PETRONAS and Sabah Energy Corporation Collaborate to Advance Green Steel Manufacturing

PETRONAS, through Malaysia Petroleum Management (MPM), has formalised an agreement with Sabah Energy Corporation Sdn Bhd (SEC) for the supply of an additional 104 million standard cubic feet per day (MMscfd) of natural gas to support Sabah’s industrial and energy needs.

With this increase, the total supply of natural gas provided to SEC now stands at 370 MMscfd. Of this volume, SEC will allocate 150 MMscfd to Esteel Enterprise Sabah Sdn Bhd, supporting its steel production operations and efforts to adopt greener and more sustainable practices. The agreement was formalised today with an exchange of documents witnessed by Chief Minister Datuk Seri Panglima Haji Hajiji Haji Noor, highlighting PETRONAS’ role in supporting Sabah’s economic development and providing energy security for key sectors such as power generation and industrial manufacturing.

PETRONAS was represented by Senior General Manager of MPM’s Integrated Hydrocarbon Management, Anuar Ismail, while SEC was represented by its Chief Executive Officer, Datuk Adzmir Abdul Rahman.

Datuk Seri Panglima Hajiji Noor said, “This agreement marks a significant step towards Sabah’s long-term development goals, promoting industrial growth, energy security, and creating new opportunities to drive Sabah’s progress. We look forward to further collaboration with PETRONAS taking into account the best interest of Sabah.

PETRONAS remains steadfast in its commitment to ensuring an optimal and sustainable supply of oil and gas for energy security, with MPM playing a crucial role in managing petroleum arrangements and providing stewardship for upstream petroleum activities in Malaysia.