PETALING JAYA: Halting general petroleum exports will be the government’s last resort if the ongoing Middle East conflict worsens, says Deputy Prime Minister Datuk Seri Fadillah Yusof.
He said this was because PETRONAS has existing commitments under ongoing agreements.
“Stopping exports will be the last resort because we are still bound by agreements,” Fadillah told reporters during an event at Samariang in Kuching, Sarawak, on Saturday (March 14).
According to the Statistics Department, Malaysia exported RM174.6bil worth of oil and gas products last year, comprising RM103.55bil in refined products and RM71.05bil in crude oil and LNG.
Fadillah also gave his assurance that, for now, Malaysia remains stable due to its strong economic and fiscal position.
“But at the same time, we must take preventive measures,” he said.
Fadillah also did not rule out the possibility that the cost of performing the haj may increase due to the conflict.
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He said he had been informed that Tabung Haji has already begun talks with local and international airlines on the matter.
“The announcement will be made by the Religious Affairs Minister,” he added.
Meanwhile, Fadillah said Prime Minister Datuk Seri Anwar Ibrahim has been contacted by Gulf leaders to act as a mediator in the ongoing Middle East conflict.
“The Prime Minister was contacted by Gulf countries to serve as a mediator in negotiations.
“Let us pray that the conflict in the Gulf can be resolved or, at the very least, that the Straits of Hormuz can be reopened so that transportation can continue,” said Fadillah.
As of Saturday (March 14), Brent crude oil had risen to US$103 per barrel.
The fluctuation in crude oil prices followed Iran’s closure of the Straits of Hormuz on Monday after escalating attacks by the United States and Israel.
