Latest news with #TengkuMuhammadTaufik
Daily Express
17-07-2025
- Business
- Daily Express
Sabah gets 25pc stake in Floating Liquefied Natural Gas
Published on: Friday, July 18, 2025 Published on: Fri, Jul 18, 2025 Text Size: Hajiji and Tengku Muhammad Taufik witness the document exchange between Petronas LNG and SMJ Energy during the signing ceremony at MPC. Kuala Lumpur: The Sabah Government, through SMJ Energy (SMJE), will acquire a 25 per cent stake in the USD3.1 billion Floating Liquefied Natural Gas (ZLNG) facility in Sipitang, following the signing of the Head of Agreement (HOA) with Petronas at the Malaysia Petroleum Club (MPC), here, Wednesday. 'This partnership marks another significant milestone to ensure Sabah's long-term development goals, promoting industrial growth and energy security and creating new opportunities to drive Sabah's progress. Advertisement 'Through strategic investments like ZLNG, we will strengthen the state's economic resilience while ensuring that the benefits of Sabah's natural resources directly contribute to the well-being of our people,' said Chief Minister Datuk Seri Hajiji Noor, who witnessed the signing. The ZLNG facility, with a capacity of 2 million tonnes per annum (MTPA), represents a significant addition to Malaysia's LNG landscape. Positioned nearshore in Sipitang, the facility is currently under construction and is expected to commence operations in the second half of 2027. This project complements Sabah's growing LNG footprint, alongside two other floating LNG facilities, PFLNG1 (1.2 MTPA) and PFLNG2 (1.5 MTPA), currently operating in Sabah waters. The State Government also announced its intention to acquire a 40 per cent participating interest in PFLNG1 through SMJ Energy, with due diligence scheduled to begin in the second half of 2025. Since signing the Commercial Collaboration Agreement (CCA) with Petronas in December 2021, SMJ Energy has experienced rapid growth. The company now holds 50 per cent equity in the Samarang PSC oil production asset, 10 per cent equity in LNG9, 25 per cent equity in the Samur petrochemical complex and full ownership of Sabah International Petroleum (SIP) which operates both FPSO and FSO assets. In exploration, SMJ Energy also holds free carry and back-in rights in the following blocks SB409 (20%), SB403 (20%), SB306A (15%) and SB306B (15%). 'We are a prudent financial investor with a disciplined approach to portfolio building. 'Our entry into ZLNG is part of our strategic plan to further diversify and strengthen our position in the upstream, LNG, and petrochemical sectors. 'This opportunity aligns with our mandate to generate long-term, stable cash flows from high-quality, cash-generating assets,' said SMJ Energy Chief Executive Officer Datuk Dr Dionysia Kibat. Sabah's downstream ambitions are also advancing rapidly. Sabah Energy Corporation (SEC), the state's gas aggregator and distributor, plays a key role in ensuring a stable domestic gas supply for local industries. Among its landmark projects is the supply of gas to E-Steel's RM31 billion green steel plant at the Sipitang Oil and Gas Industrial Park (Sogip), a key investment supporting Sabah's push for industrial diversification. Also present were State Finance Minister & Chairman of SMJE Datuk Seri Masidi Manjun, State Secretary Datuk Seri Safar Untong and State Attorney General (AG) Datuk Brenndon Soh. * Follow us on our official WhatsApp channel and Telegram for breaking news alerts and key updates! * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available. Stay up-to-date by following Daily Express's Telegram channel. Daily Express Malaysia
The Star
17-07-2025
- Business
- The Star
Sabah to acquire 25% equity in PETRONAS ZLNG facility
The HoA was signed by SMJ Energy CEO Datuk Dr. Dionysia Aloysius Kibat (second from right) and PLSB CEO Shamsairi M Ibrahim (fifth from right), in the presence of Sabah Chief Minister Chief Minister Datuk Seri Hajiji Noor (third from right) and PETRONAS President and Group CEO Tan Sri Tengku Muhammad Taufik (fourth from right). KOTA KINABALU: The Sabah government, through SMJ Energy Sdn Bhd has signed a head of agreement (HoA) with Petronas LNG Sdn Bhd to acquire 25 per cent equity stake in the US$3.1 billion (RM13.17 billion) nearshore floating liquefied natural gas (ZLNG) facility in Sipitang. The ZLNG, currently under construction, is expected to commence operations in the second half of 2027. Chief Minister Datuk Seri Hajiji Noor said the partnership marks another significant milestone in advancing Sabah's long-term development goals, which include promoting industrial growth, enhancing energy security, and creating new opportunities to drive the state's progress. "Through strategic investments such as ZLNG, we will strengthen the state's economic resilience while ensuring that the benefits of Sabah's natural resources directly contribute to the well-being of our people,' he said in a statement today. Hajiji and Petroliam Nasional Bhd (Petronas) group president and chief executive officer Tan Sri Tengku Muhammad Taufik witnessed the signing of the HoA at the Malaysia Petroleum Club today. The Chief Minister noted that the ZLNG facility with a capacity of two million tonnes per annum (MPTA), represents a significant addition to Malaysia's LNG landscape. He said the project complements Sabah's growing LNG footprint, alongside two other floating LNG facilities - PFLNG1 (1.2 MTPA) and PFLNG2 (1.5 MTPA) - currently operating in Sabah waters. The state government also announced its intention to acquire a 40 per cent participating interest in PFLNG1 through SMJ Energy, with due diligence scheduled to begin in the second half of 2025. He said SMJ Energy's growth trajectory since the signing of the commercial collaboration agreement (CCA) with Petronas in December 2021 has been rapid. The company now holds 50 per cent equity stake in the Samarang production sharing contract (PSC) oil production asset, 10 per cent equity in LNG9, 25 per cent equity in the Sabah Ammonia Urea (SAMUR) petrochemical complex, and full ownership of Sabah International Petroleum (SIP), which operates both Floating Production Storage and Offloading (FPSO) and floating storage and offloading (FSO) assets. SMJ Energy also holds free carry and back-in rights in exploration blocks SB409 (20 per cent), SB403 (20 per cent), SB306A (15 per cent) and SB306B (15 per cent). Meanwhile, SMJ Energy chief executive officer Datuk Dr Dionysia Kibat said: "We are a prudent financial investor with a disciplined approach to portfolio building. Our entry into ZLNG is part of our strategic plan to further diversity and strengthen our position in the upstream, LNG, and petrochemical sectors. "This opportunity aligns with our mandate to generate a long-term, stable cash flows from high-quality, cash-generating assets,' she said. Sabah's downstream ambitions are also advancing rapidly. Sabah Energy Corporation (SEC), the state's gas aggregator and distributor, plays a crucial role in ensuring a stable domestic gas supply for Sabah's industries. One of the landmark projects involves supplying gas to E-Steel's RM31 billion green steel plant at the Sipitang Oil and Gas Industrial Park (SOGIP), a key investment supporting Sabah's move toward industrial diversification. - Bernama
Daily Express
17-07-2025
- Business
- Daily Express
Sabah to acquire 25pc stake in USD3.1b LNG project
Published on: Thursday, July 17, 2025 Published on: Thu, Jul 17, 2025 Text Size: Hajiji with Petronas President and Group Chief Executive Officer Tan Sri Tengku Muhammad Taufik, witnessing the signing of the HOA between Petronas LNG Sdn Bhd, represented by Vice President of LNG Marketing and Trading – Gas and Maritime, Shamsair Mohd Ibrahim, and Dionysia. – Pic by CMD Kuala Lumpur: The Sabah Government, through SMJ Energy (SMJE), will acquire a 25 per cent equity in the USD3.1 billion nearshore floating liquefied natural gas (ZLNG) facility in Sipitang following the signing of a Head of Agreement (HOA) with Petronas. Chief Minister Datuk Seri Hajiji Noor, who witnessed the signing at the Malaysia Petroleum Club, said the deal supports Sabah's long-term development goals and ensures the State's resources benefit its people. Advertisement ZLNG, currently under construction and due to begin operations in the second half of 2027, will have a processing capacity of 2 million tonnes per annum. The facility will add to Sabah's LNG portfolio alongside PFLNG1 and PFLNG2, which are already operating in the State's waters. Sabah also aims to acquire a 40 per cent stake in PFLNG1, with due diligence expected to begin in the second half of 2025. Since inking a Commercial Collaboration Agreement with Petronas in 2021, SMJ Energy has expanded rapidly, holding stakes in several key oil, gas, and petrochemical assets. SMJE CEO Datuk Dionysia Kibat said the company's entry into ZLNG is part of its plan to secure long-term, stable returns from quality energy investments. * Follow us on our official WhatsApp channel and Telegram for breaking news alerts and key updates! * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available. Stay up-to-date by following Daily Express's Telegram channel. Daily Express Malaysia
The Star
19-06-2025
- Business
- The Star
PETRONAS should adapt to new energy transition demands amid economic and geopolitical uncertainties
Petroliam Nasional Bhd (PETRONAS) president and group chief executive officer (CEO) Tan Sri Tengku Muhammad Taufik Tengku Aziz speaking at Energy Asia 2025 KUALA LUMPUR: Petroliam Nasional Bhd (PETRONAS) must face new demands in the energy transition era to remain relevant amid current economic uncertainties and geopolitical tensions. Its president and group chief executive officer, Tan Sri Tengku Muhammad Taufik Tengku Aziz, said that in the short term, hydrocarbon production must be cleaner and lower in carbon intensity to reduce greenhouse gas emissions, in addition to addressing methane leaks according to standards. "Firstly, gold certification for oil and gas methane partnership (OGMP) 2.0 is a must. Secondly, we will avoid flaring or routine venting of gas, and so far, more than 20 of our assets have tackled this by practising zero routine flaring. "In the medium to long term, offerings such as carbon capture and storage (CCS) and specialty chemicals should be accelerated as soon as possible, and I believe this requires the right platform, and investments need to be made,' he told Bernama TV in an exclusive interview during the Energy Asia 2025 conference here yesterday. Tengku Muhammad Taufik highlighted that the national oil and gas company must undergo a transformation, where it is no longer optional but a necessity to prepare for a low-carbon energy system. "In the past, we were production-oriented; we produced, and people would buy. Now, we need to understand more; we will only produce what people are willing to buy. "Willing to buy in terms of capability and needs, so if it is just to supply energy in the form of liquefied natural gas (LNG) to traditional markets like Japan, perhaps now it is not enough,' he said. Tengku Muhammad Taufik said PETRONAS is focusing on high-value assets and implementing strategic portfolio optimisation, including increasing or reducing holdings to optimise capital allocation, improve returns, and strengthen focus to support sustainable growth. "Like any other energy player in the sector, optimising the portfolio is a mandatory activity and will always be practised. "If this implementation requires us to sell assets with possibly higher carbon emissions and replace them with new assets that can extend the production life from the upstream sector, we will do that,' he said. For the downstream sector, Tengku Muhammad Taufik said that if the divestment of assets causes margins to be affected, PETRONAS will replace them with assets that have more stable margins and are less exposed to uncertainties. "This is where entities like Gentari come in, profits might be less, but it is less exposed to uncertainties,' he said. Gentari is a clean energy solutions company, wholly owned by PETRONAS. - Bernama
Barnama
19-06-2025
- Business
- Barnama
Petronas Should Adapt To New Energy Transition Demands Amid Economic And Geopolitical Uncertainties
BUSINESS By Kamarul Ariffin Md Yasin & Siti Nurhana Shafirah Mat Nazir KUALA LUMPUR, June 19 (Bernama) -- Petroliam Nasional Bhd (Petronas) must face new demands in the energy transition era to remain relevant amid current economic uncertainties and geopolitical tensions. Its president and group chief executive officer, Tan Sri Tengku Muhammad Taufik Tengku Aziz, said that in the short term, hydrocarbon production must be cleaner and lower in carbon intensity to reduce greenhouse gas emissions, in addition to addressing methane leaks according to standards. 'Firstly, gold certification for oil and gas methane partnership (OGMP) 2.0 is a must. Secondly, we will avoid flaring or routine venting of gas, and so far, more than 20 of our assets have tackled this by practising zero routine flaring. 'In the medium to long term, offerings such as carbon capture and storage (CCS) and specialty chemicals should be accelerated as soon as possible, and I believe this requires the right platform, and investments need to be made,' he told Bernama TV in an exclusive interview during the Energy Asia 2025 conference here yesterday. Tengku Muhammad Taufik highlighted that the national oil and gas company must undergo a transformation, where it is no longer optional but a necessity to prepare for a low-carbon energy system. 'In the past, we were production-oriented; we produced, and people would buy. Now, we need to understand more; we will only produce what people are willing to buy. 'Willing to buy in terms of capability and needs, so if it is just to supply energy in the form of liquefied natural gas (LNG) to traditional markets like Japan, perhaps now it is not enough,' he said. Tengku Muhammad Taufik said Petronas is focusing on high-value assets and implementing strategic portfolio optimisation, including increasing or reducing holdings to optimise capital allocation, improve returns, and strengthen focus to support sustainable growth.
