BP'S OIL SPILL IN MEXICO GULF MAY PUSH COST OF DOING BUSINESS

KUALA LUMPUR, June 8 (Bernama) -- The BP's oil spill in the Gulf of Mexico
may push the cost of doing business if the insurance firms decide to up their
premium, says Md Arif Mahmood, Petronas Vice President, Corporate Strategic
Planning.

He said the US might come up with tighter regulations after the incident,
which could result in higher insurance cost.

"It could increase the costs given the risks we are seeing. I would
expect that to happen but I am not sure," he said on the sidelines of the 15th
Asia Oil and Gas Conference, here, Tuesday.

He, however, does not expect the oil spill to result in exploration
projects being shifted to other region, saying there is a lot of demand in the
gulf.
-- BERNAMA