Petronas inks MOU with Petros to increase natural gas supply

Petroliam Nasional Bhd (Petronas) has inked a memorandum of understanding (MoU) with Petroleum Sarawak Bhd (Petros) to gradually increase natural gas supply to Sarawak to up to 1,200 million standard cubic feet per day (mmscf/d) by 2030.

Sarawak Chief Minister Tan Sri Abang Johari Tun Openg said the MoU would realise firm progress towards Sarawak Gas Roadmap (SGR), a 10-year plan designed for the full potential of the state’s abundant gas resources under the Sarawak Vision 2030.

“With the game-changing understanding we announced today of access to increased supply of 1,200 mmscf/d of gas by 2030 for domestic purposes, we are well placed to implement our SGR.

“This is a step-change achievement, a supply increase of 250 per cent from the current 450 mmscf/d, securing Sarawak resources for Sarawak progress,” he said at the signing ceremony here today.

On Dec 7, 2020, the state government and Petronas entered into a commercial settlement agreement (CSA) which envisage the formation and implementation of a comprehensive gas masterplan for Sarawak.

Through the CSA, Abang Johari said the state government is emphasising the case for greater participation of Sarawak contractors in the Malaysian oil and gas industry with a focus on oil and gas activities in Sarawak.

“Through the consultation framework, we are working to three key objectives with Petronas to benefit Sarawakian contractor community.

“This includes to capture a bigger share of higher value contracts, verify and prioritise bonafide Sarawak-based companies and accelerate Vendor Development Programme for Sarawakian companies,” he added. —BERNAMA