KUALA LUMPUR: Petroliam Nasional Bhd’s (Petronas) plan to procure liquefied natural gas (LNG) from the United States is a commercial move to ensure supply stability.
It is also to meet both domestic and international commitments, said Investment, Trade and Industry Ministry.
The ministry explained that Petronas’ long-term contractual obligations currently exceed its production capacity.
“Procuring LNG from other producing countries, including the US, enables the company to optimise supply management and maintain stable deliveries to customers.
“These agreements are commercially negotiated, with Petronas selling LNG at competitive international market prices to ensure profitability and deliver value to the nation,” the ministry said in its Frequently Asked Questions document on the agreement today.
It added that the procurement does not indicate dependence on the US but reflects a strategic diversification of supply sources, strengthening Petronas’ global portfolio and maintaining its position as a competitive energy leader.
ART To Reinforce Development Agenda
The ministry said the agreement on reciprocal trade (ART) with the US complements Malaysia’s long-term development goals by supporting sustainable economic growth and expanding export opportunities for local businesses.
The agreement aligns with the 13th Malaysia Plan and the New Industrial Master Plan 2030, particularly in accelerating industrial transformation towards a modern, digital and environmentally sustainable economy.
“In line with the Madani Economy principles, the ART ensures that economic growth translates into public benefit through quality jobs, higher incomes and by reinforcing Malaysia’s position as a trusted global trading partner,” it said.
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