Abang Johari expects more Sarawak, Petronas collaborations - MIDA | Malaysian Investment Development Authority
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Abang Johari expects more Sarawak, Petronas collaborations

Abang Johari expects more Sarawak, Petronas collaborations

22 Aug 2022

Sarawak Premier Tan Sri Abang Johari Tun Openg foresees more collaborations with Petroliam Nasional Bhd (Petronas) that could transform the state and Malaysia into a high-income economy in the future.

One of the three sectors that have been identified and which he believes has a very bright future is the production of aviation fuel. This came following his recent visit to Petronas research plant In Kidurong here.

“It is not necessary for me to reveal at the moment but let us discuss. I am sure these three sectors will transform Sarawak and Malaysia into a high-income economy,” he said when officiating the groundbreaking ceremony for the Petronas Bintulu Additional Gas Sales Facility (BAGSF-2) here on Monday (Aug 22).

The collaboration, which would use the latest technology and help control carbon emission, could better position Sarawak and Malaysia globally as far as oil and gas and renewable energy are concerned, he said.

The Premier said the construction of BAGSF-2 was proof of Petronas’ commitment in collaborating and supporting Sarawak’s aspiration to be a developed state by 2030, and as the enabler for Bintulu to be another petrochemical hub in Malaysia.

The project marked another significant milestone, not only in Sarawak’s quest to achieve its aspiration to be a developed state by 2030, but more importantly, the realisation of the state’s own vehicle to venture into the oil and  gas (O&G) industry, particularly in the downstream petrochemical sector.

“Sarawak recognises the contribution of the O&G industry to its economic growth. I am confident that BAGSF-2 will further add value to the state’s downstream business through realising the operations of Sarawak Petchem Sdn Bhd (SPSB) as the state’s major economic engine of growth in the next five- to 10 years,” said Abang Johari.

He said the initiation of the Sarawak Corridor of Renewable Energy (SCORE) was evident in that the state has the capability to venture into the O&G industry and its economy remained steadfast in being the third largest in the country, after Selangor and the Federal Territory of Kuala Lumpur.

The BAGSF-2, which will occupy 70 hectares of land and has its own dedicated administration building, processing area, metering stations and utilities, is designed with a capacity to deliver up to 390 million standard cubic feet of gas per day (mmscfd).

It will supply 160 mmscfd of natural gas to Sarawak PetChem, which is currently under construction at Tanjung Kidurong; 70 mmscfd will be supplied to Sarawak Energy Bhd’s Tanjung Kidurong power plant, while the remaining capacity is reserved for future customers.

Source: Bernama