.

  26. At last! A bright spark of good news for Malaysians. Surely the brightest of them all.

    Congratulations to Hassan Merican and his team. This country is in a dire need of more Malaysians like Hassan Merican.

    I wonder what he really thinks when you synonomously define Petronas as equivalent to the Melayu success story. I suspect he’d rather be recognized as a Malaysian who has been put there to head Petronas and that he and his team have done the job to the very best of their ability. And they have certainly done exceedingly well.

    Congratulations again to this towering figure. What a genuine gem amongst the fakes that are being rammed down our throats.

  27. My dear Malaysians.

    1. Before all of us start to claim who PETRONAS belongs to, let us think back the day of the establishment of the company.

    2. PETRONAS was established based on one objective only. To take care the hydrocarbon resources in Malaysia.

    3. Why? After the 70s economical crisis due to the increase of oil prices, the Government foresee the importance of having a National Oil Company.

    4. The establishment is to take secure Malaysia’s financial capacity and economic growth.

    5. Hence, the establishment of PETRONAS (Petroliam Nasional Berhad).

    6. The company grew bigger with time. Thanks to the good leadership led by the previous predecessors of PETRONAS.

    7. Who were they? What race were they? 100% Malay? Open up the database and you can see that PETRONAS is an example of multiracial leaders based successful company in Malaysia.

    8. Maybe the majority workers who are working in PETRONAS are Malays. That is just percentage.

    9. The Malay growth is not PETRONAS’s agenda. Its agenda is to ensure the Malaysian government has money to survive.

    10. Blame other “parties” for the so called “Malay Agenda”.

    11. It is very sad to see Malaysians filling up fuel with Shell’s, ESSO’s, BHP’s petrol.

    12. PETRONAS is a Malaysians company. Not Malay’s.

    • Although i’m Malay, but i agreed with your statement… Petronas success can’t be considered as Malay success it should be considered as Malaysian success since there are Chinese,Indian and others who directly or indirectly involved in their success.. I hope there isn’t any other racial comment that would destroy the harmony in our country Malaysia that we live in… Let us all contribute more to our country towards better achievement in the future..peace no war

  28. I’m not too happy when I read previous comments which synonmymously define PETRONAS as Malay success stories. This has nothing to do with political thingy (responding to Makcik).

    I’m not even Malay but I’m proud of the company, a multinational company with diverse talent, both in racial and national composition. If people even bother to find out, the company even has ‘mat sallehs’ CEOs running their subsidiaries.

  29. Nowhere have I equated Petronas as being a Malay company. Malay success and Malay company are two different things. Petronas is a Malaysian company. we were talking about Hassan Marican who happens to be a capable Melayu successfully helming a Malaysian conglomerate. What’s the issue? Hassan Merican is Melayu. He is capable. And he helms Petronas, a Malaysian company, successfully. Which part of this whole equation is unclear?

  30. Why must we play on racial sentiments here. As Malaysians, we must forget our colors and take pride in PETRONAS achievements. No 95 (in the Global Fortune 500 list) and the 8th most profitable company in the world. PETRONAS has VPs, Senior General Managers, General Managers from all races of Malaysian. There’s also Africans, Vietnamese, Caucasians, as PETRONAS’ workforce comprises more than 35 nationalities. Credit must go to Hassan Marican, a man who is devoted and committed to his job. However, I do believe that he must have his heartfelt gratitude to his staff (of varying races, beliefs and nationalities)for their work. For every1’s record, I am a malay but I do know that race is not an issue here. We are Malaysians, and its time that we actually grow up.

    • It becomes a racial issues if we present the case as ‘Malays could do it but Non Malays cannot’.

      The article is all about Malays, if given the opportunities, can be thrown into the deep end of the pool and succeed very well.

      Unlike other state owned corporations, none is successful as Petronas. So happened that since its inception 35 years ago, ALL THE CEOs are Malays.

      Most of the BOD and top executives are Malays.

      Yes, this is a the best example of a Malay corporate success. We can present other well managed corporations by Malay CEOs and most of the BODs/top management but we chose Petronas because its the most profitable corporation in Malay.

  31. Thanks for the wonderful article….

    PETRONAS bukannya untuk malay tapi untuk semua malaysian.

    Boleh tak yang pembaca artikel ini menidakkan sekiranya suatu hari nanti PETRONAS diterajui oleh orang bukan Melayu (tapi malaysian la) ? jwpnnya boleh ….

    kita org petronas pun percaya sapa yang berkebolehan memang layak … dan kita pun yakin dengan kepimpinan VP yang ada sekarang boleh mengambil alih tempat TS hassan

  32. […] the NEP may have placed the Malays and Bumiputras as professionals, business onwers and even as world class corporate players. However, holistically it has not achieved what it was set to be. The NEP has a pivottal role in […]

  33. From my point of view,the title absolutely does not suggest that Petronas success is based ONLY on one race, but merely stating to readers that Petronas is THE BEST example of malay corporate success.

    Obviously, this is due to the percentage of malay workers in Petronas.

    Im sure that the author published this post with the intention of making other Malays motivated , believe in themselves and succeed in corporate sectors. It has been done without denying any contribution from other Malaysians and for this, I dont see any problem.

    I also do believe Petronas is on of the best example of Malaysian success. This shows by looking at the massive contribution to Malaysian GDP from this Fortune 100 company. Therefore, every Petronas worker deserve a pat on their back regardless of race or nationalies 🙂

  34. First of all, congartulations to PETRONAS.

    Secondly, I do not want to be racist, but I think it is no harm to say it is a Malay corporate succes. The early setup of PETRONAS did show that the taskforce was mainly dominated by Malay people. And this core team open up to find the best in industry regardless of races to help them develop the company. I used to take a class under one of the pioneers so it is a lot of history lesson rather than economy during her classs.

    Next, yes we can also say Proton is Malay corporate failure. I do admit that even tough the previous CEO of Proton is one of my favourite corporate figure. Wish I can learn something from him.

    Thirdly, yes Ananda Krishnan has nothing to do with Petronas except selling his land which was previously a horse stable to PETRONAS so that the twin towers can be build.

    At the end of the day, we should focus on future rather than fighting who did what. This is the era of people should stop fighting and unite to each other to help overcome the economic crisis issue.

  35. i am proud to be one of petronas employees, and proud of its achievement. Yup, we shouldn’t be racist,and lets give a big applause to the whole nation..its our pride, its our victory, its Malaysian!!!

  36. frankly.. Petronas can do better. Today all revenue and profit looks good as oil price is high.. but one thing is that Petronas failed to inform all on the cost and failure in Algeria, CUBA… even turkmenistan.. yes it is about luck.. at home, production was in downward trend, high production cost.. and lack of new technology.. and in fact more saving can be realised.. but many consultant just sit their A** and.. as long as it is still positive nobody bother..

  37. […] with updates25% more. Amid harsh economic conditions, profits for the year ended March 31, 2009, are down but Petronas, the national oil corporation, continues to pay excellent dividends to the Government. RM30 billion.Hassan Marican and his team contribute more to the government's coffers than anyone else.Details in Bernama report here.Updates: Big Dog says Petronas is the best of example of Malay corporate success, here. […]

  38. […] Kelantan. The Petroleum Development Act does not provide such provisions but instead named Petroliam Nasional Berhad (Petronas) as the sole custodian to all matters pertaining oil and gas. As per reported, the agreement signed […]

  39. […] is one of the best example of a GLC which has developed a formidable succession plan. The processes, work culture and dynamics and […]

  40. […] is inarguably the best example of a Malay corporate success. It has been said that many of her executives still remain with the company because of Hassan. It […]

  41. […] is the third success story of Petronas this year under the stewardship of Tan Sri Hassan Merican. The recent announcement of Petronas’s […]

  42. […] years which developed a respected world class state oil corporation that has managed to portray the best example of a Malay corporate success? All these is not with standing the fingers that would be crossed for the media-adrenalised […]

  43. ape-ape alasan tan sri hassan merican tetap berketurunan melayu(melayu kedah lagi)..sebagai anak melayu sya berbangga dgan keupayaan beliau.sya hrap sya dapat memberi sumbangan kepada malaysia mcm beliau..bangsa malaysia pada hari ini hnya pada nama saja.kalo korang pergi overseas,jumpa dgan chinese malaysian atau india malaysian.korang agak nak x diorang bertutur dlam bahasa malaysia?maaf nk ckap berbahasa malaysia pun dah lupe kot,itu pun nak ngaku warga malaysia..bangga sangat ngan english sampai bahasa rasmi negara pun dilupakan.jadi warga britain atau amerika je la..mengelarkan kami racist x de kesan lagi,sbab kami dah tahu taktik kamu nak menekan orang melayu dari bersuara..

  44. Malay corporate success? selling our oil to get revenue with tongkat from goverment is success? stupid racist company.

  45. […] dan GLC, termasuk Petronas. Ini kerana mungkin ujud keperluan politik bagi dasar baru ini, walaupun ada GLC yang menunjukan prestasi ‘firma Fortune 500′ dibawah teraju hampir 95% professional […]

  46. […] substance. Malay controlled corporations grew into giants and world class conglomerates. Some even made it into the Fortune 500 list. The public sector-private sector successful partnership is now being revived back in the NEM. […]

  47. […] Semenjak PM Dato’ Seri Mohd. Najib Tun Razak mengambil alih sebagai Perdana Menteri VI, Petronas sebagai organisasi korporat yang diterajui professional Melayu paling berjaya dalam dunia s… kini mula membuka pintu kepada professional Bukan Melayu dalam jawatan […]

  48. how entry mode of petronas in international market

  49. Even a Western scholar recognised that Petronas, “To many Malays Petronas is known as an example of a successful bumiputra-run
    organization, which has been relatively free of corruption.”

    Read here:

    Click to access NOC_Petronas_TronerVDM.pdf

  50. […] which is profitable and provided more than 15% of the Federal Government revenue annually, had been professionally managed by a team of Malay management since its inception in 1974. The growth and profitability is the proof that given the opportunity, […]

  51. […] which is profitable and provided more than 15% of the Federal Government revenue annually, had been professionally managed by a team of Malay management since its inception in 1974. The growth and profitability is the proof that given the opportunity, […]


    SETELAH sekian lama membisu, Presiden dan Ketua Pegawai Eksekutif (CEO) Petronas, Tan Sri Shamsul Azhar Abbas akhirnya menjawab kemelut yang melanda syarikat minyak dan gas nasional yang sepatutnya bertanggungjawab memayungi ekonomi bangsa Melayu.

    Beliau memilih memberitahu umum mengenai pendiriannya menerusi akhbar berbahasa Inggeris, The Edge (Weekly Edition) dengan menyindir kerajaan dan syarikat korporat Melayu secara terbuka sambil mendakwa Petronas bukannya GLC hak milik Bumiputera atau Melayu, sebaliknya ia adalah milik seluruh rakyat Malaysia berbilang bangsa, keturunan dan agama.

  53. OK, it’s fine to say that Petronas is owned by the entire Malaysian people. It’s top executives and the majority of its employees are made up of people from the Malay race. It’s a global company working in the free market that is free from government intervention – whether Malaysian or foreign governments. Thus, the oil and gas industry is a very safe industry for the Malays and other natives to get involved in. In many other industries, racially-based groups have always tried to monopolize business, thereby, making it difficult for people of other races from making success. This is one area that the Malaysian government should look into and do appropriate corrections.

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