Teh Yee Cheu (DAP-Tanjung Bungah) said with the discovery of oil off northern Sumatra not far away, Penang could also have vast reserves.
Penang is planning to reclaim three islands south of Penang Island to fund its RM47 billion transport master plan, which includes transit lines, roads, highways and other modes of transport.
“Say, if vast areas of our sea have crude oil, what would be the state government’s strategy then?
“Maybe a detailed environmental impact assessment could be made to search for oil in Penang?
“Since there is oil off Aceh and northern Sumatra, we too might have great potential.
“Perhaps then we can consider shelving reclamation?” Teh said when debating the motion of thanks for the governor’s opening address yesterday.
An Indonesian research agency was reported to have found potential areas with oil off the west coast of Banda Aceh.
Indonesia’s State Agency for the Assessment and Application of Technology (BPPT) claimed some 107-320 billion barrels-equivalent of hydrocarbon reserves were found near the Simeulue Island. This was reported by Upstream, a global oil and gas news website in 2008.
The estimates beat net oil exporter Saudi Arabia, which had proven reserves of 264.21 billion barrels.
However, Aceh’s new oil find remains at an exploratory stage.
BPPT found the hydrocarbon resources during a 2-D survey of subsea geological changes caused by the 2004 Indian Ocean tsunami. The study was conducted together with Germany’s Federal Institute for Geosciences and Natural Resources.
There has been no further news of the oil reserves, however.