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OIL & GAS
formed in 2010 as the Energy Department,
Prime Minister’s Office. In October 2015, the
Department expanded its portfolios to include
the industry sector and subsequently became
known as the Energy and Industry Department,
Prime Minister’s Office (EIDPMO).
His Majesty Sultan Haji Hassanal Bolkiah
Mu’izzaddin Waddaulah ibni Al-Marhum
Sultan Haji Omar ‘Ali Saifuddien Sa’adul Khairi
Waddien, Sultan and Yang Di-Pertuan of Brunei
Darussalam consented to elevate the Energy
and Industry Department to ministry status
(it was renamed the Ministry of Energy and
Industry) effective April 18, 2018.
The monarch shortly after consented to change
the name of the Ministry of Energy and Industry
to the Ministry of Energy, Manpower and
Industry effective July 31, 2018.
MEMI’s vision is “Sustainable, Diverse and
Resilient Economy for the Prosperity of Our
People”, while its mission is “to accelerate
and enhance economic growth, underpinned
by conducive environment and industry-ready
workforce”.
Its three strategic goals are “to strengthen
and diversify our economy; nurture conductive
business environment; and create and develop
an industry-ready local workforce”.
Downstream oil and gas
According to the BEDB, Brunei has nearly 90
years’ experience in the oil and gas industry,
where it has developed significant expertise
and strength, particularly in the upstream sector
and liquefied natural gas (LNG). In comparison,
the sector’s downstream industries are still in
their early stages in terms of development and
maturity.
InMay 2010, amethanol plant was commissioned
and began exporting its products within the
region, with future plans in store, including
further developing the downstream industries to
generate economic growth, create employment
for locals and spur other spin-off industries.
Brunei’s first fertiliser plant is under construction,
expected to be completed in 2021. The plant will
produce up to 3,900 tonnes of urea per day.
Meanwhile, construction of an integrated
refinery and petrochemical complex at Pulau
Muara Besar (PMB) has started and is scheduled
for completion by June 2019. The facility will
be producing refined petroleum products such
as gasoline, diesel and jet fuel, as well as
downstream petrochemicals such as benzene
and paraxylene.
Brunei’s current target for downstream economic
output is to achieve BND5 billion per year by
2035.
Brunei welcomes foreign direct investment
(FDI) in the downstream sector, including those
that can create cross-sectoral opportunities
by utilising feedstock from existing and future
petrochemical plants to manufacture value-
added derivatives, which hold the positive
potential of leading to further spin-off
opportunities.
Compounds such as methanol, ammonia and
urea (from the country’s existing methanol plant
and future ammonia-urea plant) can be used as
feedstock to manufacture derivatives such as
methylamine, formaldehyde, polyoxymethylene
(POM), etc, which can promote opportunities
in the manufacturing of wood-based products,
tableware, plastics, textiles and other items.
In order to support the development of potential
downstream industries, two dedicated industrial
sites have been allocated and reserved, namely
Sungai Liang Industrial Park (SPARK) and Pulau
Muara Besar (PMB) Industrial Park.
These sites provide new projects the benefit of
proximity to existing and future petrochemical
plants so as to achieve cross-industry synergy
and optimise logistical efficiency.
LEGCO 2018
Speaking at the 14
th
Legislative Council
session in March 2018, Minister of Energy,
Manpower and Industry Yang Berhormat Dato
Seri Setia Dr Awang Haji Mat Suny bin Haji
Mohd Hussein said that the management of
the country’s hydrocarbon resources and the
regulations governing it will from henceforth
be implemented more effectively and in a more
orderly manner.
He said in moving towards economic
diversification, MEMI will work together with
other ministries and relevant authorities to
develop high-demand sectors and fields.