Monday, January 27, 2014


Hantu Laut

There are many mercenary writers like this guy who indulged in idiotic spin. He may sound smart to many below average IQ Malaysians, but sorry to say, I am not buying. 

He pathetically compared 'apples and oranges' with complete disregard of proper technical analysis.

It's not rocket science to conclude that Mr Ng is nothing but a humbug.

Let's get down to the nitty-gritty of his pat and contrived comparison. I wouldn't bore you with the prolixity of a lengthy debate but get to finishing line as quickly as possible.

First and foremost, Norway is a much bigger producer of crude oil on much smaller population.

At its peak Norway produced 3.2 million bbl/per day, but now production has petered to about 2.0 million bbl/per day on a population of 5 million people. It is also the world's 3rd largest exporter of natural gas.

Simple arithmetic will tell you the amount of massive surpluses in oil revenue going into government coffers, hence, the massive sovereign funds and multiplier effect of more oil surpluses and dividends from sovereign funds. Norway needs not tap into the funds as yet and until such time it has exhausted its oil wells.

Malaysia, on the other hand, currently produce around 670,000 bbl/per day and export only about 270,000 bbl/per day and import another 160,500 bbl/per day of crude to supplement its domestic consumption. Of its natural gas production of 61.73 billion cu m, only 33.1 cu.m were exported. Latest census shows that Malaysia's population is now almost 30 million and has bigger land mass.

It's again not rocket science to tell you that Malaysia is not exactly net exporter of oil and to think that there are plenty of leftovers is wishful thinking and sheer foolishness.

Major portion of the recurring national budget and the huge unproductive subsidies are financed by profits from oil revenues.

Again, it is people like Mr Ng who benefitted from these subsidies.

By the way, non-oil producing Singapore is one notch higher than Norway in per capita income.

So, Mr Humbug Ng, if you can't tell the difference between the skin of an apple and that of an orange, .......please, don't ever try to sell something you have absolutely no clue about.

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