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Petronas Signs Deal with Sabah Energy to Supply Natural Gas for Steel Industry

by Krystal

PETRONAS, through Malaysia Petroleum Management (MPM), has signed an agreement with Sabah Energy Corporation Sdn Bhd (SEC) to supply an additional 104 million standard cubic feet per day (mmscfd) of natural gas. This move aims to support Sabah’s industrial and energy demands.

With this increase, the total natural gas supply to SEC has reached 370 mmscfd. Out of this, SEC will allocate 150 mmscfd to Esteel Enterprise Sabah Sdn Bhd to aid its steel production and transition toward greener, more sustainable operations.

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The agreement was witnessed by Sabah Chief Minister Datuk Seri Panglima Haji Hajiji Haji Noor. It underscores PETRONAS’ role in strengthening Sabah’s economic development and ensuring energy security for key sectors, including power generation and industrial manufacturing.

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PETRONAS was represented by Anuar Ismail, Senior General Manager of MPM’s Integrated Hydrocarbon Management, while SEC’s Chief Executive Officer, Datuk Adzmir Abdul Rahman, signed on behalf of the corporation.

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Senior Vice President of MPM, Datuk Ir. Bacho Pilong, emphasized PETRONAS’ dedication to delivering reliable energy solutions that drive Sabah’s growth and support sustainable energy practices.

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Chief Minister Datuk Seri Panglima Hajiji Noor highlighted the agreement as a crucial step toward Sabah’s long-term development. He stated that it would promote industrial expansion, enhance energy security, and create new economic opportunities. He also expressed optimism about further collaboration with PETRONAS to advance Sabah’s interests.

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