This document outlines PETRONAS procedures for upstream activities, including planning and budget processes. It details requirements for annual work programme and budget submissions, pre-budget expectations, additional budget requests, production targets, and resource reviews. Key requirements include annual work programme and budget submissions by September 1st each year for the following year, additional budget requests as needed throughout the year, annual production target approvals, and quarterly performance reviews. The document provides guidance to contractors on PETRONAS' planning and budgeting processes and submission requirements.

1. PETRONAS Procedures
and Guidelines for Upstream
Activities (PPGUA 3.0)
© 2013 PETROLIAM NASIONAL BERHAD (PETRONAS)
All rights reserved. No part of this document may be reproduced, stored in a retrieval system or transmitted in any form or by
any means (electronic, mechanical, photocopying, recording or otherwise) without the permission of the copyright owner.
PLANNING AND BUDGET
VOLUME 4

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Table of Contents
Executive Summary
Contact Information
Section 1: Work Programme & Budget (WPB) and Related Processes
1.1 Work Programme & Budget (First and Annual Submission)
1.1.1 Objective
1.1.2 Approval for WPB
1.1.3 Submission Requirements
1.1.4 Submission and Format
1.2 Pre-Budget Expectation (PBE)
1.2.1 Objective
1.2.2 Submission Requirements
1.2.3 Submission of PBE Response
1.3 Additional Budget Request (ABR)
1.3.1 Objective
1.3.2 Submission Requirements
1.4 ABR Budget Tracking
1.4.1 Capital Expenditure (CAPEX)
1.4.2 Operating Expenditure (OPEX)
1.4.3 Submission and Format
1.5 Year End Carry Over (YECO)
1.5.1 Objective
1.5.2 Submission Requirements
1.5.3 Submission and Format
1.6 Appeal to WPB/ABR/YECO
1.6.1 Objective
1.6.2 Form of Appeal
1.6.3 Summary of Submission Timeline
Section 2: Annual Review of Petroleum Resources (ARPR)
2.1 Objective
2.2 ARPR Final Submission
2.2.1 Submission Requirements
2.2.2 Submission and Format
2.2.3 Process Workflows
2.3 ARPR Pre-Submission Review
2.3.1 Submission Requirements
2.3.2 Submission and Format

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35
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38-39
39-40
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42-43
44-48
49-51
2.3.3 Process Workflows
2.4 Petroleum Resource Changes Review and Approval
Section 3: Crude Oil Annual Production Target & Quarterly Performance
Review (QPR)
3.1 Objective
3.2 Submission Requirements
3.3 Annual Approved Production Target
3.4 Quarterly Performance Review
3.4.1 Submission and Format
3.5 Production Variation
Section 4: Gas Production, Condensate & Quarterly Performance
Review (QPR)
4.1 Objective
4.2 Submission Requirements
4.2.1 Non-Associated Gas (NAG) and Associated Gas (AG)
4.2.2 Condensate
4.3 Annual Approved Gas Supply Target
4.4 Quarterly Performance Review
4.4.1 Submission and Format
4.5 Production Variation
Section 5: Enhanced Capacity Review (ECR)
5.1 Objective
5.2 Submission Requirements
5.3 Submission and Format
5.4 Process Workflows
5.5 Production Variation - ECR versus WPB Submission
Abbreviations
Appendix 1
Appendix 2

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Executive Summary
The Planning and Budget volume is consistent with the Contract’s requirement for
the submission of Work Programme & Budget (WPB). In addition, for overall planning
purposes, it is fundamental that Contractor adheres to the following:
a) Work Programme & Budget (WPB) and related processes
b) Annual Review of Petroleum Resources (ARPR) and related practices
c) Approved annual crude oil production level process
d) Approved annual gas supply level process
e) Enhanced Capacity Review (ECR) related procedures
f ) Requirements for data submission to PETRONAS
In relation to managing budget changes, Contractor shall comply with the Additional
Budget Request (ABR) procedures in conducting the petroleum operation activities.
The submission of production level forecast on crude oil, non-associated gas,
associated gas and condensate shall be:
a) based on the latest reservoir engineering study and an approved reservoir
management policy
b) consistent with safe operating conditions and a realistic development
schedule
Consideration shall be given to the need for efficient and economic exploitation of
hydrocarbon resources.
Contact Information
All correspondence related to this volume shall be addressed to:
SUBJECT CONTACT
Work Programme &
Budget and Related
Processes
Contractor shall address its official letter and submission to:
General Manager
Strategic Planning
Petroleum Management Unit
All enquiries related to administrative matters shall be
addressed to:
Senior Manager
Business Planning
Strategic Planning
Petroleum Management Unit

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SUBJECT CONTACT
Annual Review of
Petroleum Resources
(ARPR)
Crude Oil Annual
Production Target &
Quarterly Performance
Review (QPR)
Enhanced Capacity Review
Contractor shall address its official letters and submission to:
General Manager
Strategic Planning
Petroleum Management Unit
All enquiries related to administrative matters shall be
addressed to:
Senior Manager
Oil Resource Planning
Strategic Planning
Petroleum Management Unit
Gas Production,
Condensate & Quarterly
Performance Review (QPR)
Contractor shall address its official letters and submission to:
General Manager
Strategic Planning
Petroleum Management Unit

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Section 1: Work Programme & Budget (WPB) and Related Processes
1.1 Work Programme & Budget (First and Annual Submission)
1.1.1 Objective
The Work Programme & Budget (WPB) is submitted annually by
Contractor to PETRONAS. It outlines the Contractor’s proposed
annual petroleum operations, namely exploration, development
and production.
Each WPB shall provide details of the proposed petroleum
operations, which shall include all relevant data, activities description,
estimated costs and plan of upcoming year activity plus four (4) years
forecast. The expenditure breakdown shall be submitted in the
following order:
The WPB submission to PETRONAS for approval shall be based on
the following:
1.1.2 Approval for WPB
PETRONAS will notify Contractor of approval or rejection of the
proposed WPB by 31st December of the same year in respect of each
subsequent WPB (approval may be conditional). Petroleum
operations can only be carried out by Contractor once the relevant
WPB has been approved in writing by PETRONAS.
Below is the overview of the annual WPB related processes:
EXPENDITURE REQUIREMENT BREAKDOWN
Year 1 to Year 2 Quarterly
Year 3 to Year 5 Annually
CONDITION SUBMISSION REQUIREMENT
Upon signing of new
Contract
Within ten (10) weeks after the execution date of the Contract
or unless/otherwise specified in the Contract
Throughout Contract’s
tenure
No later than 1st September each year for the subsequent year
activity

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Figure 1: Timeline of Work Programme and Budget Related Processes
1.1.3 Submission Requirements
WPB submission shall comprise of four (4) sets of documentations,
updated as and when advised by PETRONAS. The documentations
shall consist of:
JAN
PETRONAS issues WPB
guidelines to
Contractor
FEB MARCH APR MAY JUNE JULY AUG SEPT OCT NOV DEC
Annual WPB
submission by 1st
September
PETRONAS issues
decision by 31st
rebmeceD
Note : 1. 1st
WPB shall be submitted ten (10) weeks after the execution date of the Contract
2. ABR submission shall be as and when necessary throughout the current budget year
PETRONAS issues PBE
guidelines to
rotcartnoC
Contractor submits
esnopserEBP
YECO submission by
Contractor
on 18th February of the
subsequent year
PETRONAS issues
YECO guidelines
rotcartnoCot
YECO approval letter will be issued by batches commencing May
subject to PETRONAS’ decision.
NO. PACKAGE
DETAILS SHALL
INCLUDE BUT NOT LIMITED
TO
FORMAT APPLIES TO
1 Executive
Summary
Contract general
background, activity
overview, basis and
assumption applied in the
proposed WPB
Microsoft
applications, e.g.
Word,
PowerPoint
Compulsory to
all Contractors
2 Main Book (i) Activity and associated cost
details
eWPB
(online system)
Compulsory to
all Contractors
Main Book (ii) Detail on activities and
expenditures not available in
eWPB format, for example,
drilling, facilities
management, Health, Safety
and Environment (HSE),
Information, Communication
and Technology (ICT), list
of Pre-Budget Expectations
(PBE) non-compliance, and
other related information
Microsoft
applications, e.g.
Word,
PowerPoint,
Excel
Compulsory to
all Contractors
(where
applicable)

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1.1.4 Submission and Format
WPB packages shall be submitted via hardcopy, softcopy and
eWPB or as advised by PETRONAS in its annual WPB guidelines, as
follows:
The diagram provides an overview of the WPB process workflows:
FORMAT OF
SUBMISSION
NO. OF COPIES
Hardcopy Two (2) sets for each of the submission requirement items
(where applicable)
Softcopy Two (2) CDs comprising all of the submission requirement
items
Online (eWPB) eWPB is accessible by Contractor for data input in June.
eWPB is closed on 1st September
NO. PACKAGE
DETAILS SHALL
INCLUDE BUT NOT LIMITED
TO
FORMAT APPLIES TO
3 Exploration
Book
Exploration summary
strategies, general
framework, hydrocarbon
plays and inventory of
prospects/leads and reserves
Microsoft
applications, e.g.
Word,
PowerPoint
Contractor
with on-going
exploration
activities
4 Manpower and
Training Book
Manpower manning and cost
summary, training for
Malaysian staff
Microsoft
applications,
e.g. Word and/
or PowerPoint
Compulsory to
all Contractors

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Figure 2: Work Programme & Budget Process Workflows
1.2 Pre-Budget Expectation (PBE)
1.2.1 Objective
PBE is an annual submission, which commences prior to actual WPB
submission. It outlines PETRONAS’ expectations of Contractor. It
serves to assist Contractor in preparing the annual WPB consistent
with PETRONAS’ business plans and objectives.
Clarification session may be held between PETRONAS and
Contractor. This session provides the opportunity for preliminary
discussions on the activities and proposed budget, with a view of
optimising both parties’ expectations and objectives.
1.2.2 Submission Requirements
PBE comprises of general and specific expectations in relation
to petroleum operations. The PBE shall include the exploration,
development and production (whichever is relevant to the Contractor)
that PETRONAS expects to be carried out annually and includes the
four (4) years forecast.
Contractor shall pursue its own initiatives to conduct petroleum
operations in accordance with prudent and modern practices.
The expectations formulated shall be in accordance with the
respective contractual obligations. It shall incorporate the following
details but not limited to:
Contractor
Provides feedback
(reason, justification,
resubmission
if needed)
Issues WPB
guidelines
No
Yes
Requires
clarification?
Clarifies WPB
guidelines (if any)
and prepares
submission
Note: WPB submission is to be mutually reviewed and endorsed with relevant Partner(s) where applicable.
Submits WPB on 1st Sept or
ten (10) weeks after
execution date for new
Contract/Submits feedback
as and when required
Receives and reviews
WPB
Finalises decision
Receives
decision
Executes approved activity
and budget
END
Accepts
decision?
Yes
No Submits
Appeal
Receives and reviews
appeal
SP, PMU

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ACTIVITY
EXAMPLE OF GENERAL
EXPECTATION
EXAMPLE OF SPECIFIC
EXPECTATION
Exploration Contractor to pursue
exploration activity through
geological and geophysics
(G&G) studies, seismic
acquisition and exploration
drilling, as well as explore
and test new play types.
Number of wells
(wildcat/appraisal) to be
drilled, volume of seismic
acquisition and processing
and type of studies.
Development Ensure project total cost and
first hydrocarbon date in
WPB submission are aligned
with Field Development
Plan (FDP), Final Investment
Approval (FIA) or any latest
approved revision by
PETRONAS. Any deviation
shall require PETRONAS’
written approval.
Project related activities for
example, facilities
engineering and drilling
activity.
Production Achieve targeted production
by minimising unplanned
downtime, undertake overall
facilities management.
Specific activity for:
• facilities management
(pipeline, topside,
structures, well)
• production enhancement
(subsurface operations)
• hydrocarbon measurement
and accounting.
Health, Safety and
Environment
Strengthen and enhance HSE
performance and leadership
towards achieving zero
incidents, institutionalise
process safety in operations.
HSE KPIs target, HSE
initiatives and Contractor
HSE management.
Drilling Achieve full compliance with
drilling requirements, for
example, notification of
drilling programme approval.
As stipulated in Volume 8:
Drilling and Well Operations
Abandonment/
Decommissioning
Latest decommissioning cost
estimates, a detail plan (if
applicable) and cess payment
for any applicable facilities.
Cost estimates and
abandonment/
decommissioning

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1.2.3 Submission of PBE Response
The response to PBE shall be in writing to the General Manager of
Strategic Planning (SP), Petroleum Management Unit.
The following diagram illustrates the PBE process workflows:
Figure 3: Pre-Budget Expectation Process Workflows
1.3 Additional Budget Request (ABR)
1.3.1 Objective
An ABR provides the opportunity to address budget changes. A request
for additional expenditure can be made to fund a cost increase or
unplanned work because of work scope increase, work acceleration
and/or change in assumption that have financial impact. The ABR
must relate to the CURRENT budget year. It shall be submitted as
and when necessary throughout the particular year.
ABR is not required in the following instances:
a) payment for late charges that have been accrued and approved in
the previous Year End Carry Over (YECO), not exceeding 10% of
the approved actual expenditure.
b) past years’ expenditure which was neither accrued nor approved
in the previous YECO (Refer to the process in Figure 5).
Note: The Risk Service Contractor (RSC) shall observe its respective
RSC Governance Procedure and Guideline for treatment of ABR.
1.3.2 Submission Requirements
The following figure explains key submission requirements of the ABR:
Contractor
Submits PBE response
Issues PBE
No
Yes
*Clarifies PBE
Reviews response
Clarifies
response
END
Requires
clarification?
*Clarification session
may be held upon
request
Accepts
PBE
response?
No
Yes
Receives PBE
SP, PMU

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Figure 4: The Key Submission Requirement of the Additional Budget Request
1.4 ABR Budget Tracking
With the exception of allocated costs (for example, Information Technology
(IT), manpower, training, general and administrative and shared logistic/
facilities costs), expenditures shall be monitored at Contractor’s level.
Other expenditure is monitored as per Contract level, as follows:
1.4.1 Capital Expenditure (CAPEX)
Timeline
Approval Guidelines
Requirement
Determining Factor Latest estimate – Latest approved = Variance >10% of respective ABR Budget Tracking
In accordance to standard ABR format
• Valid and agreed activities as per agreement reached with respective PMU Line Departments
• Subject to PETRONAS’ Technical Approval eg. Well proposal, FDP, FIA, FIP and etc
• Conformance to PPGUA guidelines
• Reasonable expenditure
• Contractor to raise ABR prior to work execution
• PETRONAS to respond within 60 days of ABR receipt
Technical Discussion
Where applicable, Contractor to initiate technical as well as budget estimation discussion with
respective PMU Line Departments prior to ABR submission
BUDGET CATEGORY SUB-BUDGET CATEGORY
ABR BUDGET GROUP
ELEMENTS
Exploration Seismic (acquisition, process,
reprocess, etc.)
By individual programme
G&G Total expenditure
Specialised studies Total expenditure
Drilling (wildcat/appraisal) Individual well/prospect
Other allocated CAPEX Total expenditure

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BUDGET CATEGORY SUB-BUDGET CATEGORY
ABR BUDGET GROUP
ELEMENTS
Development Seismic (acquisition, process,
reprocess, etc.)
By individual programme
G&G Total expenditure
Specialised studies Total expenditure
Drilling (appraisal) Individual well/prospect
Project (engineering/
facilities)
Total expenditure/project
Project (drilling) Drilling campaign/project
Other allocated CAPEX Total expenditure
Production Maintenance Well workover By programme
Modification and
miscellaneous
Per individual project valued
at RM 10 Million and above;
and
Tracked at the group/
consolidated level for
projects less than RM 10
Million
Support Services IT Total expenditure
Onshore support Total expenditure
Offshore support Total expenditure
HSE Total expenditure

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1.4.2 Operating Expenditure (OPEX)
1.4.3 Submission and Format
a) Request for ABR shall be submitted in writing to the General
Manager of Strategic Planning, Petroleum Management Unit.
b) Request for approval of previous years’ unapproved expenditure
shall be submitted in writing to the Senior General Manager of
Petroleum Operations Management (POM), Petroleum
Management Unit.
c) Submissions shall comply with the ABR form and its
requirements. Refer to Appendix 1 and Appendix 2.
The following diagram illustrates the ABR process workflows:
BUDGET CATEGORY SUB-BUDGET CATEGORY
ABR BUDGET TRACKING
ELEMENTS
Exploration Seismic (acquisition, process,
reprocess, etc.)
By individual programme
G&G Total expenditure
Specialised studies Total expenditure
Management and
Administration (M&A)
Total expenditure
Other Allocated OPEX Total expenditure
Development Seismic (acquisition, process,
reprocess, etc.)
By individual programme
G&G Total expenditure
Specialised studies Total expenditure
M&A Total expenditure
Other allocated OPEX Total expenditure
Production Operations Surface routine operations Total expenditure
Sub-surface operations Total expenditure
Logistics Total expenditure
Maintenance Total expenditure
Special studies Total expenditure
General overhead Total expenditure
Other allocated OPEX Total expenditure
Abandonment Individual line item
Others Individual line item

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Figure 5: Additional Budget Request Process Workflows
1.5 Year End Carry Over (YECO)
1.5.1 Objective
YECO is an annual submission for actual expenditure versus the
latest approved WPB. It incorporates expenditure changes requested
via ABR and/or appeal request.
Note: “latest approved WPB” may include wherever applicable,
approved WPB + submitted ABR + submitted appeal + approved
carry over from previous year.
There are two (2) main components of YECO:
a) Year End - relates to the actual expenditure for the budget
year incurred from 1st January to 31st December.
b) Carry Over - relates to ongoing or incomplete approved
activities and budget as at 31st December of the budget year.
The spilled over activities shall be completed no later than by
the end of Q1 of the subsequent budget year.
The expenditure shall be on an accrual or estimate basis whichever
applicable and submitted on 18th February of the subsequent year.
Note: YECO is not applicable to RSC.
Contractor
Prepares & submits request
to SGM, POM
Determines requirement for
additional fund
No
Yes
Prepares
submission of ABR
Submits to SP
Conveys the decision within 60 days
upon notification subject to su cient
information/justification
Executes approved ABR
activity
Reviews and deliberates appeal
with relevant PMU Line
Department
Expenditure
in current
year?
Updates audit account
Accept/Reject
Issues decision to
Contractor
Decision
by
VP, PM
END
Receives and reviews request
(in consultation with relevant
PMU Line department )
SP, PMU
POM, PMU

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1.5.2 Submission Requirements
Submission shall consist of YECO expenditure, as well as a
comprehensive description and justification for variance incurred of
plus or minus 10% from the approved budget.
The submission package shall incorporate the following expenditure
variance analyses, but not limited to:
Attention: Any unbudgeted cost and variance expenditure of more
than 10% without ABR may not be eligible for cost recovery, with the
exception of allocated expenditure.
1.5.3 Submission and Format
The YECO submission package shall be submitted via hardcopy and
softcopy (or as advised by PETRONAS in its annual YECO guidelines)
as follows:
The following diagram illustrates the YECO process workflows:
NO.
EXAMPLE OF ANALYSIS OF
EXPENDITURE
FORMAT APPLIES TO
1 Year end and Carry over Microsoft
applications, e.g.
Word, PowerPoint,
Excel
Compulsory to all
Contractor
(where applicable)
2 Affiliated Service
3 IT
4 Manpower and training
5 PSC Training Commitment
6 General & Administration (G&A)
7 ABR and appeal of ABR
8 WPB appeal
9 Status of WPB conditional approval
FORMAT OF SUBMISSION NO. OF COPIES
Hardcopy Two (2) sets comprising of the entire
submission requirement items (where
applicable).
Softcopy Two (2) CDs comprising of the entire
submission requirement items (where
applicable).

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Figure 6: Year End Carry Over Process Workflows
1.6 Appeal to WPB/ABR/YECO
1.6.1 Objective
This section explains the appeal request procedures for disapproved
WPB, ABR and/or YECO.
1.6.2 Form of Appeal
Contractor must submit appeal request in writing which includes the
following:
a) a description of the disapproved activity and associated
expenditure
b) justification for the activity, which may include technical
support, cost description and other evidences
The following diagram illustrates the appeal process workflows:
Contractor
Provides feedback (reason,
justification, resubmission
if needed)
Issues YECO
guidelines
No
No
Yes
Requires
clarification?
Clarifies YECO
guidelines (if any)
and prepares
submission
Note: YECO submission is to be mutually reviewed and endorsed with relevant Partner(s) where applicable.
Submits YECO on
18th Feb/
Submits feedback
as and when
required
Receives and reviews
YECO
Finalises decision
Receives
decision
Updates
expenditure
book
END
Accepts
decision?
Yes
No
Submits
Appeal
Receives and reviews
appeal
SP, PMU

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Figure 7: Appeal Process Workflows
1.6.3 Summary of Submission Timeline
Contractor
CRAC
(Cost
Recovery
Appeal
Committee)
Prepares and submits
request to CRAC
Determines appeal
requirement
No
Yes
Prepares Appeal
Submits to SP
Receives and reviews request
(in consultation with relevant
PMU Line department )
Conveys the decision subject to
su cient information/justification
Executes approved
activity
Expenditure
captured by
PSC Audit?
Updates audit account
Accept/Reject
Issues decision to
Contractor
Decision
by
VP, PM
END
Reviews and deliberates
appeal with relevant PMU
Line Department
SP, PMU
NO. SUBMISSION SUBMISSION TIMELINE TO PETRONAS
1 YECO 18th February
2 PBE
By May
The actual date will be communicated to
Contractor
3 WPB 1st September
4 ABR
As and when required during that
CURRENT budget year
5 Appeal of WPB/ABR/YECO As and when required

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Section 2: Annual Review of Petroleum Resources (ARPR)
2.1 Objective
The Annual Review of Petroleum Resources (ARPR) is an annual exercise that
reports the inventory level of Malaysia’s petroleum resources. It also ensures
that reporting by Contractor adheres to PETRONAS’ Definitions and
Guidelines for Classification of Petroleum Resources. PETRONAS established
its first resources guideline in 1997. The latest revision was in October 2012
and it is aligned with the Society of Petroleum Engineers’ Petroleum Resources
Management System (SPE PRMS).
The resources guideline provides standardised and coherent definition,
classification and reporting method for effective management of petroleum
resources and business portfolios. It serves as a basis for PETRONAS’
resources portfolio management that outlines the terminology
recommended for classification and estimation of quantities of petroleum
(e.g. crude oil, natural gas, condensate and related substances) as at a
specific date.
Refer to the PETRONAS’ Definitions and Guidelines for Classification of
Petroleum Resources.
The following diagram gives an overview of the ARPR annual exercise:
Figure 8: Overview of Annual Review of Petroleum Resources
Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec Jan
ARPR exercise2
(Aug - Jan)
Preceding Year
AARRPPRR KKiicckk--oo AARRPPRR FFiinnaall
SSuubbmmiissssiioonn
Note:
1 Petroleum resources changes review and approval are conducted with PMU Technical Department (Petroleum Resource Exploration (PREX), Petroleum
Resource Development (PRD) and Petroleum Operations Management (POM)) through technical meetings e.g. FDP related, drilling results, new discoveries,
Petroleum Arrangement and/or field award or relinquished, Gas Sales Agreement, etc.
2 Coordinated by ARPR secretariat
AARRPPRR PPrree--
ssuubbmmiissssiioonn
RReevviieeww
CCoommmmuunniiccaattee
FFiinnaall AARRPPRR
rreeqquuiirreemmeennttss
Petroleum resources changes review and
approval1 (Nov - Oct)
Year of
Reporting
Final
submission

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2.2 ARPR Final Submission
Contractor shall submit the ARPR report to PETRONAS by 15th January of
each year. The final submission shall include petroleum resources report,
tabular data, map and relevant information as specified in the ARPR
requirements, for the preceding year.
The ARPR data must represent the condition as at 1st January. It shall include
estimates of the petroleum resources and production volume from 1st
January to 31st December of the preceding year.
Contractor must obtain PETRONAS’ approval for all petroleum resource
changes by or prior to 31st October of each year for inclusion in the ARPR as
at 1st January.
2.2.1 Submission Requirements
Contractor shall submit the ARPR report and any subsequent
revisions in a standard reporting format. The report shall detail
petroleum resources inventory at project and reservoir level for each
range of uncertainty.
Contractor shall report petroleum resources estimates and reflect
volume until end of field life. Contractor shall also report reserves
estimates with volume up to the end of the Contract life.
Contractor shall adhere to ARPR reporting requirements issued
annually by the ARPR Secretariat. The reporting requirements include
a minimum of the following:
Management Reports and Technical Reports:
A. Executive Summary:
REQUIREMENTS
• Summary on Contract, field and type of petroleum resources
• Exploration, development and production activities
• Plan and recommendation for contingent resources
• Resources key performance indicator
• Location map with coordinate and sub-block – fields, prospects and leads
Note: The Executive Summary shall be in writing.

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B. Tabulation:
1. DISCOVERED RESOURCES
Crude Oil
• field status
• Petroleum Initially in Place (PIIP) under
reserves (low/best/high)
• PIIP under contingent resources (CR)
(low/best/high)
• total PIIP (low/best/high)
• ultimate recovery (low/best/high)
• estimated ultimate recovery (low/best/
high)
• production
• cumulative production
• reserves developed (1P/2P/3P)
• reserves undeveloped (1P/2P/3P)
• total reserves (1P/2P/3P)
• contingent resources (CR) (1C/2C/3C)
• project maturity
• 2P reserves developed and undeveloped
at Contract life
• justification for resources revision
compared to previous reporting
Condensate
• field status
• ultimate recovery (low/best/high)
• estimated ultimate recovery (low/
best/high)
• production
• cumulative production
• reserves developed (1P/2P/3P)
• reserves undeveloped (1P/2P/3P)
• total reserves (1P/2P/3P)
• CR (1C/2C/3C)
• project maturity
• 2P reserves developed and
undeveloped at Contract life
• justification for resources revision
as compared to previous reporting

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1. DISCOVERED RESOURCES
Associated Gas:
• field status
• PIIP under reserves by gas cap and
solution gas (low/best/high)
• PIIP under CR by gas cap and solution
gas (low/best/high)
• total PIIP by gas cap and solution gas
(low/best/high)
• ultimate recovery by gas cap and
solution gas (low/best/high)
• estimated ultimate recovery by gas cap
and solution gas (low/best/high)
• production from reserves
• production from CR
• injection from reserves
• injection from CR
• cumulative production from reserves
• cumulative production from CR
• cumulative injection from reserves
• cumulative injection from CR
• reserves developed (1P/2P/3P)
• reserves undeveloped (1P/2P/3P)
• total reserves (1P/2P/3P)
• CR by gas cap and solution gas
(1C/2C/3C)
• project maturity
• 2P reserves developed and undeveloped
at Contract life
• justification for resources revision as
compared to previous reporting
• production by solution gas and gas cap
gas from reserves and CR
• reserves developed by gas cap and
solution gas (1P/2P/3P)
• reserves undeveloped by gas cap and
solution gas (1P/2P/3P)
• total reserves by gas cap and solution gas
(1P/2P/3P)
Non-Associated Gas (NAG)
• field status
• PIIP under reserves (low/best/high)
• PIIP under CR (low/best/high)
• total PIIP (low/best/high)
• ultimate recovery (low/best/high)
• estimated ultimate recovery (low/best/
high)
• production from reserves
• production from CR
• cumulative production from reserves
• cumulative production from CR
• reserves developed (1P/2P/3P)
• reserves undeveloped (1P/2P/3P)
• total reserves (1P/2P/3P)
• CR (1C/2C/3C)
• project maturity
• 2P reserves developed and undeveloped
at Contract life
• justification for resources revision as
compared to previous reporting
2. PRODUCTION PROFILE
Contractor shall generate a production profile until the end of field life according to project
level for 2P reserves developed and undeveloped. Contractor shall submit the production
profile in a similar format used for WPB submission.

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3. UNDISCOVERED RESOURCES
Crude Oil, Associated Gas and Non-Associated Gas:
• prospect
• lead
• objective
• PIIP
• recovery factor
• un-risked prospective resources (PR)
• Probability of Success (POS)
• risked PR
• prospect and leads detailed technical report
4. RESERVOIR PARAMETERS FOR RESERVES, CR AND PR
5. PLAN FOR CR; DETAILING PROJECT WITH SCOPE AND CR ESTIMATES
6. KEY DATA FOR EACH OIL AND GAS FIELD (DISCOVERED FIELD)
• field status
• sub-block information
• discovery date
• name, type and number of exploration wells drilled
• number of platform/jacket installed
• number of development wells drilled
• information on specific gravity, non-hydrocarbon gas, average water depth
• distance to shore and nearest facilities
• name of nearest facilities
• first commercial production date
• sub-block expiry date
• Contract date
• field expiry date
7. INFORMATION ON RELINQUISHED CONTRACT AND ITS SUB-BLOCK/FIELD IN YEAR OF
REPORTING
C. Other data or information:
1. AS STATED IN THE CONTRACT, THE REPORT SHALL ALSO INCLUDE THE FOLLOWING:
• The location, size, extend, structural and stratigraphic cross-sections of the petroleum
reservoirs
• Maps of scale 1:12,500 or 1:25,000 (at minimum) whichever is applicable, at each
reservoir level, for the following:
- structure depth map at top of reservoir quality rocks
- reservoir faces to reflect the porosity and permeability distribution vertically or
laterally

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2. IN THE EVENT THAT NON-HYDROCARBON GASES ARE PRESENT:
• Contractor shall report the AG and NAG IIP at actual condition and reserves, CR and PR
at both actual condition and at the point of sale
2.2.2 Submission and Format
Contractor to submit ARPR packages via hardcopy, softcopy and
eARPR (online) or as advised by PETRONAS in its annual ARPR
reporting guideline, as follows:
2.2.3 Process Workflows
The following diagram illustrates the ARPR final submission review
process:
Figure 9: Annual Review of Petroleum Resources Final Submission
Process
FORMAT OF SUBMISSION NO. OF COPIES
Hardcopy Two (2) sets of management and technical
reports and eARPR package
Softcopy Two (2) CDs of management and technical
reports and eARPR package
Online (eARPR) Not Applicable
Note: eARPR will be accessible to Contractor
for data input by October and closed on the
ARPR submission date.
Contractor
Reflects changes
from Pre-
Submission in Final
ARPR and
submits to
PETRONAS by
15th January
Requires
clarification?
Yes
Finalises
decision and
obtains
approval
from
Management
No
Finalises
ARPR
Report
Receives ARPR final
number and follows the
same process as for the
following year’s exercise
Provides ARPR opening
balance for following
year’s exercise
Conducts
discussion with
Contractor
END
Receives and reviews
ARPR submission
Provides feedback
(reason, justification,
resubmission if
needed)
SP, PMU

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2.3 ARPR Pre-Submission Review
The ARPR Pre-Submission Review is a session for PETRONAS to review
Contractor’s proposal on the estimates and reclassification of petroleum
resources in its Contract. PETRONAS will conduct the review session
towards the end of the year prior to ARPR final submission.
The review session provides an avenue for PETRONAS to clarify and ensure
Contractor’s adherence to PETRONAS’ Definitions and Guidelines for
Classification of Petroleum Resources in ARPR reporting and necessary
technical approval on petroleum resource changes obtained PETRONAS’
approval. PETRONAS and Contractor will record any discrepancy or issue
that arises during the review session and agree on the action item. Contractor
shall follow up and close the action item prior to the dateline given by
PETRONAS and incorporate the outcome in the final ARPR submission.
PETRONAS will chair all of ARPR Pre-Submission Review sessions with
Contractor.
2.3.1 Submission Requirements
Contractor shall submit the ARPR Pre-Submission Review pack and
any subsequent revisions in a standard reporting format. The review
pack shall detail petroleum resources at field level for discovered
resources and at prospects/leads level for undiscovered resources.
Contractor must ensure and show that the proposed petroleum
resource changes have obtained PETRONAS’ technical approval.
Contractor shall report petroleum resources estimates and reflect
volume until end of field life.
Contractor shall adhere to ARPR reporting requirements issued
annually by the ARPR Secretariat. The reporting requirements include
a minimum of the following:
For crude oil, NAG, AG and condensate:
a) executive summary
b) reclassification of resources changes
c) discovered resources changes by field level for each resource
type:
• PIIP (best estimate/P50)
• reserves (2P)
• CR (2C)
• recovery factor
• cumulative production
• production

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• resource revision
• justification for resources changes (to specify PETRONAS’
approval)
d) undiscovered resources changes by prospect and lead for
each resource type:
• PIIP (best estimate/P50)
• un-risked PR (2U)
• Probability of Success (POS)
• risked PR (2U)
• risked volume revision
• justification for resources changes (to specify PETRONAS’
approval)
e) information on gas production and utilisation
f) information on exploration, development and production
activities
g) information on field relinquishment
h) detail information and data on reserves and production
2.3.2 Submission and Format
Contractor to submit the ARPR Pre-Submission Review package via
hardcopy and softcopy or as advised by PETRONAS in its annual
ARPR reporting guideline.
2.3.3 Process Workflows
The following diagram illustrates the ARPR pre-submission review
process:
Figure 10: Annual Review of Petroleum Resources Pre-Submission
Process
Contractor
Reflects changes
and resubmits
pre-submission
pack
Issuance of
reporting
requirements &
guidelines
Clarifies reporting
requirements &
guideline (if any)
and prepares
submission
Submits Pre-
Submission material
in November as
advised by
PETRONAS
Receives and
reviews Pre-
Submission
Requires
clarification?
Provides feedback
(reason, justification,
resubmission if
needed)
Yes
Accepts
submission
No Pre-
submission
Review in Dec
Presentation
at Pre-
Submission
Review
Technical
approval cut-o
31st Oct
Captures
Action Items,
MOM sign
o
Closes action item
(to discuss with
PETRONAS if
required)
Follow up
Receives re-
submission
END
SP, PMU

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2.4 Petroleum Resource Changes Review and Approval
Contractor shall review and obtain the necessary technical approval on the
petroleum resource changes via appropriate engagement with the relevant
PMU Technical Department e.g. PREX, PRD or POM. The engagement shall
be via established committees, e.g. Technical Review Committee (TRC), Field
Reservoir Management Review (FRMR), Post Drilling Review (PDR),
Exploration Resources Review Committee (ERRC) or any other appropriate
technical committee or team as recommended by PETRONAS. Contractor
must obtain PETRONAS’ approval on the proposed petroleum resources
changes by or prior to 31st October of each year.
The following diagram illustrates the Petroleum Resources Maturation
Workflows:

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Figure 11: Petroleum Resources Maturation Workflows
Undiscovered
Resources
Discovered
Resources
Prospective
Resources
Contingent
Resources
ProspectsLeads
6
New
discovery
5
Resources
require
further
evaluation
Play
3
Resources
require
separate
project
sanction
1
Resources
with
completed
*MR#4
subject to
Host Govt.
approval
2
Resources
with MR#1
with Host
Govt.
4
Gas
Resources
with no firm
commitment
to supply
7
Gas
Resources
flared/
vented
8
Resources
not viable for
development
Development
on Hold
Development
Not Viable
Development
Pending
Reserves with approval obtained,
pending final planning/contract
Reserves producing and selling to
market
Reserves with approval obtained,
development underway
Sold &
Delivered
Historical
Production
Exploration Sub-block: PREX
Development/Production
Sub-block: PRD
*Criteria to mature CR to Reserves for Natural Gas : i) Signed GSA, ii) Without GSA but firm intent to supply with
specific volume and market are stated in Petroleum Arrangement or Head of Agreement (HOA)
Reserves
On
Production
Approved for
Development
Justified for
Development
POMM/PRD
PRD/POM

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Section 3: Crude Oil Annual Production Target & Quarterly Performance
Review (QPR)
3.1 Objective
In the submission of annual ECR and WPB, Contractor shall submit the
remaining life cycle of crude oil production potential and availability
forecasts for each petroleum field.
The potential and availability production shall be based on:
a) the latest reservoir engineering study and approved Reservoir
Management Policy (refer to Volume 7, Section 1: Well and Reservoir
Management)
b) well test requirements (refer to Volume 7, Section 2: Well Test and
Surveillance),
c) established facilities reliability and integrity management (refer to
Volume 7, Section 3: Facilities Reliability and Integrity Management)
consistent with safe operating conditions (refer to Volume 3, Section 1:
Health, Safety and Environment)
d) a realistic development schedule, for example, FDP or Area
Development Plan (refer to Volume 6: Field Development)
Contractor shall submit the production potential and availability forecasts in
accordance with the submission requirements for both ECR and WPB
submissions (refer to Section 5: Enhanced Capacity Review and Section 1:
Work Programme & Budget (WPB) and Related Processes in this volume).
PETRONAS shall decide on the approved production rate of crude oil in each
petroleum field as provided for in the Contract.
3.2 Submission Requirements
Contractor shall submit the ECR, WPB inclusive of any subsequent revisions
as per PETRONAS’ guidelines issued by SP, PMU (refer to Section 5:
Enhanced Capacity Review and Section 1: Work Programme & Budget (WPB)
and Related Processes in this volume).
The report shall provide the following:
a) performance outlook (for preceding year) on monthly basis
b) immediate year on monthly basis
c) succeeding four (4) years on quarterly basis
d) remaining years until end of field life on annual basis
The report details shall include but not limited to the following:

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a) technical potential
b) technical potential at facilities design
c) production availability
d) planned downtime
e) unplanned downtime
f ) first oil date
g) project oil type
h) initiative type
3.3 Annual Approved Production Target
PETRONAS shall advise Contractor on its Contract’s annual approved
production level in writing by 31st December of the preceding year, in
respect of each subsequent ECR and WPB.
The Contract’s annual approved production target is derived from WPB
submission for each petroleum field and subject to national requirements
(if any). Contractor must execute activities as approved in the WPB.
Contractor or PETRONAS may request further clarification, no later than 1st
November of each year, in the following circumstances:
a) Contractor - to clarify any annual production target revision which
differs from the WPB submission figure (Contractor shall provide
comprehensive clarification to PETRONAS)
b) PETRONAS - to clarify the basis of the stretched production target
should it differ from the WPB submission figure
The total production of each year will be monitored based on PETRONAS’
annual approved production target.
3.4 Quarterly Performance Review
PETRONAS shall conduct a quarterly performance review with Contractor
to track and monitor the production performance prior to commencement
of the next quarter.
In the second month of each quarter (or when advised by PETRONAS),
Contractor is required to submit the following information in a standard
reporting format as issued by PETRONAS:
a) a breakdown of the expected production potential and availability by
project and initiative type, such as base production, infill/sidetracking,
new development projects, work-over, well services and
debottlenecking for each month of the year
b) an update of the year’s major planned shutdowns and its barrel deferred
for each month of the year

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c) for each quarterly review, Contractor shall also submit the outlook for the
next six (6) quarters’ production level which serves as input to
PETRONAS’ 18-month rolling forecast performance review
Table below illustrates the extent of submission by quarter:
All projects must be categorised according to “Initiative Type” as defined
by PETRONAS in its Annual ECR/WPB Reporting Guideline.
Contractor shall submit information which shall not be limited to the
following:
a) basis/assumption used to derive the crude production forecast
b) reasons for variance of actual versus production approved level
c) unplanned shutdown and its barrel impact
d) issues related to production gap and provide catch up plan in cases
where the Year End Projection (YEP) is lower than annual approved
production target
e) opportunities and threats impact to YEP
Contractor shall submit the presentation materials to PMU’s meeting
secretariat no later than five (5) working days prior to the session.
3.4.1 Submission and Format
a) The submission package shall include hardcopies and softcopies
of all the above data and information.
b) The format shall be Microsoft applications (e.g. PowerPoint,
Word, Excel) or as per PETRONAS’ electronic system.
QUARTER REQUIREMENTS
Q1 Year 1 The performance outlook of Year 1 on a monthly basis plus three (3)
quarters of the subsequent year
Q2 Year 1 The performance outlook of Year 1 on a monthly basis plus four (4)
quarters of the subsequent year
Q3 Year 1 The performance outlook of Year 1 on a monthly basis plus five (5)
quarters of the subsequent years
Q4 Year 1 The performance outlook of Year 1 on a monthly basis plus six (6)
quarters of the subsequent years
Example: Q4 2012 Quarterly Review
• The performance of 2012 on monthly basis, plus four (4) quarters in
2013 and first two (2) quarters in 2014 on quarterly basis

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3.5 Production Variation
Contractor must take all measures to comply with the annual approved
production level with minimal production fluctuation. However, to cater for
unexpected operational requirements, Contractor must endeavour to
make-up the deferred production (for example, through production
enhancement initiatives). Therefore, the possible catch up plans must be in
place and presented during the quarterly performance review.
Contractor must obtain approval from PETRONAS on the proposed
production catch-up plan if fields fall under the National Depletion Policy
(NDP). The NDP states that for any major fields with a total Oil Initially in Place
(OIIP) equal to or more than 400 MMstb, the production will be limited to a
ceiling of 3% of OIIP in any one (1) year.

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Section 4: Gas Production, Condensate & Quarterly Performance Review
(QPR)
4.1 Objective
In the submission of annual ECR and WPB, Contractor shall submit the
remaining life cycle of gas production and utilisation forecast (for example
sales, reinjection, fuel, flaring/venting, and so on) based on supply capacity
(availability). The submission must include the condensate forecast for
each NAG field.
In the same ECR and WPB submission, Contractor shall submit the
remaining life cycle of AG production availability including Plant Liquid
Return (PLR)/liquid dropout forecast for each petroleum field. This forecast
shall be consistent and in accordance with the considerations stipulated in
Section 3: Crude Oil Annual Production Target and Quarterly Performance
Review (QPR) in this volume.
The production availability shall be based on:
a) the latest reservoir engineering study and approved Reservoir
Management Policy (refer to Volume 7, Section 1: Well and Reservoir
Management)
b) well test requirements (refer to Volume 7, Section 2: Well Test and
Surveillance)
c) established facilities reliability and integrity management (refer to
Volume 7, Section 3: Facilities Reliability and Integrity Management)
consistent with safe operating conditions (refer to Volume 3, Section 1:
Health, Safety and Environment)
d) a realistic development schedule, such as, FDP or Area Development
Plan/Overall Area Development Area (refer to Volume 6: Field
Development)
e) PETRONAS shall decide on the approved gas supply target in each
petroleum field as provided for in prevailing agreements (e.g. Contract,
Gas Supply Agreement (GSA), etc.).
Contractor shall not produce NAG other than for the purpose of gas sales
and gas related operational requirements, without prior approval of
PETRONAS unless it has been stated otherwise in the prevailing agreements
(e.g. Contract, GSA, etc.).

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4.2 Submission Requirements
4.2.1 Non-Associated Gas (NAG) and Associated Gas (AG)
Contractor shall submit the ECR, WPB and any subsequent revisions in
a standard reporting format as per PETRONAS’ format issued by SP,
PMU (refer to Section 5: Enhanced Capacity Review and Section 1:
Work Programme & Budget and Related Processes in this volume).
The report shall consist of:
a) performance outlook (for the preceding year) on a monthly basis
b) first year on a monthly basis
c) succeeding four (4) years on a quarterly basis
d) remaining years until end of field life on an annual basis
The report details shall include but not limited to the following:
a) field capacity
b) field availability
c) gas sales/gas export- Full Well Stream (FWS)
d) gas sales availability
e) planned downtime
f ) unplanned downtime
g) first gas date
h) project gas type
i ) initiative type
j ) reinjection for Enhanced Oil Recovery (EOR) project
k) reinjection
l ) fuel
m) gas-lift
n) flaring/venting at platform
o) flaring/venting at terminal
p) Gas Heating Value (GHV) (by field)
4.2.2 Condensate
Contractor shall include gasoline and/or Plant Liquid Return
(PLR).
Contractor shall submit the ECR, WPB and any subsequent
revisions in a standard reporting format but not limited to the
following as per PETRONAS’ format issued by SP, PMU (refer to
Section 5: Enhanced Capacity Review and Section 1: Work
Programme & Budget (WPB) and Related Processes in this volume).

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The report shall consist of:
a) performance outlook (for preceding year) on a monthly basis
b) the first year on a monthly basis
c) the succeeding four (4) years on a quarterly basis
d) remaining years until end of field life on an annual basis
The report details shall include but not limited to the following:
a) condensate
b) gasoline/PLR/liquid drop-out (if applicable)
c) Condensate Gas Ratio (CGR)
4.3 Annual Approved Gas Supply Target
PETRONAS shall advise Contractor on its approved gas supply target in
writing by 31st December of the preceding year in respect of each
subsequent ECR and WPB.
The PETRONAS’ annual approved gas supply target will be determined based
on WPB submitted figures. The approval will be aligned with the
Contractor’s delivery commitment and obligations as stipulated in the GSA.
Contractor shall adhere to this target and execute activities as approved in
the WPB.
Contractor and PETRONAS may request further clarification no later than 1st
November of each year in the following circumstances:
a) Contractor - to clarify any annual gas supply target revision that differs
from the WPB submission figure (Contractor to provide official,
comprehensive clarification to PETRONAS)
b) PETRONAS - to clarify the basis of the stretched gas supply target if it
differs from the WPB submission figure
Therefore, the total gas supply of each year will be monitored based on the
PETRONAS’ annual approved gas supply target.

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4.4 Quarterly Performance Review
PETRONAS shall conduct a quarterly performance review with Contractor
to track and monitor the production performance prior to commencement
of that quarter.
In the second month of each quarter (or as and when advised by
PETRONAS), Contractor is required to submit the following information in a
standard reporting format as issued by PETRONAS:
a) breakdown of expected gas production capacity, availability and gas
sales by project and initiative type (for example, base production, infill/
sidetracking, workover, well services and debottlenecking) for each
month of the year
b) monthly gas production, utilisation and flaring/venting (where
applicable) for each month of the year
c) the average monthly condensate production for each month of the year
(where applicable)
d) an update of the year’s major planned shutdowns for each month of the
year
e) for each quarter review, an outlook for the next six (6) quarters’ gas
supply level (this will provide input into PETRONAS’ 18-month rolling
forecast performance review)
Table below illustrates the extent of submission by quarter:
All projects must be categorised according to “Initiative Type” as defined by
PETRONAS in its annual ECR/WPB Reporting Guideline.
QUARTER REQUIREMENTS
Q1 Year 1 The performance outlook of Year 1 on a monthly basis plus three (3)
quarters of the subsequent year
Q2 Year 1 The performance outlook of Year 1 on a monthly basis plus four (4)
quarters of the subsequent year
Q3 Year 1 The performance outlook of Year 1 on a monthly basis plus five (5)
quarters of the subsequent years
Q4 Year 1 The performance outlook of Year 1 on a monthly basis plus six (6)
quarters of the subsequent years
Example: Q4 2012 Quarterly Review
• The performance of 2012 on a monthly basis, plus four (4) quarters
in 2013 and the first two (2) quarters in 2014 on a quarterly basis

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Contractor shall provide a minimum of the following information:
a) basis/assumption used to derive the gas production capacity forecast
b) reasons for variance of actual and forecast versus WPB and/or GSA gas
supply capacity forecast
c) unplanned shutdown and its volume impact
d) issues and catch up plan in cases where the YEP is lower than annual
approved gas supply target
e) opportunities and threats impact on YEP
Contractor shall submit the presentation materials to the PMU’s meeting
secretariat no later than five (5) working days prior to the session.
4.4.1 Submission and Format
a) The submission package shall be hardcopies and softcopies
comprising all of the above data and information.
b) The format shall be in Microsoft applications (e.g. PowerPoint,
Word and/or Excel) or as per PETRONAS’ electronic system.
4.5 Production Variation
Contractor must take all possible measures to comply with the annual
approved target gas supply capacity forecast with minimal production
fluctuation. However, to cater for the unexpected operational requirements,
Contractor must mitigate the shortfall, for example, through production
enhancement initiatives. Therefore, all the possible production catch up
plans must be in place and presented during the quarterly performance
review.

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Section 5: Enhanced Capacity Review
5.1 Objective
Enhanced Capacity Review (ECR) is an annual exercise established for
Contractor to provide long term oil production, gas supply and condensate
production, reflecting the outcome of Contractor’s response on
Pre-Budget Expectation (PBE). It serves as a forecast for Contractor’s WPB.
This session will provide an opportunity for Contractor to discuss the
immediate year’s forecast and submit the long term forecast prior to the
official WPB submission to PETRONAS.
The long term forecast provided through ECR will serve as a baseline for
PETRONAS to effectively manage and plan the national oil production, gas
supply and condensate production target prior to annual WPB submission by
Contractor.
The ECR discussion objectives are to:
a) forecast the immediate year’s plus four (4) years’ oil production, gas
supply (production and feed gas) and condensate production
b) discuss the gap or surplus for the immediate year’s forecast against the
previous year’s WPB submission
c) identify the immediate year’s opportunities and threats analysis
d) discuss the mitigation plan (activity-based) to address the gap (if any) for
the immediate year’s forecast for inclusion in the immediate year WPB
submission
e) consider the immediate year’s downtime assumption for planned and
unplanned downtime
f ) discuss the immediate year’s production enhancement, work-over,
debottleneck and development projects and provide planned first oil
and/or first gas date, annual rate and project progress
g) consider the immediate year’s flaring forecast and proposal on the
flaring limit
h) provide long term forecast for oil production, gas supply (production
and feed gas) and condensate production until end of field life
The following diagram provides an overview of the ECR annual exercise:

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PPGUA/3.0/042/2013 39
Figure 12: Overview of Enhanced Capacity Review Annual Exercise
5.2 Submission Requirements
PETRONAS will schedule the ECR sessions with the respective Contractor in
conjunction with the Quarter 4 performance review organised by Petroleum
Operations Management (POM), PMU (normally conducted in July of each
year).
By July of each year, Contractor shall provide the final ECR submission
detailing the long term oil production, gas supply (production and feed gas)
and condensate forecast to PETRONAS. The ECR document shall also detail
the proposed activities for the immediate year.
PETRONAS shall communicate its ECR expectation annually, prior to actual
deliberation. Contractor shall ensure that the forecast is aligned and
consistent with PBE and WPB proposal, where possible.
Contractor shall submit the information detailed below in Microsoft Power
Point:
a) five (5) years’ oil and gas production availability, feedgas supply and
condensate production forecast, as follows:
• monthly forecast for immediate year
• yearly forecast for the next four (4) years
b) immediate year’s gap/surplus analysis - ECR versus previous WPB
c) immediate year’s opportunities and threats analysis
d) immediate year’s mitigation plan to address gap (if any)
e) immediate year’s planned downtime and unplanned downtime
assumptions
f ) immediate year’s production enhancement, workover plan, debottleneck
and development projects’ first oil and gas target, annual production rate
and project progress
Apr May June July Aug Sept Oct Nov Dec Jan Feb
National Target Setting exercisePBE exercise
QQuuaarrtteerrllyy
PPeerrffoorrmmaannccee
RReevviieeww
EECCRR aanndd
QQuuaarrtteerrllyy
PPeerrffoorrmmaannccee
RReevviieeww
WWPPBB QQuuaarrtteerrllyy
PPeerrffoorrmmaannccee
RReevviieeww
IIssssuuaannccee ooff
CCoonnttrraaccttoorr‘s
AApppprroovveedd
PPrroodduuccttiioonn
LLeevveell
QQuuaarrtteerrllyy
PPeerrffoorrmmaannccee
RReevviieeww
Note: Pre-Budget Expectations (PBE), Work Programme & Budget (WPB) and Enhanced Capacity Review (ECR)
EEnnggaaggeemmeenntt
sseessssiioonn oonn
ttaarrggeett sseettttiinngg
((iiff rreeqquuiirreedd))
ECR exercise

40. VOLUME 4
PLANNING AND BUDGET
40 PPGUA/3.0/042/2013
g) the immediate year’s flaring limit
Contractor shall submit the information detailed below in Microsoft Excel:
a) long term oil and gas production availability, feedgas sales and
condensate production forecast
• monthly forecast for immediate year
• quarterly forecast for the next four (4) years
• yearly forecast for long term (beyond the fifth year)
b) Contract, field and project
• base
• build-up from previous (development, production enhancement,
workover)
• new (development, production enhancement, workover)
All projects must be categorised according to “Initiative Type” as defined by
PETRONAS in its annual ECR Reporting Guideline.
5.3 Submission and Format
a) The submission package shall include hardcopies and softcopies
comprising of the above items (or as advised by PETRONAS in the
annual ECR reporting guideline).
b) The format shall be in Microsoft applications (i.e. PowerPoint and Excel)
or as per PETRONAS’ electronic system.
Contractor shall submit the ECR presentation material to SP and/or quarterly
performance review meeting secretariat no later than five (5) working days
prior to the session.
The final ECR submission (in both Microsoft PowerPoint and Microsoft Excel)
must be submitted to PETRONAS by July of each year.
REQUIREMENT REMARKS
Hardcopies (Power Point) For ECR discussion
Softcopies (Power Point and Excel)
For ECR discussion and final submission.
The submission shall be addressed to the ECR
focal person via email or any other platform
as advised by PETRONAS

41. VOLUME 4
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PPGUA/3.0/042/2013 41
5.4 Process Workflows
The following diagram illustrates the ECR process workflows:
Figure 13: Enhanced Capacity Review Processes
5.5 Production Variation - ECR versus WPB Submission
This ECR submission shall be treated similar to the WPB submission and
Contractor must ensure the data integrity is not compromised. However,
PETRONAS acknowledges that production variation may differ between the
ECR and the WPB submissions. In these instances, Contractor shall notify
PETRONAS on the variation in writing as part of the WPB submission,
detailing the variance justification for PETRONAS’ records.
Contractor
Issuance of
reporting
requirements &
guidelines
Clarifies reporting
requirements &
guideline (if any)
and prepares
submission
Submits
submission
material to
PETRONAS
Receives and
reviews
submission
Provides feedback
(reason,
justification,
resubmission if
needed)
Yes
Accepts
submission
No
ECR
sitting
Presentation
at ECR sitting
Captures
Action
Items,
MOM sign
o
Closes action
item (to discuss
with
PETRONAS if
required)
Reflects
changes
and
submits
ECR
packages
by 31st
July
Follow up
Receives ECR
submission
END
Requires
clarification?
Provides feedback
(reason,
justification,
resubmission if
needed)
Yes
Requires
clarification?
No
Sends out
Notification
of
Acceptance
SP, PMU

42. VOLUME 4
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42 PPGUA/3.0/042/2013
TERM IN FULL
ABR Additional Budget Request
AG Associated Gas
ARPR Annual Review of Petroleum Resources
CAPEX Capital Expenditure
CD Compact Disc
CGR Condensate Gas Ratio
CR Contingent Resources
CRAC Cost Recovery Appeal Committee
eARPR electronic ARPR
ECR Enhanced Capacity Review
EOR Enhanced Oil Recovery
ERRC Exploration Resources Review Committee
eWPB electronic WPB (online system)
FDP Field Development Plan
FIA Final Investment Approval
FIP Facilities Improvement Plan
FRMR Field and Reservoir Management Review
FWS Full Well Stream
G&A General & Administration
G&G Geological and Geophysical
GHV Gas Heating Value
GM General Manager
GOR Gas Oil Ratio
GSA Gas Sales Agreement
HOA Head of Agreement
HSE Health, Safety and Environment
ICT Information, Communication and Technology
IIP Initially in Place
IT Information Technology
KPI Key Performance Index
M&A Management and Administration
Abbreviations

43. VOLUME 4
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PPGUA/3.0/042/2013 43
TERM IN FULL
MMstb Million stock tank barrels
MR Milestone Review
NAG Non-Associated Gas
NDP National Depletion Policy
OIIP Oil Initially in Place
OPEX Operating Expenditure
PBE Pre-Budget Expectation
PDR Post Drilling Review
PIIP Petroleum Initially in Place
PLR Plant Liquid Return
PMU Petroleum Management Unit
POM Petroleum Operations Management
POS Probability of Success
PR Prospective Resources
PRD Petroleum Resource Development
PREX Petroleum Resource Exploration
PRMS Petroleum Resources Management System
Q1 Quarter One (1)
Q2 Quarter Two (2)
Q3 Quarter Three (3)
Q4 Quarter Four (4)
QPR Quarterly Performance Review
RM Ringgit Malaysia
RSC Risk Service Contract
SGM Senior General Manager
SP Strategic Planning
SPE Society of Petroleum Engineers
TRC Technical Review Committee
VOWD Value of Work Done
VP, PM Vice President, Petroleum Management
WPB Work Programme & Budget
YECO Year End Carry Over
YEP Year End Projection

44. VOLUME 4
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44 PPGUA/3.0/042/2013
Appendix 1
ABR Format for Development Project and Infill Drilling
Description of Application:
Title
Contract
Background & ABR Scope of work:
Justification for the ABR and why the activity is not budgeted by detailed line item (e.g.:
Due to re-phasing/unplanned/acceleration/cost overrun/additional scope of work):

45. VOLUME 4
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PPGUA/3.0/042/2013 45
Detailed Justification: (Figures in RM’000)
Detail Design
Amount Justification Attachment
Refer Attachment.
Procurement
Amount Justification Attachment
Refer Attachment.
Fabrication
Amount Justification Attachment
Refer Attachment.
Transportation and Installation
Amount Justification Attachment
Refer Attachment.
Hook-Up and Commissioning
Amount Justification Attachment
Refer Attachment.
Project Management and Other Services (Insurance etc)
Amount Justification Attachment
Refer Attachment.
Drilling
Amount Justification Attachment
Refer Attachment.
Technical proposal and/or discussion in relation to the ABR (if any). Please provide the details
of the meeting i.e. date, members and key points agreed.

46. VOLUME 4
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46 PPGUA/3.0/042/2013
Status of proposal/approval (If any, such as technical proposal, well proposal, FDP, FDP
Addendum, FIA, etc. Please attach the proposal/approval)
Proposal/Approval Final Submission Date Status Attachment
Technical proposal/
well proposal/FDP/
FDP Addendum/FIA
ABR:
*Note: Refer Table 1
Quarterly budget phasing for ABR:
Budget Category Code*
Item RM’000
Latest Estimate Latest Approved
Additional Budget/
(Budget Available)
ABR
Prepared by: Endorsed by: Partner’s approval:
Signature
Name
Designation
Date
Item
RM’000
Q1 Q2 Q3 Q4 Total

47. VOLUME 4
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PPGUA/3.0/042/2013 47
Table 1
CAPEX Code
Exploration
Seismic A1.1
Drilling (Wildcat/
Appraisal)
A1.2
G&G A1.3
Specialised
Studies
A1.4
Other Allocated
CAPEX
A1.5
Development
Seismic A2.1
G&G A2.2
Specialised
Studies
A2.3
Project
- Engineering/
Facility
A2.4
Project
- Drilling
A2.5
Drilling
(Appraisal)
A2.6
Other Allocated
CAPEX
A2.7
Production
Maintenance
Well Workover A3.1
Modification &
Miscellaneous
A3.2
Support Services
Information
Technology
A4.2
Onshore Support A4.3
Offshore
Support
A4.4
Health, Safety &
Environment
A4.5
OPEX Code
Exploration
Seismic B1.1
G&G B1.2
Specialised
Studies
B1.3
M&A B1.4
Other Allocated
OPEX
B1.5
Development
Seismic B2.1
G&G B2.2
Specialised
Studies
B2.3
M&A B2.4
Other Allocated
OPEX
B2.5
Production
Operations
Surface
Routine
Operation
B3.1
Sub-surface
Operation
B3.2
Logistics B3.3
Maintenance B3.4
Special Studies B3.5
General
Overhead
B3.6
Others B3.7
Abandonment B4

48. VOLUME 4
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48 PPGUA/3.0/042/2013
Attachment:
Breakdown of the Budget:
Description
Actual as
of 31st
Dec
Year X
Year X + 1
Variance VOWD
Project
LE
RemarksApproved
WPB
ABR
Total
Exp
Approved
FIA/FDP
FACILITIES
Design
Engineering
Procurement
Fabrication
Transportation
& Installation
Hook-Up &
Commissioning
Project
Management
& Other
Services
Sub-Total
Facilities
DRILLING
Drilling
Completion
Formation
Evaluation
Rig
Operations
Logistics
Management &
Supervision
Other Services
Sub-Total
Drilling
TOTAL

49. VOLUME 4
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PPGUA/3.0/042/2013 49
Appendix 2
ABR Format for Other than Development Project and Infill Drilling
Description of Application:
Title
Contract
Background & ABR Scope of work:
Justification for the ABR and why the activity is not budgeted by detailed line item (e.g.: Due to
re-phasing/unplanned/acceleration/cost overrun/additional scope of work):
Technical proposal and/or discussion in relation to the ABR (if any). Please provide the details
of the meeting i.e. date, members and key points agreed.
Status of proposal/approval (If any, such as technical proposal, well proposal, FDP, FDP
Addendum, FIA, etc. Please attach the proposal/approval)

50. VOLUME 4
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50 PPGUA/3.0/042/2013
ABR:
*Note: Refer Table 1
Quarterly budget phasing for ABR:
Budget Category Code*
Item RM’000
Latest Estimate Latest Approved
Additional Budget/
(Budget Available)
ABR
Prepared by: Endorsed by: Partner’s approval:
Signature
Name
Designation
Date
Item
RM’000
Q1 Q2 Q3 Q4 Total

51. VOLUME 4
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PPGUA/3.0/042/2013 51
Table 1
CAPEX Code
Exploration
Seismic A1.1
Drilling (Wildcat/
Appraisal)
A1.2
G&G A1.3
Specialised
Studies
A1.4
Other Allocated
CAPEX
A1.5
Development
Seismic A2.1
G&G A2.2
Specialised
Studies
A2.3
Project
- Engineering/
Facility
A2.4
Project
- Drilling
A2.5
Drilling
(Appraisal)
A2.6
Other Allocated
CAPEX
A2.7
Production
Maintenance
Well Workover A3.1
Modification &
Miscellaneous
A3.2
Support Services
Information
Technology
A4.2
Onshore Support A4.3
Offshore
Support
A4.4
Health, Safety &
Environment
A4.5
OPEX Code
Exploration
Seismic B1.1
G&G B1.2
Specialised
Studies
B1.3
M&A B1.4
Other Allocated
OPEX
B1.5
Development
Seismic B2.1
G&G B2.2
Specialised
Studies
B2.3
M&A B2.4
Other Allocated
OPEX
B2.5
Production
Operations
Surface
Routine
Operation
B3.1
Sub-surface
Operation
B3.2
Logistics B3.3
Maintenance B3.4
Special Studies B3.5
General
Overhead
B3.6
Others B3.7
Abandonment B4