PETRONAS strengthens partnerships and state participation to sustain upstream value

Transaction overview

PETRONAS, via PETRONAS Carigali, has entered agreements covering producing upstream assets in Peninsular Malaysia and Sarawak as part of portfolio optimisation to develop assets responsibly and support Malaysia’s long‑term energy security and industry development.

Partners and asset roles

EnQuest Petroleum Production Malaysia Ltd will assume operatorship and participating interests in the Balingian PSC, SK8 PSC and D35 PSC, and will participate as a non‑operating partner in the PM6/12 PSC, bringing integrated technical capabilities for brownfield and late‑life asset management. Terengganu’s TI Exploration & Production (TI EP) will hold a non‑operated participating interest in the PM6/12 PSC; TI EP is a joint venture between TI Petroleum (Terengganu Inc.) and Ping Petroleum, the latter focused on brownfield redevelopment in the North Sea.

Expected outcomes

The strategic partnerships are intended to combine PETRONAS’ knowledge of the domestic resource base with partners’ specialised expertise to support sustained production, maximise resource recovery, and foster operational learning, technical exchange and capability enhancement within Malaysia’s upstream sector under the Petroleum Arrangement framework.

PETRONAS position

Mohd Jukris Abdul Wahab said the partnerships reflect PETRONAS’ responsibility to steward national resources, create opportunities for state participation, attract continued investment, strengthen industry capabilities and support Malaysia’s energy security while sustaining long‑term value creation.