The proposed LNG plant is planned to be built at the Sipitang oil and gas industrial park. Credit: マクフライ 腰抜/Pixabay.

Malaysian oil and gas firm Petronas and the state government of Sabah have launched a plan to develop the natural gas resources in the Malaysian state.

The Sabah gas plan was developed following a joint study between the state government and Petronas. It outlines three investment opportunities, with the first being the construction of a 2.0 million tonnes per annum (MTPA) LNG plant at the Sipitang oil and gas industrial park.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

The LNG facility is expected to provide opportunities to expand LNG distribution across Sabah.

The Sabah State Government will undertake a key role in gas marketing and distribution, with an aim to make 120MMscfd of gas available for the development of key industries.

The gas is will be supplied by the Sabah oil and gas terminal in Kimanis, and the Sabah gas terminal in Tuaran.

The third investment opportunity is a suite of petrochemical derivative options. This would allow Sabah to attract investors, depending on market requirements.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Sabah Chief Minister Datuk Seri Panglima Haji Hajiji Haji Noor said: “The State Government is continuing to develop the infrastructure related to the oil and gas requirements.

“We appreciate PETRONAS’ collaboration with us on the Sabah gas master plan, including efforts to spur an attractive and competitive investment ecosystem for investors.”

Petronas chairman Tan Sri Mohd Bakke Salleh said: “We believe the Sabah gas master plan, which bears strong testimony to this shared vision, will help shape the future landscape of Sabah for the mutual prosperity of the State and the nation. We look forward to building on the strong relationship with the State Government as a progressive energy and solutions partner to Sabah.”

The Sabah state government company Sabah Energy has signed agreements with Petronas for the supply of 70 MMscfd of natural gas.

Last month, the Sabah State Government and Petronas signed a commercial collaboration agreement to realise the full potential of the state’s oil and gas industry.

In the same month, Petronas awarded six offshore blocks under the Malaysia Bid Round (MBR) 2021 to explore and monetise hydrocarbon resource potentials in the country.