IRAQ AN OPPORTUNITY, DESPITE RISK, SAYS PETRONAS CHIEF

KUALA LUMPUR, June 10 (Bernama) -- National oil company, Petronas sees Iraq
as an opportunity, despite the risk that exists there, said its president and
chief executive officer, Mohd Hassan Marican.

"The risk remains in Iraq and it will continue to exist for quite sometime.
But, then again, it is also an opportunity to a play a role in Iraq," he said in
an interview with CNBC.

Mohd Hassan said this when asked about the risk involved in developing oil
and gas fields in Iraq.

Petronas has been pre-qualified in the bidding process for oil and gas
fields in Iraq.

"We are bidding together with partners and on our own in the block that
is being offered by the Iraqi government. We will wait and see," he said.

On the current oil price, Hassan said:"At the moment I think the
fundamentals are not reflecting the prices."

The crude oil price has fallen over 60 percent from a high of US$147 per
barrel in July 2008 to below US$35 per barrel in early 2009 but it has since
bounced back to US$70 per barrel at present.

On renewable energy, he said it would form as an important part of Petronas'
business in the future.

Petronas, he said, started working on bio-diesel from palm oil way back in
the 1980's.

"We continue to research second and third generation bio-fuel and
renewable energy as it will form as an important part of the business in the
future," said Mohd Hassan.
-- BERNAMA