Oil & gas companies can help promote the use of natural gas, together with renewable energy as the cleaner fuel option to sustain economic growth, prime minister Datuk Seri Najib Tun Razak said.
He said now is the right time to encourage the adoption of natural gas in new markets as prices have become attractive, aided by the right investment in infrastructure.
"I am hopeful that companies and governments can form ''smart'' partnerships to unlock the full potential of natural gas as a viable option, which makes both commercial and environmental sense.
"It is important that we see these two motives as supporting one another, not being in opposition," he said in his keynote address at the 19th Asia Oil and Gas Conference here today.
He said oil & gas companies can also help push the technological envelope to reduce the amount of greenhouse gas emitted during industry processes.
"I understand, there have been some strides taken in the development of carbon dioxide (CO2) management technologies, including by Petronas. I hope more can be done to achieve a quantum leap in improving and deploying these technologies," he said.
Najib said the abundance of gas discoveries had helped spur growth of the liquefied natural gas (LNG) industry in the Middle East, the Asia Pacific and Australia.
“The emergence of more producers, increased supplies and competitive gas prices has transformed LNG into an attractive energy resource for emerging economies, and one that also had the benefit of being far less carbon intensive.
"I strongly believe that industry players can collaborate to support the wider adoption of LNG by offering innovative commercial solutions and technical assistance to nations with a fledgling interest in this sector," he said.
He said the International Energy Agency (IEA) had predicted that global energy demand would double by 2050, not least because of a rising global population, and legacy industry players need to work harder and realign strategic priorities to remain relevant and sustainable in the long run.
Najib said the oil and gas industry continued to be on the leading edge in adopting new technologies to raise efficiency and productivity.
"With the rise of the Internet of Things, the increasing use of big data analytics and automation, the industry will be able to deliver more energy resources at better prices," he added.
He said against the backdrop of these new realities and approaches being adopted by leading players, Malaysia's economy continued to thrive despite headwinds.
"Last year we recorded growth of 4.2 per cent. The economy, this year, is projected to grow between 4.3 and 4.8 per cent, supported by healthy domestic demand and robust private sector investment," he added.
Najib said gross exports are expected to accelerate at a faster pace of 2.7 per cent due to a rebound in the export of commodities and with strong demand for electronics and electrical products, it is expected to spur the manufacturing sector.
Najib said under the government's Economic Transformation Programme (ETP), the energy sector is set to register annual growth of five per cent up to 2020, transforming Malaysia into a regional oil trading and storage hub and ensuring long-term energy supply security to the domestic market.
He said the recent US$7 billion investment by Saudi Arabian Oil Company (Saudi Aramco) in Petronas' Refinery and Petrochemical Integrated Development (Rapid) project in Pengerang, Johor, exemplifies Malaysia's ongoing attractiveness as an energy investment destination pf choice.
"This clearly positions the oil & gas industry as one of the biggest drivers of the ETP. This investment also makes Saudi Aramco the single largest investor in the country so far," he said.
Earlier, Najib launched the world's first floating LNG facility, PFLNG Satu, owned by Petronas.
He said PFLNG Satu is a game changer for the industry, bringing together the liquefaction, production, storage and offloading processes of LNG to an offshore gas field.
"We are proud that Petronas has developed this technology, which will maintain the company's technical edge as a key global LNG supplier," he added.
Themed, "New Reality-Driving a New Approach", the two-day conference brings together eminent industry leaders, policymakers and delegates from around the world. -- BERNAMA
Bernama
Mon May 08 2017
Oil & gas companies can help promote the use of natural gas, together with renewable energy as the cleaner fuel option to sustain economic growth, Prime Minister Datuk Seri Najib Tun Razak said.
Iran's supreme leader says Hamas leader's death will not halt 'Axis of Resistance'
The "Axis of Resistance", built up with years of Iranian support, includes Hamas, the Lebanese Hezbollah group, the Houthi movement in Yemen, and various Shi'ite groups in Iraq and Syria.
Putin says Russia willing to seek compromises between Iran and Israel
Russia is ready to help seek compromises between arch-foes Israel and Iran, President Vladimir Putin said on Friday, saying these would be difficult but possible.
What proposals will Russia push at the BRICS summit?
The proposal is also to establish a BRICS reinsurance company to allow uninterrupted shipment of goods and key commodities between members.
Indonesia's free meals plan in the spotlight as Prabowo readies for office
Prabowo calls the programme one of the main drivers of economic growth, eventually set to add an estimated 2.5 million jobs.
Astro AWANI's revamped English news website, AWANI International, launches on Oct 21
Astro AWANI's revamped English platform delivers in-depth global news and expert analysis to keep you informed on key developments.
Israeli strikes kill 33 people in Jabalia refugee camp in Gaza, medics say
Residents of Jabalia said Israeli tanks had reached the heart of the camp after pushing through suburbs and residential districts.
Liam Payne's ex-partner calls for media restraint after 'painful' death
Cheryl Tweedy used her statement to urge the media to remember they had a seven-year-old son, Bear, who could read the reports.
Analysts: Indonesia's strong MoF leadership team to boost investor confidence
Sri Mulyani Indrawati as head of Indonesia's Ministry of Finance is expected to instil confidence among investors.
Biden offers both a carrot and a stick to Israel as his term nears an end
Israel has frequently resisted US advice and has caused political difficulties for the Biden administration.
Putin says BRICS will generate most of global economic growth
Russian President Vladimir Putin will host a summit of the group in the city of Kazan on Oct. 22-24.
ISIS Malaysia's perspective of Budget 2025
An excellent rakyat-centric budget under the overarching principle of a caring and humane economy.
Budget 2025: Record increase in STR, SARA aid initiatives
The government will provide a significant boost to the Sumbangan Tunai Rahmah (STR) and Sumbangan Asas Rahmah (SARA) initiatives next year.
Budget 2025: EPF contributions to be made mandatory for foreign workers – PM Anwar
The government plans to make it compulsory for all non-citizen workers to contribute to the Employees Provident Fund (EPF).
What policies to expect from Indonesia's new President Prabowo
Prabowo will be open to foreign investment, his aide has said, such as by offering investors management of airports and sea ports.
Budget 2025: Govt allocates RM470 mil to empower women's participation in PMKS
The Women's Leadership Apprenticeship Program will be intensified as an effort to produce more female corporate personalities.
Israel sends more troops into north Gaza, deepens raid
Residents of Jabalia in northern Gaza said Israeli tanks had reached the heart of the camp, using heavy air and ground fire.
Indonesia ramps up security ahead of Prabowo's inauguration
Prabowo Subianto will be sworn in as Indonesia's president on Sunday with Vice President-elect, Gibran Rakabuming Raka, also taking office.
Immediate allocation of RM150 mil for local authorities, DID to tackle flash floods
Datuk Seri Anwar Ibrahim said this allocation is intended to address the recent flash floods that hit the capital and several major towns.
Budget 2025: Sabah, Sarawak to continue receiving among highest allocations - PM
Sabah and Sarawak continues to be prioritised under Budget 2025, with allocations of RM6.7 billion and RM5.9 billion respectively.
NFOF will be operational in November 2024 with funding of RM1 bil
PM Anwar Ibrahim said NFOF will support venture capital fund managers to invest in startup companies with RM300 million set aside for 2025.