Petronas calls for collective action in gas advocacy towards a sustainable LNG industry

UOB Kay Hian Research analyst Kong Ho Meng said while there have not been any large tenders awarded by Petroliam Nasional Bhd (Petronas), it expected contracts to be rolled out from next year. In Malaysia, he said, about 11% or about 35 of the over 300 platforms have been operating for over 40 years, and more than 200 wells have already been identified to be plugged and abandoned.

KUALA LUMPUR: PETRONAS has urged all stakeholders in the liquefied natural gas (LNG) industry to take concrete actions to advocate natural gas, LNG and its role in the global energy mix, as a collective effort towards a sustainable market ecosystem.

PETRONAS President  and  Group CEO Tan Sri Wan Zulkiflee Wan Ariffin said that gas will play a significant role in the energy mix and will be necessary to fulfil demands of the future.

“Gas is the solution that is here to stay, and making gas available to the various geographies not only makes good business sense, but is also our moral duty in ensuring a cleaner environment for future generations,” he said.

Speaking at the recent LNG Producer-Consumer Conference 2018 in Nagoya, Japan, Tan Sri Wan Zulkiflee emphasised that for LNG adoption to fully take hold, gas advocacy should be the focus of all the industry's collaborative efforts.

He urged producers and buyers to engage in honest discussions on their immediate and longer-term supply and demand to ensure market stability and security besides spurring investments.

In addition, Tan Sri Wan Zulkiflee said that investors, policy-makers, regulators, financiers and other industry enablers should cultivate a thorough and holistic understanding of the industry to develop and implement the right frameworks that facilitate the acceleration of LNG adoption.

“We observed that in some emerging markets, the sole reliance on free markets and the lack of government interventions have impeded the development of the gas markets. On the other hand, we have seen that LNG has gained the required momentum in countries such as Pakistan and Bangladesh where there are supportive government actions that are facilitating investments.” he said.

PETRONAS, one of the largest global LNG players and the world's third largest LNG supplier, is well-positioned to provide distinctive and innovative solutions through its growing portfolio of LNG supply sources and trading capabilities. The company's recent venture in LNG Canada will further expand and fortify PETRONAS' global portfolio in ensuring continuous and reliable LNG supply to the market.

“PETRONAS is poised to deliver long-term value via LNG, in line with our commitment to sustainable and responsible development of resources in meeting global energy needs,” Tan Sri Wan Zulkiflee concluded.- Bernama