PETRONAS, through its wholly owned subsidiary, PETRONAS Carigali Sdn Bhd, has entered into several agreements involving selected producing upstream assets in Peninsular Malaysia and Sarawak, reinforcing its commitment to sustaining long-term value creation for Malaysia by further leveraging on a partnership-led approach. The agreements form part of PETRONAS’ broader portfolio optimisation efforts to develop upstream assets responsibly and sustainably, in support of Malaysia’s long-term energy security and industry development.

As part of this approach, EnQuest Petroleum Production Malaysia Ltd is to assume operatorship and participating interests (PI) in the Balingian PSC, SK8 PSC and D35 PSC, while also participating as a non-operating partner in the PM6/12 PSC. The company is envisaged to leverage its Group’s integrated technical capabilities and experience in managing brownfield and late-life assets to support the continued operations and redevelopment of these producing assets.

A key component of one of these agreements is the participation of Terengganu’s TI Exploration & Production Sdn. Bhd. (TI EP), which will hold a non-operated PI in the PM6/12 PSC. The participation reflects PETRONAS’ continued efforts to facilitate state involvement in Malaysia’s upstream industry, enabling state-linked entities to build capabilities and participate meaningfully in the development of the nation’s petroleum resources. TI EP is a joint venture company between TI Petroleum Sdn. Bhd., a wholly owned subsidiary of Terengganu Inc., the state-owned strategic investment arm and Ping Petroleum Limited, an independent upstream company focused in the niche area of late-life oil and gas assets, particularly in brownfield redevelopment of producing fields in the North Sea of the United Kingdom.

These strategic partnerships bring together complementary strengths to support the continued and efficient operations of these upstream assets, while facilitating operational learning, technical exchange and capability enhancement within Malaysia’s upstream sector, ensuring continued stewardship of Malaysia’s petroleum resources under the Petroleum Arrangement framework. By combining PETRONAS’ deep understanding of the domestic resource base with the specialised expertise of its partners, the arrangements are expected to support sustained production, maximise resource recovery and strengthen the resilience of Malaysia’s upstream ecosystem.

Mohd Jukris Abdul Wahab, Chief Operating Officer and Executive Vice President & CEO of Upstream PETRONAS, said the partnerships reflect PETRONAS’ responsibility to steward the nation’s resources responsibly while ensuring continued value creation for the country and its stakeholders.

“As these assets mature, it is important that they continue to be supported by the right partnerships to sustain value creation responsibly and over the long term. This includes creating opportunities for state participation, while bringing in partners with complementary capabilities and relevant operating experience. This approach will position us to attract continued investment, strengthen industry capabilities, and support Malaysia’s energy security, while ensuring these assets continue to deliver value for the nation.”

PETRONAS remains committed to advancing Malaysia’s energy interests responsibly, while continuing to foster collaboration across federal and state stakeholders, industry partners, and the broader upstream ecosystem.