Petros commits to RM1b investment in Samalaju gas pipeline project

PETROLEUM Sarawak Bhd (Petros) has pledged an investment of RM1 billion in the Samalaju gas pipeline project in Bintulu.

Sarawak Chief Minister Tan Sri Abang Johari Tun Openg said the pipe materials for the project are being manufactured, with the installation of this offshore pipeline on track for completion by November 2025.

The gas pipeline is expected to enhance the supply of natural gas to energy-intensive industries, namely aluminium and ferroalloy smelting plants, in Samalaju Industrial Park.

In addition, the 70km pipeline is set to supply gas to the combined-cycle gas turbine power station in Bintulu, which is under construction.

“Looking ahead, Petros is making significant investments to fuel Sarawak’s energy future.

“This includes a RM100 million investment in the Gas-to-Bintulu project aimed at providing natural gas to Bintulu, alongside a RM1 billion commitment to the Samalaju pipeline project,” he reportedly said during Petros’ anniversary dinner last week.

Abang Johari said the company is improving statewide gas accessibility through four strategic hubs in Miri, Bintulu, Samalaju and Kuching, under its Sarawak Gas Roadmap initiative.

Meanwhile, over the weekend, it was also reported the Sarawak government has confirmed that discussions between Petros and Petroliam Nasional Bhd (Petronas) over the implementation of the single gas aggregator arrangement under the Distribution of Gas Ordinance (DGO) are still ongoing.

The State’s Utility and Telecommunications Minister Datuk Seri Julaihi Narawi said the discussion should be concluded as soon as possible.

“The Sarawak government reiterates that under DGO, Petros is appointed as the sole gas aggregator. There is no other gas aggregator in the state,” he said in a statement.

Julaihi said this in response to Petronas’ statement yesterday that the discussions between both parties regarding the proposed implementation of DGO are still ongoing. — TMR