Latest news with #GasMalaysiaBhd
The Star
6 days ago
- Business
- The Star
Gas Malaysia's bottom line outlook largely intact
Affin Hwang Research anticipates the group to report lower core net profit of RM391mil for 2025. PETALING JAYA: Affin Hwang Investment Bank Research projects Gas Malaysia Bhd 's 2025 earnings to decline by 11% on lower gas prices and compression in gas shipping margins, but notes that its earnings outlook is largely intact. 'We anticipate the group to report lower core net profit of RM391mil for 2025 due to lower profit margin from Gas Malaysia Energy and Services under the new gas shipping agreements and declining natural gas selling prices, tracking weaker global crude oil prices and the strengthening of ringgit to US dollar,' it said. The research house said the lower natural gas prices are tracking weaker global crude oil prices as the global oil market is likely to enter an oversupply phase this year and next, assuming no major disruptions to oil supply. It explained that lower oil prices will be driven by the Organisation of the Petroleum Exporting Countries and allies acceleration in unwinding its voluntary supply cut program, coupled with slowing demand growth from China. 'Global demand growth will continue to be led by Asia Pacific, particularly India, while demand in other regions is expected to remain relatively flat,' Affin Hwang Research added. It forecasts 2025 and 2026 Brent crude oil prices to be at US$70 per barrel and US$65 per barrel, respectively, implying a 13% and 19% decline from 2024 average Brent crude price of US$80 per barrel. However, it believes higher natural gas sales volume, driven by market share gains, should help cushion the impact. That said, the research house likes Gas Malaysia's prospects as it is developing a new regasification terminal. However, it believes it is premature to incorporate earnings contribution or potential valuation uplift from such a project, as the group has yet to finalise its plan and submit its proposal to the Energy Commission.
Borneo Post
04-07-2025
- Business
- Borneo Post
Minimal impact as Gas Malaysia resumes full supply after blast
Gas Malaysia's pipeline network is a natural gas distribution system designed to safely deliver natural gas to end users across multiple sectors. KUCHING (July 4): Gas Malaysia Bhd has confirmed that gas supply has fully resumed at the Shah Alam and Batu Tiga City Gate stations following the lifting of curtailment measures imposed after the transmission pipeline fire incident at Putra Heights, Subang Jaya. The group in a statement said gas supply has now returned to the quantities agreed under its Gas Supply Agreements with customers. It also stressed that it prioritises safety and continues to maintain strict operational standards to ensure gas infrastructure is developed responsibly. 'Gas Malaysia's pipeline network is a natural gas distribution system designed to safely deliver natural gas to end users across multiple sectors. 'Operating at lower pressures and on a smaller scale than transmission pipelines, these pipelines are typically laid within road reserve areas, ensuring both accessibility and full compliance with regulatory standards,' it said. Analysts at MIDF Amanah Investment Bank Bhd welcomed the development and said it would have minimal impact on Gas Malaysia's financial year 2025 (FY25) performance. They noted that the Department of Occupational Safety and Health (DOSH) had completed its investigation into the incident and attributed the gas leak to poor soil stabilisation. 'While no impacted amount was disclosed, we opine that it will be less than 1 per cent of its average yearly earnings with less than 2 per cent average yearly volume affected. 'This is due to the additional gas supply obtained during the investigation period and the steps taken ahead of a complete disruption for GMB's customers,' it said in a note on Wednesday. Nevertheless, the repair and upgrade for the damaged pipeline will be largely under Petronas's jurisdiction, it added. The research house said that resumption of supply reflects Gas Malaysia's efforts to protect customer interests and stakeholder confidence. It also expects higher average selling prices in the second half of FY25 due to the recent rise in Brent crude oil prices and the resulting increase in the Malaysia Reference Price (MRP). Gas Malaysia also reminded the public to avoid any activities that could endanger its gas pipelines. This includes unauthorised excavation, open burning, and placing objects along pipeline routes. It said it has installed visible signboards and markers along its pipeline pathways to alert both the public and contractors. 2025 Putra Heights pipeline fire corporate news Gas Malaysia
The Star
26-06-2025
- Business
- The Star
Gas Malaysia and Levidian ink MoU to drive graphene production in Malaysia
SHAH ALAM: Gas Malaysia Bhd, a member of MMC Group, recently signed a Memorandum of Understanding (MoU) with leading British climate technology company Levidian to explore the deployment of the company's patented LOOP technology in Malaysia and the wider region. This strategic collaboration aligns with Gas Malaysia's long-term growth strategy and underscores its commitment to sustainability, innovation and delivering cleaner energy solutions. Levidian's LOOP decarbonisation device is a modular system that cracks methane to produce clean hydrogen and capture carbon in the form of high-quality graphene, a supermaterial with growing commercial relevance in industries such as automotive, batteries, paint and coatings, construction and advanced materials, to name a few. Under the terms of the MOU, both parties will collaborate on the deployment of a LOOP unit in Malaysia that will serve as a reference installation for further expansion toward broader regional commercialisation. Signing the MoU on behalf of Gas Malaysia was president and group chief executive officer Ahmad Hashimi Abdul Manap, accompanied by senior vice president (corporate strategy) Akbar Md Thayoob, as witness. Levidian was represented by its chief executive officer John Hartley, with commercial development director Ellie Galanis, as witness. Ahmad Hashimi said, 'We are pleased to partner with Levidian as it marks a significant step forward in our decarbonisation journey and pursuit of a sustainable future. 'By leveraging transformative technologies like LOOP, we aim to enhance the value of natural gas, diversify our revenue streams and reinforce our ESG agenda in support of Malaysia's energy transition.' He said, 'Our venture into high-quality graphene aligns well with the goals of Malaysia's New Industrial Master Plan (NIMP) 2030. 'Notably, graphene has been identified as one of four game-changing advanced materials under the National Advanced Materials Technology Roadmap 2021-2030, with the potential to transform the manufacturing sector. 'Building on Gas Malaysia's strong presence in supplying natural gas to industrial customers, we are committed to elevating our value-added offerings with the introduction of graphene application across multiple industrial sectors.' This strategic initiative is anchored on Gas Malaysia's GM32 Strategy, a 10-year roadmap aimed at strengthening its core business, exploring adjacencies along the gas value chain and diversifying into cleaner energy solutions. Hartley said, 'This MoU lays the foundation for an impactful collaboration, delivering both economic and environmental value through innovation. 'We are proud to partner with Gas Malaysia in bringing LOOP to South-East Asia, supporting both the region's decarbonisation goals and wider adoption of graphene as we continue on our journey to become one of the world's largest producers of high-quality, more sustainable graphene.' 'By aligning innovation with sustainability, we aspire to add value for our customers while contributing meaningfully to the nation's industrial transformation and low-carbon future,' Ahmad Hashimi added.
New Straits Times
25-06-2025
- Business
- New Straits Times
Gas Malaysia, UK's Levidian team up to drive graphene production here
KUALA LUMPUR: Gas Malaysia Bhd, a member of MMC Group, recently signed a pact with British climate technology company Levidian to explore the deployment of the latter's patented LOOP technology here and the wider region. Gas Malaysia said the collaboration aligns with its long-term growth strategy and underscores its commitment to sustainability, innovation and delivering cleaner energy solutions. Levidian's LOOP decarbonisation device is a modular system that cracks methane to produce clean hydrogen and capture carbon in the form of high-quality graphene. The latter is a supermaterial with growing commercial relevance in industries such as automotive, batteries, paint and coatings, construction and advanced materials. Both parties will collaborate on the deployment of a LOOP unit in Malaysia that will serve as a reference installation for further expansion toward broader regional commercialisation. Gas Malaysia president and group chief executive officer (CEO) Ahmad Hashimi Abdul Manap said the partnership marks a significant step forward in its decarbonisation journey and pursuit of a sustainable future. "By leveraging transformative technologies like LOOP, we aim to enhance the value of natural gas, diversify our revenue streams and reinforce our ESG agenda in support of Malaysia's energy transition," he said. He added that its venture into high-quality graphene aligns well with the goals of Malaysia's New Industrial Master Plan 2030. "Notably, graphene has been identified as one of four game-changing advanced materials under the National Advanced Materials Technology Roadmap 2021-2030, with the potential to transform the manufacturing sector." Levidian CEO John Hartley said partnership lays the foundation for an impactful collaboration, delivering both economic and environmental value through innovation. "We are proud to partner with Gas Malaysia in bringing LOOP to Southeast Asia, supporting both the region's decarbonisation goals and wider adoption of graphene as we continue on our journey to become one of the world's largest producers of high-quality, more sustainable graphene."
The Star
27-05-2025
- Business
- The Star
GAS MALAYSIA PIONEERS NATION'S NATURAL GAS DISTRIBUTION
AS MALAYSIA navigates an increasingly dynamic energy landscape, Gas Malaysia Bhd , a member of the MMC Group, continues to strengthen its position as an industry leader by providing clean, safe and cost- effective energy solutions to the nation. Marking its 33rd anniversary, the group reflects on a legacy of achievements and commitment towards nation-building. In an exclusive feature with TheStar, Gas Malaysia president and group chief executive officer Ahmad Hashimi Abdul Manap shared insights on Gas Malaysia's transformative journey, its role in Malaysia's socio-economic progress, safety focus and commitment towards operational excellence. Contributing towards nation-building Over three decades, Gas Malaysia has made significant contributions towards nation-building efforts by enhancing energy accessibility and reliability. With an extensive natural gas distribution system (NGDS) network spanning close to 3,000km across Peninsular Malaysia and with Gas Malaysia's industrial customers accounting for approximately 99% of the group's total gas sales volume, the group has played a central role in meeting the nation's growing energy needs. 'Natural gas is by far the cleanest and one of the most efficient fossil fuels,' said Ahmad Hashimi. 'As a clean fuel alternative, natural gas emits the least amount of carbon dioxide and other harmful emissions into the air when combusted, compared with oil, coal and diesel. 'We have encouraged many businesses to adopt this cleaner energy option. 'In the early days, we adopted proactive marketing strategies to tap into industrial gas demand. 'We targeted factories emitting black smoke and those were an indicator that they were not utilising natural gas. 'We would then visit those factories and introduce natural gas as a cleaner, more cost-effective energy solution,' he elaborated. Growth potential Malaysia's natural gas industry exhibits growth potential, fuelled by rising industrial demand. Gas Malaysia is well-positioned to seize new opportunities, backed by its extensive gas infrastructure and presence across Peninsular Malaysia. To remain agile and forward-looking amidst these industry shifts, and in conjunction with the group's 30th anniversary, Gas Malaysia undertook a strategic realignment exercise in 2022. This realignment aimed to strengthen the group's organisational foundation and long-term competitiveness. As part of this initiative, Gas Malaysia introduced a new statement of purpose and mission statement and embraced a set of core values such as Professionalism, Reliability, Integrity, Teamwork and Innovation. This transition was further reinforced in the following year with the launch of the GM32 Strategy. Designed to unlock new opportunities and drive business expansion, the GM32 Strategy reflects the group's commitment to achieving its long-term business aspirations and delivering greater value to stakeholders. 'We have in place a 10-year strategic business plan, known as the GM32 Strategy, which is focused on reinforcing Gas Malaysia's core business, exploring new opportunities along the gas value chain and diversifying into cleaner energy solutions. 'The National Energy Transition Roadmap (NETR) emphasised the critical role of natural gas as a transitional fuel. Aligned with this aspiration, we are committed to expanding our NGDS network by an additional 800km over the next five years. 'This initiative, with an estimated investment of about RM1.2bil to RM1.4bil, reflects our continued support for the government's agenda as outlined in the NETR,' Ahmad Hashimi elaborated. The group's focus on customer-centricity and operational excellence remains central to its business growth. Backed by a competent workforce coupled with the culture transformation programme driven by the GM32 Strategy, Gas Malaysia continues to deliver value and strengthen its position. The group is also exploring new ventures, supported by the government's recognition of natural gas as a cleaner, reliable energy source. Commitment towards safety and operational excellence 'Safety is at the core of Gas Malaysia's operational philosophy. The company adheres to stringent regulatory standards to ensure safe natural gas delivery to its wide range of customers,' Ahmad Hashimi stated. Building on this commitment, Gas Malaysia ensures that its pipelines are constructed using high-grade materials such as high-carbon steel, supported by special protective coatings and cathodic protection systems to prevent corrosion. These pipelines are installed underground at secure depths and integrated with strategically positioned valves to enable rapid isolation during emergencies. Most importantly, all aspects of pipeline construction and commissioning undergo rigorous evaluation and approval by the Energy Commission, ensuring full compliance with the highest levels of safety standards. Elaborating on the robust safety and maintenance framework, Ahmad Hashimi stated, 'The safety and maintenance framework reflects our proactive maintenance strategy encompassing daily patrols, scheduled inspections and a comprehensive preventive maintenance programme executed by dedicated teams stationed at our three regional offices and nine branch offices across Peninsular Malaysia. 'These operational efforts are further bolstered by our Operations Control Centre at our head office, which operates round-the-clock and utilises the Supervisory Control and Data Acquisition (Scada) system to facilitate real-time monitoring of pipeline pressure and early detection of potential leaks. 'An essential public safety measure is the integration of mercaptan, a distinctive odourant added to the gas, which allows for early leak detection through smell, thereby strengthening our ability to safeguard communities and prevent incidents.' Gas Malaysia also places strong emphasis on community engagement and awareness to enhance pipeline safety. Signage and markers are prominently displayed along gas pipeline routes to alert the public and contractors of the underground infrastructure. 'These initiatives are further reinforced through safety seminars and dialogues with contractors, utility companies and local authorities, aimed at fostering a collective culture of vigilance and safety as well as preventing potential pipeline damage. 'Further reinforcing our operational excellence, Gas Malaysia has consistently maintained a gas supply reliability rate of approximately 99%, establishing our steadfast commitment to quality service delivery,' Ahmad Hashimi explained. Public safety: a shared responsibility Gas Malaysia believes that public participation plays a crucial role in maintaining safety. The group urges members of the public to remain vigilant and report any suspicious activities or abnormalities near its gas pipeline infrastructure. Should such incidents be observed, the public is advised to immediately contact Gas Malaysia's 24-hour emergency hotline at 1800-88-9119. Driving forward with purpose 'At Gas Malaysia, we are accustomed to the evolving energy landscape and recognise natural gas as a key transition fuel under the NETR. 'Moving forward, we will remain committed towards stakeholder engagement and long-term value creation. With strong fundamentals and the support of all our stakeholders, we are well-positioned to sustain growth and meet the nation's energy needs in years to come,' Ahmad Hashimi concluded.
