Sabah acquires 25% equity in Petronas PFLNG 3, a US$3.1 billion floating LNG project set to begin operations in 2027
KOTA KINABALU: Sabah has formalised its 25% equity acquisition in PETRONAS PFLNG 3 Sdn Bhd, further strengthening collaboration between the state and the national oil company.
Chief Minister Datuk Seri Hajiji Noor said the acquisition was carried out through SMJ Energy Sdn Bhd and PETRONAS LNG Sdn Bhd, a subsidiary of PETRONAS.
He stated that this move not only reinforces the synergy between PETRONAS and Sabah but also opens avenues for similar partnerships in the future.
Hajiji confirmed that PETRONAS PFLNG 3 is developing a US$3.1 billion nearshore floating liquefied natural gas facility at the Sipitang Oil and Gas Industrial Park.
The facility is scheduled to begin operations in the second half of 2027 with a production capacity of two million tonnes per annum.
The formalisation follows the signing of a Heads of Agreement for the proposed acquisition witnessed by the Chief Minister and PETRONAS President in Kuala Lumpur on July 17 this year.
Hajiji noted that this strategic investment adds to SMJ Energy’s expanding portfolio, which currently includes a 50% participation interest in the Samarang Production Sharing Contract.
SMJ Energy also holds a 10% equity in PETRONAS LNG 9 Sdn Bhd and a 25% equity in PETRONAS Chemicals Fertiliser Sabah Sdn Bhd.
The company maintains full ownership of Sabah International Petroleum Sdn Bhd, which operates assets including floating production storage and offloading and floating storage and offloading vessels. – Bernama
