Sarawak strides in global energy transition

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Abang Johari witnesss the signing of the MOU between PETRONAS Chemical Group Berhad and Sarawak Petchem. Photo: UKAS

KUCHING: The late Tun Pehin Sri Abdul Taib Mahmud has made significant contributions to the oil and gas industry in Malaysia.

Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg said Taib had made the contribution when he was the Minister of Primary Industries.

“In his career, Taib was once the Minister of Primary Industries under the administration of Tun Abdul Razak Hussein (second Prime Minister of Malaysia).

“He was the minister who contributed a lot to the formation of PETRONAS. That is his contribution to the nation through PETRONAS together with Tengku Razaleigh,” he said.

He said this during the signing of a Memorandum of Understanding (MOU) between PETRONAS Chemical Group Berhad and state-owned company, Sarawak Petchem at a hotel in Kuala Lumpur on Feb 21.

With the legacy left by Taib, Abang Johari said as successor, he and his colleagues will continue their efforts to develop Sarawak and Malaysia in a more structured approach, especially in line with the global energy transition.

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On Sarawak Petchem, he said the company started with the production of methanol.

“But today with the support of PETRONAS, we are migrating to the production of ammonia… low carbon ammonia. This is in line with the energy transition throughout the world today,” he said.

He added that he had indicated to PETRONAS president and Group CEO that the state is open to collaborate with the nation’s oil and gas company on other energy sources.

“PETRONAS and Sarawak can work together in producing Sustainable Aviation Fuel (SAF). The production is not from used oil but from algae.

“Sarawak has the potential to grow algae, and we can work together on it. And this can be another source for PETRONAS,” he said.

Abang Johari said the collaboration could strengthen the nation’s economy.

Meanwhile, according to a news report by The Edge, PETRONAS Chemicals Group Berhad has inked a MOU with Petchem Sdn Bhd to conduct a feasibility study to develop a low-carbon ammonia and urea plant in Bintulu, Sarawak.

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Low-carbon ammonia is predominantly utilised in hydrogen and power sectors for co-firing and bunkering, while urea serves primarily as a fertiliser, raw material for resins in plywood and adhesives, as well as diesel exhaust fluid for automotive applications.

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