Singapore Petroleum Company Limited (SPC) is a premium integrated oil and gas company operating across the Asia-Pacific region. The company is a member of PetroChina, one of the largest oil and gas companies in the world, and under its umbrella, SPC has continued to expand its offerings across the oil and gas market. Now as the company moves towards the future, it has grown its presence in the global exploration and production (E&P) sector, having acquired numerous vital assets over the last few years. However, what underpins every operation of SPC is its foundation in marketing, trading, and distribution across the crude oil and refined petroleum product markets.
SPC was founded in 1969 with vital interests in the oil and gas exploration sector, which quickly began marketing oil and gas products. Today, SPC is a household name owning the third largest island-wide retail network of service stations in Singapore which provides downstream petrol for the everyday transportation used by people across Singapore. However, SPC has built a growing presence in the exploration and production (E&P) sector since 2000 and now has a significant portfolio of assets within the upstream oil and gas industry.
SPC’s diversification aimed to create and deliver sustainable future growth for the company utilising its expertise in the downstream markets and bringing this to the upstream sector. Within SPC’s portfolio, there are currently 9 assets in the Asia-Pacific region, 8 of which are Production Sharing Contracts (PSCs) and one exploration permit. Across its entire E&P portfolio, SPC’s operations span across Australia, Cambodia, China, Indonesia and Vietnam. This expansive role highlights its growing presence in the E&P sector within the Asia-Pacific Region.
In addition to this, SPC also has two gas pipelines across the region. The first is the West Natuna Transportation System spanning 654 kilometres from the West Natuna Sea to Singapore. This is the first cross-border sub-sea pipeline for SPC. The second pipeline transmits gas from Indonesia to Singapore across the 468-kilometre Grissik-Batam-Singapore Pipeline. The pipeline has significantly developed SPC’s gas development since 2003 when it first commenced operations as part of a 20-year contract between Singapore and Indonesia. This pipeline works alongside the Grissik-Duri pipeline project operated by PT Transportasi Gas Indonesia.
These pipelines make up part of the Trans-ASEAN Gas Pipelines (TAGP) network which has continued to be vital in strengthening the ASEAN (Association of Southeast Asian Nations) member countries’ role in maintaining and developing its role within the energy growth market across the Asia-Pacific region. With the continued development of its pipeline projects, SPC aims to strengthen its alliance across the region and establish itself as a key driver for energy development.
In addition to its E&P assets, SPC is still a key downstream fuel supplier to both domestic and commercial markets. Every day SPC supplies bulk automotive diesel oil, marine gas, gasoline, liquid petroleum gas, and asphalt/bitumen to the Singapore market. These fuels are used across the country primarily to power transportation and to supply power stations. However, their application can also be seen across the industrial, construction and manufacturing sectors for both plant and machinery operations. SPC also provides marine gas oil on an ex-wharf basis to barging companies, and on a delivered basis to offshore islands, and also provides asphalt/bitumen to the road building industry.
Currently, SPA is a reputable supplier of bunker fuel to international shipping companies at the Singapore port, and with jet fuel across several international airports in the Asia-Pacific. In fact, SPC has been selling and marketing fuel to the aviation industry in the Asia-Pacific region for more than 40 years. An airport that SPC serves is the Singapore Changi Airport, which is one of the world’s leading air hubs, and so SPC plays a key role in supplying top-quality aviation fuels at a competitive rate across the region. Outside of Singapore, SPC also serves jet fuel to more than 30 airlines across Taiwan, Thailand, and Cambodia which take advantage of SPC’s strategically located sales network that can serve international customers well with fuels that meet the necessary fuel specifications.
Across these, the company facilitates downstream petroleum and oil products that provide its customers with ready-to-use products highlighting its reputation and role in the everyday functioning of Singapore’s transportation and aviation industry. However, it also plays a vital role in the refining industry, which has further positioned SPC within the global downstream market. SPC holds a 50% interest in the Singapore Refining Company Private Limited (SRC) which has a capacity of 290,000 barrels of crude oil per day. The refined fuels produced by SRC are traded by SPC throughout its network on both a regional and international scale.
One of the key goals of SPC’s refining operations is to achieve long-term competitiveness. The company aims to achieve this through a range of strategic projects which aim to sustain SRC’s operations. A key project for SRC was the Gasoline Clean Fuels and Cogeneration Plant in 2017, which enhanced the refinery’s capability to produce higher-quality gasoline production whilst achieving energy self-sufficiency.
This focus on sustainability is fundamental to SPC’s operations. It believes that every business decision and operation should always positively contribute to the long-term well-being of the business and the community where SPC operates. These values are something that the company have continued to expand upon, and currently, it is working on implementing cleaner fuels and ensuring that it is caring for the community throughout its operations. With environmental, philanthropic and cultural causes behind its operations, SPC is establishing itself as a leading integrated oil and gas company that is committed to giving back to the environment and its communities to deliver multi-layer economic and social benefits.
Overall, SPC is a vital oil and gas company that is serving both the local and international markets with downstream markets. However, with increasing developments over the last 20 years towards its exploration and production division, the company now has a plethora of vital assets that are delivering significant oil and gas production across the entire Asia-Pacific region. With natural gas playing an increasingly vital role in the region’s energy mix, SPC is continuing to position its operations at the heart of the industry to be a leading integrated oil and gas company for the Asia-Pacific region.
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