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IS Shell’s training of 14 Sabahan welders a big deal? The headline of Daily Express on Sunday, 11 January 2026,  ‘Shell helps to train 90 Sabahan welders’ struck me.

The following parts of the press release should hit the brains of all Sabahan leaders:

[1] “Fourteen Sabahans received certificates after completing an industry-certified welding programme under Shell’s Projek LINK (Latihan Industri Kimpalan) at Kolej Vokasional Likas”

Is training 14 Sabahan youths in welding a big deal for Sabah in the context of Sabah Shell’s operation in Sabah?

It is obviously a big deal to Shell or it wants Sabahans to believe it is a big deal as its GM was raving about it when presenting the certificates to the 14 trainees. 

It further adds:

[2] “The SSPC has invested over RM700,000 in the programme since launching it in Sabah in 2019, producing 90 graduates trained to international welding standards such as ASME IX and AWS.”

Is it a big deal for Sabah that Shell has spent RM700,000 in training to produce 90 graduates in welding from 2019 to 2025? Shell’s has spent RM116.66 on average on this training each year. Should Sabahans be overjoyed in the context of Shell’s operation in Sabah?

[3] “I take great pride in SSPC’s strong partnership with KV Likas, which has been instrumental in creating employment opportunities, developing globally competitive talent, and driving economic growth within Sabah’s local communities.

Should Sabahans swallow every word of this statement from the Shell’s GM? How can the GM relate training Sabahan welders into “globally competitive talent, and driving economic growth within Sabah’s local communities”. The GM can explain as, if this can be achieved, is a miracle.

[4] “This collaboration also supports the Sabah state government’s vision for advancing human capital development in the oil and gas sector,” he said.

I request the Shell GM to justify his statement how providing RM116.66 for training of Sabahan welders can help the Sabahan Government to develop Sabahans in the oil and gas business.

What is the actuality of Sabahans in Shell’s senior management in the context of Shell’s operation in Sabah. Do Sabahans in Shell’s senior management reflect on the size of Shell’s operation in Sabah? If not, why?

[5] As a pioneer in Malaysia’s energy sector, SHELL Malaysia continues to invest in local talent development to support the country’s energy transition.

Can giving training to Sabahan welders be considered “talent development” or is it the training of welders just for Shell’swork force at the lowest level? Why would Shell want Sabahans to believe training Sabahan welders at RM116.66 per year is such a big deal? With due respect, this sort of training and amount are nothing to shout about. 

What is Shell getting out of Sabah’s resource in oil and gas?

The followings are some information of Shell’s operation from the public domain.

[1] Shell in Sabah, primarily operating through Sabah Shell Petroleum Company Limited (SSPC)** and Shell Energy Asia, has a long history in the state’s oil and gas sector. 

[2] Shell’s formal production sharing relationship in Sabah began on November 30, 1976, when the first Production Sharing Contract (PSC) was signed with Petronas.

Offshore production began shortly after, with the St. Joseph field coming on-stream in 1981 and the Barton field in 1982.

[3] The Gumusut-Kakap field (peak 135,000 barrels/day) and Malikai (peak 60,000 barrels/day) have been major contributors since 2014 and 2016 respectively.

LEGACY FIELDS: OLDER FIELDS LIKE ST. JOSEPH AND KINABALU (WHICH SHELL OPERATED UNTIL 2016) PRODUCED HUNDREDS OF MILLIONS OF BARRELS OVER DECADES.

TOTAL PRODUCTION CONTEXT: AS OF 2024–2025, SHELL-OPERATED ASSETS IN SABAH TYPICALLY ACCOUNT FOR ROUGHLY 20–25% OF MALAYSIA’S TOTAL DAILY CRUDE OIL PRODUCTION.

Yes! Shell has Gas Concessions too!

Shell has a significant gas presence via the Kebabangan Cluster (KBB). The Kebabangan Petroleum Operating Company (KPOC) is a joint venture where Shell holds a 30% interest. Shell is receiving substantial revenue from this cluster as it is vital for supplying gas to the Sabah Oil and Gas Terminal (SOGT) in Kimanis. 

How much has Shell pumped out of Sabah in oil and gas?

[1] Oil- as much as 2 billion barrels.

[2] While the focus is often on oil, the volume of natural gas Shell has extracted from Sabah is equally staggering. Based on current reserves and historical flow rates, a critical estimate suggests that Shell has been involved in extracting between 1.5 and 2.5 Trillion Standard Cubic Feet (Tscf) of natural gas from Sabah's waters since the 1970s.

To put that "trillion" into perspective: 1 Tscf is enough gas to power a city like Kota Kinabalu for over 100 years.

### Shell has benefited tens of billions from Sabah. 

### So Shell, please don’t glorify your peanut expenses on Sabahan welders.

Is Sabah getting a decent deal from its oil and gas resources from Shell? Is Shellbeing insensitive to Sabah?

[1] These are legitimate questions Sabahans must ask. Sabah is the biggest producer of oil while Sarawak is in gas. Shell has been and is still being a major beneficiary of Sabah’s oil and gas resources since 1976. The bottom line is: Is Shell insensitive to Sabah? I request Shell to answer the following questions:

[a] How many Sabahans are in Shell’s senior management? In middle management? In senior technical level? What are these positions? How many Sabahans are being groomed for senior positions?

[b] How much of Shell’s total procurements are from Sabah? How many Sabahan suppliers?

[c] How many Sabahan vendors does Shell have in its operation in Sabah?

[d] How much profits has Shell made since beginning of its operation in Sabah 1976?

[2] Shell was the anchor tenant of Plaza Shell (Menara Hap Seng) in Kota Kinabalu.

It moved into Shell Plaza with huge publicity on 13 November 2015, occupying 72,000 sq ft with 400 staff at the top 4 floors.

[a] Shell  has shrunk it office in Shell  Plaza very considerably even though its operation in Sabah has remained the same size. Most of the staff has been relocated to Miri. I believe it has only a skeleton staff. How many and what these staff are is for Shell  to inform Sabahans.

[3] Shell ’s relocating its staff to Miri has given Sabah a bad deal by ignoring Sabah’s interest. It has added salt to the wound in all the claims by its GM in the press. His words are hallowed.

[4] Shell  has ignored the Sabah Government’s plea not to reduce its office in Shell  Plaza even though Shell still operates or has interests in over 60 wells across various offshore blocks in Sabah. 

[5] What does it say about Shell to Sabahans that it has pumped and is still pumping huge volume of oil and gas out of Sabah and don’t bother to have a decent size office in Sabah. 

Does Shell contribute towards “Sabah for Sabahans”? If yes, where, and how, how much?

It is very common for global companies like Shell  to be insensitive to the aspirations of their host countries and contribute towards their efforts of nation building. What are Shell’s contributions towards “Sabah for Sabahans”?  Are Shell’s contributions meaningful?

I invite Shell to explain its position in Sabah.

All Sabahans must safeguard Sabah’s share of natural resources:

[1] Sabahans must ensure Sabah get decent, respectable returns from Companies like Shell which are extracting Sabah’s natural resources. Don’t accept small benefits like training a few welders.

[2] Sabahans must never allow companies extracting Sabah’s natural resources to leave a big mess for our future generations like the huge hole from copper mining in Ranau by a Japanese company.

[3] Sabahans must critically examine statements from companies like Shell , don’t swallow them wholesale. Don’t let these companies pull wool over our eyes. Their priority is profit.

[4] Sabahans must ensure that companies like SHELL give priorities in meaningful jobs, contracts, and procurements to Sabahans.

[5] Sabahans must ensure companies like SHELL provide value adds in their upstream and downstream operation for Sabah.

Sabahans must ensure there is technology transfer for Sabah.

The views expressed here are the views of the writer and do not necessarily reflect those of the Daily Express. If you have something to share, write to us at: Forum@dailyexpress.com.my