Since 1964, BP Malaysia has been helping to fuel Malaysias amazing economic transformation. Four decades and $1.

5 billion later, they have a thriving lubricants business, solar energy distributors and four major chemicals plants with over 750 employees. BPs main activities are exploration and production of crude oil and natural gas; refining, marketing, supply and transportation; and manufacturing and marketing of petrochemicals. It also has a growing activity in gas and power, and in solar power generation. Castrol, BP and Duckhams brands lubricants are a familiar sight on forecourts across the country, with a 32% share of the market. All three brands are produced and blended at our production facility in Port Klang. BP have a purified terephthalic acid (PTA) plant near Kuantan, and BP co-own an acetic acid plant at Kerteh on the peninsulas east coast. The acetic acid is mainly exported to other Far East countries for use in plastics, but some is fed back to Kuantan, where its a vital ingredient in our PTA production process. Despite the divestments, BPs investment in Malaysia still totals $0.5 billion employing around 500 staff. This includes a wholly owned purified terephthalic acid (PTA) near Kuantan, and an acetic acid joint venture with Petronas at Kerteh on the peninsulas east coast. BP also has a thriving lubricants business, with three distinct marketing brands and a production facility at Port Klang, near Kuala Lumpur. Despite closing a solar production plant, BP will continue to market photovoltaic cells in Malaysia. And while the Helios brand is set to disappear from retail sites, BPs presence in the communities where it operates will remain strong. BPs international reputation and licence to operate relies on responsible operations, and local efforts play an important part in cultivating that reputation. BP is keenly aware of its role supporting the community, and has cultivated strong relationships in the areas surrounding its operations. Also, the majority of the workers at the chemical plants are local. Only three expatriates now work at the acetic acid and PTA plants. Recent initiatives included re-painting the Kuantan zoo and the annual beach clean up operation at the Madaerah turtle sanctuary. BPPA also sponsors a school in Meraga Beris, near the acetic acid plant. In 2002, Petronas decided to assign local schools to the various companies operating

along the Kerteh petrochemical corridor. BPPA adopted the Sekolah Kebangsaan primary school, where it is now working to provide inclusive education for the community. As well as regular students, the school provides facilities for children with special needs and those with Downs Syndrome. To cater for their needs, BP has sponsored the development of special toilets and home economics facilities in one of the schools teaching blocks. Those relationships involve the supply of feedstocks, utilities, storage and movement of product, and also a shared commitment to health, safety, security and the environment (HSSE). The BPPA plant has won a host of HSSE awards over the last few years, including the Prime Ministers Hibiscus award for exceptional achievement and an overall national Responsible Care Programme winners award from the Chemical Industries Council of Malaysia. The plants response is a cost cutting initiative called closing the gap. The aim is to optimize operations, maintenance and shipping by 2007 to save more than $10 million a year. Efforts to reduce greenhouse gas emissions at the plant also play a vital role in reducing costs. BP has been in Malaysia for 40 years and its investments have earned us recognition as one of Malaysia's largest British investors. BP will continue to grow its other businesses in Malaysia,' adds Wentworth. Under his stewardship, BP has taken an active role in environment issues in Malaysia. BP Petronas Acetyls (BPPA) is a key partner and sponsor of the Ma'Daerah turtle sanctuary, near the Kerteh acetic acid plant. Equipped with a hatchery, the centre has been used as a focal point for turtle education and awareness. Wentworth is also chairman of the Biodiversity Steering Group, a unique partnership comprising stakeholders from the Government, NGOs and academia. The steering group's vision is `to have a base of conservation management professionals in Malaysia'. BP also sponsors local schools near operating sites and has embarked on a partnership with the centre for environment, technology and development, Malaysia (CETDEM) to tackle climate change. Wentworth has also played a key role in getting BP to team up with a consulting company to come up with a corporate governance guidebook for Malaysian company directors.

BP is also moving in tandem with Malaysia's ambitions of becoming a hub for shared services. For the last few years, it has been growing its own shared services capabilities at its Kuala Lumpur offices. Presently, a few hundred staff at BP's headquarters in Menara Maxis, Kuala Lumpur, carry out accounting related functions for BP operations in the region. BP is likely to expand into other shared services such as human resource functions. BP in Malaysia is also the emergency response centre for the region. It has managed the response to the SARS outbreak and the Asian tsunami disaster for the BP Group. BP's Malaysian office has also been instrumental in creating business continuity plans to be employed elsewhere in the BP world based on examples provided from Kuala Lumpur. BP has joined WWF-M and the Department of Fisheries to sponsor and help run two turtle sanctuaries: one at Madaerah near the BPPA plant in Kerteh and another at Cherating, near the Kuantan PTA plant Wentworth is clear about what BP brings to mix. BP, WWF-M and Fisheries staff host regular camps at the sanctuary, teaching children about the problems turtles face and what the sanctuary is doing about it. The children are urged not to eat turtle eggs, a message which sanctuary staff hope will be passed on to their parents. BP has chosen to take a global lead on climate change, reducing its greenhouse gas (ghg) emissions ahead of targets and taking an active role in the global debate. In Malaysia, this attitude is no different and BP has struck up a relationship with the Centre for Environment, Technology and Development, Malaysia (CETDEM) on the project mobilizing Malaysians on climate change. A primary goal under the partnership is to tackle BPs own greenhouse gas emissions. Guided by CETDEM, both the acetic acid and PTA chemicals plants have launched efficiency programmes with a simple goal: to reduce carbon dioxide emissions and costs by increasing efficiency. BP Malaysia works in partnership with the Centre of Environment, Technology and Development Malaysia, on their Climate Change initiative. This makes us the first private company as well as the first business unit within the BP group to enter into such a partnership with the objective of taking positive action to address the issue of climate change.

Biodiversity is now a dominant theme in the global conservation movement. In early 2000 BP initiated a unique partnership which would impress upon Malaysians the importance of managing and conserving our biodiversity. Key biodiversity players from the government, universities and NGOs were invited to form a Steering Group. The partnership is confident that the programme will contribute to capacity building in biodiversity in line with the country's emphasis on sustainable development. For years now, BP have been helping the a primary school in Terengganu, which offers places to special needs children and those with Downs Syndrome. BP have just sponsored the installation of modified toilets and home economics classrooms. When the Asian tsunami struck at the end of 2004, it was a tough time for the whole country. BPs Kuala Lumpur Regional Crisis Centre was at the forefront of the relief effort. One of the things we did was charter a C-130 Hercules aircraft. BP co-ordinated 32 relief flights and delivered over 350 tonnes of critical supplies to the devastated province of Aceh. Development for industry and tourism has claimed large sections of the coastline, the bright lights and noise deterring turtles from landing and laying their eggs. And pressures on the fishing economy mean bigger nets, and more chance of accidentally snaring turtles. BP have joined forces with WWF Malaysia and the Department of Fisheries to support two turtle sanctuaries. We run regular camps to educate the public towards sustainable and responsible actions and most importantly educating the future generation about providing a safe and suitable haven for turtle conservation. The sanctuaries also provide an avenue for research, understanding and therefore preserving the survival of the endangered species. The sanctuaries are a long term commitment by BP to ensure the sustainable conservation of turtles.

Because of work like this, BP have received a number of Health Safety, Security and the Environment (HSSE) awards. These included the Prime Ministers Hibiscus award for exceptional achievement, and a Responsible Care Programme award from the Chemical Industries Council of Malaysia.

Biofuels have received a lot of negative press for their contributions to diminished food supplies and increasing food prices, and for causing deforestation in places like the Philippines and Brazil where it has become increasingly profitable to plant biofuel stock like sugar cane and palm. However, BP sees biofuels as a significant part of its energy portfolio for the next two decades, until better alternative energy sources are perfected. BP became the single largest foreign stockholder in a Brazilian bioethanol company when it purchased a 50 percent stake in Tropical Energia S.A. The companys facility in Gois state, Brazil,has a capacity of 115 million gallons of sugarcane bioethanol. BP has also been working with Dupont to develop biobutanol, a biofuel with higher energy content than bioethanol. BPs push in the alternative energy sector prompted the creation of a special purpose entity (SPE) with Verenium Corporation, a leader in the development of cellulosic ethanol, a fuel that is still in its infancy but that many hope can be the future of biofuels. Both partners hope to speed the development of cellulosic ethanol, and to one day make it commercially viable. Cellulosic ethanol is a renewable fuel produced from grasses and nonedible plant parts, such as sugarcane waste, rice straw, switchgrass, and wood chips. Although at this point it is much more difficult and energyintensive to produce than corn or sugarcane ethanol, many believe that, as the technology improves, cellulosic ethanol will provide such benefits as greater peracre yields and lower environmental impact. Another potential benefit is that cellulosic ethanol will not affect commodity or food prices, since it uses only waste products. If all goes as planned, this venture will help stimulate the development, production, and consumption of cellulosic ethanol over other types of liquid fuels. In 2009, BP announced that it would extend its partnership with Verenium to develop the worlds largest facility.