Qatar’s national energy giant, QatarEnergy, has entered into a historic 20-year Sale and Purchase Agreement with Malaysia’s state energy firm, Petronas, to supply two million tons of liquefied natural gas (LNG) annually. Under the agreement, deliveries are scheduled to commence in 2028, with the LNG sourced from Qatar to meet Malaysia’s rising domestic energy requirements.
The deal is estimated to be around MYR 59.2 billion (USD 15 billion) over its duration, based on current long-term market indexing. This strategic partnership underscores a deepening cooperation between the two companies, building upon a foundation that began in 2016 with a separate 1.1 million-ton-per-annum agreement. By securing this 20-year volume, Petronas is effectively diversifying its supply nodes and bolstering national energy resilience amid an evolving global landscape. The agreement allows Petronas to complement its existing “heartland” production in Malaysia and Canada.
Alongside this major import security move, Petronas has also shifted focus toward future domestic resource replenishment with the launch of the Malaysia Bid Round 2026 (MBR 2026). Themed “Advantaged Energy,” the round offers nine exploration blocks across Sandakan, West Sarawak, and Malay Basins, as well as six Discovered Resource Opportunities (DROs) for early monetization.
(Sources: Petronas; EOG)
