Petronas CEO Muhammad Taufik
Malaysia LNG faces growing gas supply challenges
Pipeline problems, maturing fields, gas quality issues and territorial disputes threaten to erode Malaysia’s LNG exports
Petronas has decided to permanently shut in part of a key gas pipeline that supplies the largest LNG export project in Southeast Asia. The move will add to the challenges faced by the Malaysian NOC in sourcing additional gas needed to backfill the facility, which is being counted on to support growing regional LNG demand growth. Petronas will stop operating the KP201 section of its Sabah–Sarawak Gas Pipeline (SSGP) after a series of fires and leaks since its completion in 2014 that included a deadly explosion last November, according to CEO Muhammad Taufik. “There is a full evaluation on the options to us to either leave it in situ, with a number of de-energising and removal of hydrocarbon m
Also in this section
27 February 2026
LNG would serve as a backup supply source as domestic gas declines and the country’s energy system comes under stress during periods of low hydropower output and high energy demand
27 February 2026
The assumption that oil markets will re-route and work around sanctions is being tested, and it is the physical infrastructure that is acting as the constraint
27 February 2026
The 25th WPC Energy Congress to take place in tandem as part of a coordinated week of high-level ministerial, institutional and industry engagements
27 February 2026
The deepwater sector must be brave by fast-tracking projects and making progress to seize huge offshore opportunities and not become bogged down by capacity constraints and consolidation
