Salomon Smith Barney has given Petronas an upward rating in its latest survey on oil and gas companies worldwide.
The recent binding agreement between Santos and Petronas, and the Papua New Guinea LNG agreement between Exxon Mobil, Santos and Oil Search as transformative agreements for the sector will 'augur well for the industry players in the Asia-Pacific region', it says (read here...).
However, some analysts said Petronas must also take into account its agreements with other parties, locally and abroad, as not to waste too much money on unnecessary spendings.
Petronas and UMW had recently entered a re-negotiation on a USD170 million Naga 2 deal.
Besides, it will have to pay 71 per cent more than Reliance Industries Ltd to rent a drillship. Petronas and BHP Billton Ltd will pay USD640,000 per day from November 2010 to drill Malaysian deep waters.
Petronas, too, has agreed to study Uzbekistan gas-to-fuel plant project as part of its expansion programme abroad.
Now, taking into account the bigger expenditure its has to fork out, the advise to really choose the right partners and places to invest should be well-considered.