Brunei Shell Petroleum

4°36′23″N 114°17′31″E / 4.6062520°N 114.2918973°E / 4.6062520; 114.2918973

Brunei Shell Petroleum (BSP) is a joint venture between the Royal Dutch/Shell Group and government of Brunei, primarily responsible for the exploration and production of oil and liquefied natural gas (LNG). Originally known as the British Malayan Petroleum Company (BMPC), it was established in 1922. BSP is crucial to Brunei's economy and political landscape, particularly regarding oil development and resource management. Its establishment and growth were closely tied to the Sultan of Brunei's decisions, as BSP provided essential insights into oil discoveries that influenced the Sultan's stance on joining Malaysia, thereby shaping the country's economic and political independence. Due to a lack of personnel, Brunei does not want to create a state oil corporation; nevertheless, the government does intend to raise its stake in BSP and solidify its influence over the energy industry.

The Petroleum Unit, a division of the Prime Minister's Office, plays a crucial role in formulating policies for production, conservation, and pricing, while also overseeing Brunei Shell companies through board participation. In early 1993, a new government body, the Brunei Oil and Gas Authority, was created, headed by the Minister of Finance and Economy. This organisation is expected to assume some responsibilities from the Petroleum Unit, including determining output levels and granting concession rights.