Petroliam Nasional Bhd (Petronas), Malaysia’s national oil and gas company is currently engaged in discussions with Petroleum Sarawak Bhd (Petros) regarding gas distribution in Sarawak. Petronas stated that these ongoing talks aim to align the interests of all involved parties while upholding existing contracts and ensuring commitments to investors and customers are met.
Earlier today, Sarawak Premier Tan Sri Abang Johari Openg mentioned that Petronas had unofficially communicated to state utility and telecommunications minister Datuk Seri Julaihi Narawi its agreement, in principle for Petros to become the sole gas aggregator for the state. Abang Johari noted that while this information was unofficial, an official letter from Petronas is expected soon and further discussions will be held to finalize the arrangements.
Previously, on July 28, Abang Johari announced that the state government had set a deadline of October 1 for Petronas to resolve the gas distribution issue with Petros. However, Petronas requested an extension to complete the negotiations, citing concerns over potential disruptions to gas distribution for LNG plants in Bintulu. The state government agreed to grant a three-month extension, pushing the deadline to October 1.
On September 24, a joint statement from the state government, Petros and Petronas indicated that the discussions regarding gas distribution in Sarawak would be concluded shortly. As the parties work towards finalizing the terms, the focus remains on ensuring a smooth transition and maintaining operational stability for gas distribution in the region. The outcome of these discussions will be crucial for both the state and its gas industry stakeholders.
