GEORGE TOWN: Malaysia is looking for new crude oil supplies from places such as Africa, Russia and Turkiye to keep fuel supplies secure as global tensions disrupt supply chains.
Economy Minister Akmal Nasrullah Mohd Nasir said the move followed the Prime Minister’s call for Malaysia to look at other sources as instability continues to affect key oil-producing regions.
However, he said any new crude oil supply must be suitable for Malaysia’s refineries.
Akmal Nasrullah said PETRONAS would play a key role in checking whether local refineries could handle crude oil from different sources.
“We need to look at whether our facilities are ready to process these supplies. Crude oil from different regions has different characteristics,” he said.
He said getting supplies from more countries was not enough, as Malaysia must make sure the crude oil could be refined here.
“It is not just about sourcing from everywhere, but ensuring the supply is suitable for our facilities,” he said after opening the NCER Technology Innovation Centre (NTIC) here yesterday.
Akmal Nasrullah said updates on Malaysia’s fuel supply would be announced from time to time, as stock levels depended on supply deals being worked out, especially by PETRONAS.
He said the fuel supply assurance until July did not mean the country was having trouble securing fuel.
“Rather, we provide assurance once supply arrangements are confirmed,” he said.
Akmal Nasrullah said the government was being careful amid global oil price fluctuations.
“We do not want to enter into agreements that are too long and then find ourselves tied down if there are significant changes in oil prices in the market,” he said.
He said suppliers had been asked to provide updates after finalising their supply deals, so the government could make further announcements on fuel security.
“By the end of this month, we expect to have the next update on supply security and fuel supply assurance for the next period,” he said.
Also present were Penang trade and national unity committee chairman Goh Choon Aik, deputy Penang State Secretary (Development) Mohamed Abdul Rahman, and the Economy Ministry’s regional development division director Datuk Mariam Ilias.
