Sabah’s Gas Supply Set to Almost Double by 2030, Announces Chief Minister

Kota kinabalu: Sabah's gas supply is projected to nearly double to 1,350 million standard cubic feet per day (mmscfd) by 2030, up from the current 700 mmscfd, with the implementation of seven offshore development projects, including four new gas fields. The project involves both international and local oil companies and forms part of the state's long-term plan to support energy demand and the industrial sector over the next few years.

According to BERNAMA News Agency, Chief Minister Datuk Seri Hajiji Noor emphasized the collaboration between Petronas and the Sabah government in advancing the state's oil and gas resources. "This strategy provides a clear implementation plan to secure the gas supply needed to support Sabah's industrial aspirations," Hajiji stated after receiving a report from SMJ Energy and Petronas, presented to state secretary Datuk Zainudin Aman.

Hajiji explained that the report on the Long-Term Gas Supply and Delivery Plan 2025 and the East Coast Sabah Gas Development Plan outlined a strategy based on a study by the Joint Task Force on the Sabah Gas Strategy. This strategy was developed through cooperation between state agencies led by SMJ Energy and Petronas. Additional gas demand is expected to be driven by new power plants and Petronas' third floating liquefied natural gas facility (PFLNG3).

The expansion includes new investments in the manufacturing sector along the west coast corridor, from the Kota Kinabalu Industrial Park through the Sabah Oil and Gas Terminal in Kimanis to the Oil and Gas Industrial Park in Sipitang, and the gas terminal in Labuan.

The Sabah East Coast Gas Development Plan confirms that the Mutiara gas field cluster offshore Sandakan could be developed to supply gas to the new gas power plant in Sandakan's Sawit Kinabalu Industrial Park. It will also enable the Sabah Electricity power station in Batu Sapi to transition from diesel to gas-based turbines, allowing the east coast to generate its own gas-based electricity supply for the first time without relying on supplies from the west coast.

Furthermore, the strategy opens up opportunities for developing gas-based industries in Sandakan and the entire east coast area. Hajiji expressed gratitude to Petronas for leading the technical work in collaboration with SMJ Energy, Sabah Energy Corporation, the Sabah Energy Commission, and the state Ministry of Industrial Development, Entrepreneurship, and Transport.