KUALA LUMPUR: The government expects the oil and gas services and equipment (OGSE) sector to increase its output and revenue in the next two to three years through expansion into overseas markets, said Minister of Economy Akmal Nasrullah Mohd Nasir.
Speaking to reporters today, he said greater international market participation would strengthen the sector's revenue streams while improving the resilience of Malaysian OGSE companies against economic and industry shocks.
"When we talk about the potential in terms of the international oil and gas market, developing countries will be a good place for us to venture into and that is why in terms of our planning through this international market access programme, Timor-Leste will be among the destinations that we will go into.
"But definitely the groundwork must be done through Malaysia Petroleum Resources Corporation (MPRC) to build up the rapport and provide the mechanism and really to ease the process," said Akmal Nasrullah after the preview of MPRC International Market Access Programme's (IMAP) Privet OGSE Turkmenistan here today.
Also present were Ministry of Economy secretary general, Datuk Seri Nor Azmie Diron and MPRC president/chief executive officer Mohd Yazid Ja'afar.
In 2023, the sector generated about RM79 billion in gross output and RM39.4 billion in value added to the economy.
As part of the effort, 14 Malaysian OGSE companies will participate in an upcoming mission to Turkmenistan in October to assess opportunities in the Central Asian country's oil and gas industry.
Akmal Nasrullah said the companies were selected based on their capabilities, credibility and interest in exploring opportunities in Turkmenistan.
The initiative is being undertaken by the MPRC under IMAP, which is aimed at helping Malaysian OGSE companies diversify and expand their international market presence.
Akmal Nasrullah said international diversification was important to strengthen the resilience of Malaysian OGSE companies and reduce their reliance on the domestic market.
Malaysia has about 2,894 OGSE companies, of which 91 per cent are micro, small and medium-sized companies.
He said the government, therefore, wanted to help these companies scale up their capabilities, including by enabling them to tap opportunities abroad. - Bernama
